Agribusiness News September 2024 – Management Matters: Suckler Beef Support Scheme

Scottish Suckler Beef Support Scheme

The Scottish Suckler Beef Support Scheme (SSBSS) year runs from 1 January to 31 December each year and claims can be made throughout the subsequent year. The payment is made on both male and female calves that are at least 75% beef bred and that have been born on a Scottish holding and kept there for 30 days (so the youngest calf for the scheme year is born on 1 December, a calf born 2 December is eligible in the next Scheme year).

New measures being introduced

The Scottish Government have committed to retaining the Scottish Suckler Beed Support Scheme until 2028 and have stated that there is no intention to change or reduce the £40 million budget.  However, from 2025, as part of the reform to the Scottish Suckler Beef Support Scheme, a 410-day calving interval is being introduced.

What do we know so far?

From 2025, a dam must have a calving interval threshold of 410 days or less in order for her calf to be eligible for SSBSS payments.  This will be measured on an individual animal basis, not on herd averages.  The first calf of any dam (heifer) will be exempt from the calving interval conditionality.

A recent SRUC report noted that the average calving interval across Scotland in 2021 was 400 days. Also, based on the spread of calving intervals; going forward, it is estimated that 13% cows will not be eligible as they will be over 410 days.

You can check your herd average through ScotEID login, MyHerdStats, then Cow Efficiency. This section will show you the numbers of cows with various calving intervals and will give you a base from which to make management decisions.

Payment rates

On the basis that the Scottish Government have stated there is no intention to change or reduce the £40 million budget, £36 million for mainland and £6 million for islands and the expectation that less calves will be claimed on; an initial prediction of the 2025 payment rates based on 2023 claims which are most recent available numbers are approximately:

• £121 for mainland herds
• £173 for the Islands.

This is a lift of about £16 per mainland claim and £22 for Islands.

To get fully accurate payment rates it will not be known until spring 2026 how many claims were submitted in 2025. 

Potential financial impacts

An example using 2023 claimed numbers: on the mainland, if a farm has 100 cows and previously claimed 90 calves that would have returned £9,459 (£105.10 per head). If in the new system based on £121 per head that would return £10,890 if again claiming 90 calves, so increasing the total SSBSS payment by £1,431. Interestingly, if only 78 calves were claimed, it would still return the same as previous at about £9,450.

Management matters to consider

Impact of moving calved cows from Spring to Autumn herds or vice versa will result in calving interval of over 410 days. This is similar when purchasing cows and calves in.

What about force majeure (unforeseen circumstance)?

The decision on whether a situation is recognised as a case of force majeure is to be taken on a case-by-case basis using relevant documentary evidence provided. Businesses must be able to provide documentary evidence which demonstrates that the event which prevented them from meeting their scheme obligations was an abnormal circumstance.

A business must also be able to demonstrate that the consequences of the event could not be avoided in spite of the exercise of all due care and that they have taken all appropriate measures to guard against the consequences of the abnormal event.

Examples include disease issues and bull failure. With bulls where it is infertile so leading to claimed calves not meeting the 410 day calving interval eligibility requirement The type of evidence that may be relevant could include:

• Evidence of any testing of the bull or pregnancy scanning of the cows that has/had taken place.
• An explanation of bull management, e.g. are bulls rotated around a closed herd, are bulls hired in. Help to demonstrate whether using another bull was possible or obtaining a replacement bull was the only option.
• Evidence that the bull been replaced.
• Evidence of herd performance in previous years. Help to demonstrate whether this was an abnormal circumstance that has only occurred this year.

gavin.hill@sac.co.uk