These Regulations, which apply to England only, are made under the Agriculture Act 2020 (c. 21) (“the Act”). The Secretary of State has the power to give a lump sum payment to farmers in place of:

• direct payments under the basic payment scheme established under Regulation (EU) No 1307/2013 of the European Parliament and of the Council of 17 December 2013 establishing rules for direct payments to farmers under support schemes within the framework of the common agricultural policy; and

• delinked payments under section 12 of the Act.

Regulation 3 provides that the Secretary of State may make a lump sum payment to a person in lieu of direct payments or delinked payments if that person makes an application and satisfies certain eligibility conditions laid down in the Regulations.

Under Regulation 4, applications for a lump sum payment must be submitted by 30th September 2022, unless the Secretary of State is satisfied there are good reasons to accept an application after that date.

Regulation 5 sets out the eligibility conditions that must be met to apply for, and receive, a lump sum payment.

Regulation 6 requires an applicant to transfer all agricultural land that was at the applicant’s disposal on 17th May 2021 and, where relevant, rights of common by the 31st May 2024, subject to certain exceptions. Under these Regulations, agricultural land and rights of common (where relevant) may not be transferred to a connected person, as defined in regulation 7.

Regulation 8 requires an applicant to surrender all payment entitlements registered in the applicant’s name in England by 31st May 2024, subject to certain exceptions.

Regulations 9 and 10 enable the Secretary of State to request additional information in support of an application and allow defects to be corrected by the applicant.

Under regulation 11, the Secretary of State must refuse to award a lump sum payment if certain requirements have not been met. If the Secretary of State refuses to award a lump sum payment, the applicant has the right to appeal that decision under regulation 14.

Regulation 12 and the Schedule set out the requirements for calculating a lump sum payment.

Regulation 13 provides for payment of the lump sum to be made within six months of the applicant being notified that the requirements in these Regulations have been met, unless the Secretary of State extends that period before it expires where satisfied there are good reasons for doing so.

Regulation 14 makes provision for appeals to the Secretary of State.

A full impact assessment has not been produced for this instrument as no, or no significant, impact on the private, voluntary or public sector is foreseen.