I propose to take Questions Nos. 86 and 88 together.
The position is that the new area based compensatory allowance scheme agreed in July 2000 and approved by the European Commission in the context of the CAP rural development plan provides for area related payments as follows: more severely handicapped (lowland), £70 per hectare up to 45 hectares; less severely handicapped (lowland), £60 per hectare up to 45 hectares; mountain type land, £45 per hectare up to 60 hectares.
Where a farmer farms a combination of land categories he will be paid on lowland – more severely handicapped – first, lowland – less severely handicapped – next the mountain grazings last. If a farmer only has lowland – more severely handicapped – and/or lowland – less severely handicapped – his overall limit is 45 hectares. If he has a combination of lowland – more severely handicappe – and/or lowland – less severely handicapped – and some mountain type land, he will be paid on up to 45 hectares lowland and up to an extra 15 hectares of mountain subject to an overall limit of 60 hectares. If a farmer only has mountain type land his overall limit is 60 hectares.
Payments under the new scheme commenced on Friday, 21 September, as agreed in the Protocol on direct payments to farmers and to date some £145 million has been paid to some 84,757 farmers representing over 85% of total applicants. This compares very favourably with the figure of just over £59 million which was paid to farmers at this time last year under the old animal based headage schemes.