§ Lord Mancroftasked Her Majesty's Government:
Whether they will pay with the first advance of the ewe premium the full supplement due to sheep producers in less favoured areas.
§ Baroness TrumpingtonThe Government announced on 14th May their intention to pay two advances of this year's annual ewe premium in order to ease sheep producers' cash flow difficulties. Following a recent decision by the EC Commission, we have decided that the first of these advance payments will include the whole of the 4 ecu (about £3.12) per ewe supplement which is payable to producers in the less favoured areas. The supplement is worth some £39 million and the payment in a single sum with the first advance will provide a very welcome boost for hill farmers' finances.
This supplement is additional to the payment of the first advance of premium to all sheep producers of £3.68 per ewe in Great Britain and £5.99 per ewe in Northern Ireland. We are on schedule to make the majority of these payments as previously announced no later than early Autumn.
We are conscious that sheep farmers are not having an easy time at present. This new measure will go some way towards helping alleviate the anxieties of those who farm the more difficult land in this country and care for the countryside on our behalf.