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Grant Funding to Support England’s Dairy Farmers

The Dairy Response Fund (previously referred to as the Diary Hardship Fund) opened for applications on 18 June and the concerns I raised have been widely reported – see for example this piece in Speciality Food.

However, for completeness I set out below summary details of the scheme.

Who can apply?

To be eligible for support from the fund, a dairy producer will need to:

  • Be based in England
  • Supply cows’ milk to a wholesale purchaser AND have had a reduction in the average price paid for your milk of 25% or more in April 2020 compared to that paid in February 2020.

Additional criteria:

  • You cannot claim grants from both the Dairy Response Fund and the Local Authority Discretionary Grant Fund in relation to your dairy business. If you have already applied for the Local Authority Discretionary Grant Fund, you must provide details on your application form
  • You will need to confirm that your undertaking was not in difficulty (within the meaning of Article 2(18) of the General Block Exemption Regulation) on 31 December 2019 (please see Annex 2 of guidance for further details)

Payments

The calculation of the payment value (more details in the guidance).

  1. Calculate difference between average1 April and February price per litre (PPL) x volume collected in April (a)
  2. Calculate difference between average May and February PPL x volume collected in May (b) Total losses based on price reductions = (a + b) x 70%.

Payments will be rounded up to the nearest £250 up to the cap of £10,000 for each business registered with RPA.

Who cannot apply?

Direct sellers of cows’ milk or milk products, and producers of buffalo, sheep or goats’ milk are not eligible for the Dairy Response Fund. Only producers who supply cows’ milk to a wholesale purchaser are eligible.

Full details

Full details and application form can be found at link

Applications to be emailed to to dairyresponse@rpa.gov.uk by midnight on Friday 14 August 2020.

FEATURING: Brian Harvey
As head of PKF Francis Clark’s agricultural sector group, Brian manages a dedicated team of agricultural accountants and tax advisers. He hails from a Cornish… read more
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