§ Mr. Corrieasked the Secretary of State for Scotland whether he will now give details of the effects of the recently-announced increases in hill livestock compensatory allowances, on the graded supplements paid to farmers in the Highlands and Islands Development Board area.
§ Mr. YoungerYes. The existing rates of supplement are £2.50, £9.50 and £13 per eligible cow on land classified A, B or C respectively, and 55p per eligible hill sheep.
I have today made a scheme under the powers contained in section 4 of the Congested Districts Act 1897 which, 295W subject to clearance by the European Commission, will increase these supplements in line with those awarded in the less-favoured areas generally. However, because of the payment limit imposed by the European Council regulation EC 797/85, the supplements on cows on B and C class land will be limited to £7.98 a cow which, when added to the new HLCA rate for cows on severely disadvantaged land of £54.50, will give a total payment of £62.48, the maximum permitted by the EC regulation. The new rate of HLCA supplement for cows on A class land will be raised to £3.05, and for all eligible hill sheep to 58p. The increases will apply from 1 January 1986 and their cost will be covered by the provisions already made for such supplements within the Vote for agricultural support in Scotland (Class XV, Vote 1).