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Economic Development

Next Welsh Government must prioritise creating a stable environment for the farming sector says FUW

The Farmers' Union of Wales has published its Senedd Election manifesto

A Welsh sheep farmer. Image by Phil Hatcher.(Image: Phil Hatcher-Moore)

The next Welsh Government needs to provide stability and long-term support to the farming sector which employs more than the 50,000 in Wales says the Farmers' Union of Wales. (FUW) in its Senedd Election manifesto.

Ahead of the election next spring the FUW says the next administration needs to deliver a five-year financial framework for the Sustainable Farming Scheme budget, which will be introduced at the beginning of next year that provides medium-term economic certainty for Welsh farming businesses - aligned with the reporting requirements of the Agriculture (Wales) Act 2023.

The manifesto, Standing Strong for Family Farms, adds that the next Welsh Government needs to work closely with the industry to deliver a scheme that secures a thriving and sustainable future for family farms, including a funding uplift from the current budget of £238m. The union is also calling for a index-linked budget to provide certainty for the future so that farming businesses can make well-informed decisions with confidence.

While not a devolved matter the FUW said above all else the Welsh Government should look to the º£½ÇÊÓÆµ Government to make changes to inheritance tax reliefs in order to protect Wales’ family farms and “prevent irreparable damage to our agricultural heritage.”

The manifesto also calls for an independent review of what it describes as the bureaucratic burden on family farms with an over arching objective of streamlining on-farm requirements through earned recognition, technology and innovation.

FUW is also calling for the introduction of legislative indicators and levers for Welsh food production, processing capacity and public procurement, and make it a requirement for Welsh Government ministers and public bodies to consider these - alongside other national goals and contextual indicators such as the number of farming businesses in Wales - when making policy decisions.

The manifesto also highlights the need for “genuine support “for Welsh produce through shorter supply chains, long-term investment for small abattoirs, and legislative levers to underpin food security. Other key asks include: tackling farm bureaucracy and red tape; new measures to support young and new entrants into farming, a science-led approach to bovine TB eradication that addresses wildlife as well as cattle; and a risk-based review of water quality regulations to ensure policies are proportionate, affordable and effective.

The annual economic output of the Welsh farming sector, which employs more than 50,000, was worth £2.21bn last year. The FUW said that in real terms agricultural funding in Wales is now worth 30% less then the benchmark was set in 2013. The average net profit of an average farm in Wales last year was £30,700 and the average support payment £15,000.