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Tens of thousands of farmers face mounting debts after ministers admitted they did not know when subsidy payments would be made.
Farmers will not be paid this month, despite had being promised by the government last year, because of problems at the Rural Payments Agency, which distributes the single payment that has replaced subsidy systems.
The delay could drive some out of business.
Under EU rules, the deadline for payments is June. If the government fails to make the payments by then, it could face legal action from the EU.
Peter Kendall, President of the National Farmers' Union, stated: "You cannot run
a business on a promise. This mess will leave many farmers facing serious
hardship."
Margaret Beckett, the Environment Secretary, told MPs in a written statement: "I
know that this House and everyone in the farming community will be as
disappointed as I am about the announcement I have had to make today, but
payment will remain one of the department's highest priorities."
Farmers have been hit hard by higher fuel costs, which in turn have pushed up
fertiliser prices.
Source:
RedAlert
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