Increase in National Insurance Contributions for self-employed is bad news for family farms, FUW says

[caption id="attachment_7783" align="alignleft" width="300"] FUW Managing Director Alan Davies[/caption]

The announcement by Chancellor of the Exchequer, Philip Hammond, that National Insurance Contributions (NIC) will rise for the self-employed by 1% to 10% from April next year and then then rise again to 11% in 2019, has been described as bad news for family farms and those working in the agricultural industry, by the Farmers’ Union of Wales (FUW).

The increase, so the FUW says, will hit the low and middle earning self-employed and as the majority of Welsh family farms are classed as such, the measure will do little to support rural businesses.

There are currently 2 types of National Insurance if you’re self-employed:

Class 2 if your profits are £5,965 or more a year
Class 4 if your profits are £8,060 or more a year

Those self-employed currently pay 9% on profits between £8,060 and £43,000 and 2% on profits over £43,000. From next year those making a profit of over £43,000 will still pay 2%.

FUW Managing Director Alan Davies responded to the Spring Budget saying: “Philip Hammond claims that these increases make the system fairer, but I can’t see how increasing tax for those who are making a profit of less than £43,000 is fair. Why is it that tax is being increased for those hard working individuals, some of whom only make a profit just over £8,000, whilst at the same time corporation tax is falling?

“This increase will hit farmers across the UK badly, and that at a time when they are already having to cope with an increase in business rates, which of course is devolved to Wales, but the increase in NIC is not. Add to that the uncertainty around future agricultural support and those making a living from agriculture are not being put in the most favourable financial conditions.”

With regards to business rates, the FUW welcomed the measures the Chancellor announced to help those businesses affected in England and calls on the Welsh Government to use some of the extra £200 million allocated to Wales to offer further support to those businesses, such as livestock markets, who would see their rates spike by 100%.

The changing role of women in farming

As we celebrate International Women’s Day, which is asking people to #BeBoldForChange and calling on the masses to help forge a better working world - a more gender inclusive world, the Farmers’ Union of Wales is exploring what working in the agricultural industry is like for women today. 

We caught up with a few of you, including husband and wife team Geraint and Rachael Davies from Bala, Radnorshire mother and daughter Kath and Fran Shaw, Ceredigion farmer Anwen Hughes and a few other familiar faces in the industry.

[caption id="attachment_7775" align="alignleft" width="225"] Working in partnership are husband and wife team Geraint and Rachael Davies.[/caption]

Speaking about her perception of women in farming, FUW member Rachael Davies, who farms 1200 acres in Bala, Gwynedd, carrying 1000 breeding ewes with 200 replacements and 30 suckler cows, in partnership with her husband Geraint, said: “Farmer’s daughter, farmer’s wife – why can’t women just be farmers in their own right rather than be defined by the nearest man who happens to farm?

“Women’s role within the agricultural industry has definitely changed in the past ten years with women being more openly and publicly involved however, there is still some distance to go. Women have been grafters and decision-makers on family farms for centuries yet in the twenty-first century we are still in the position of having to ‘prove’ ourselves or occasionally becoming pseudo-masculine to do so.”

She adds that one of the most frustrating questions to be asked as a mother of two daughters is “wouldn’t it be nice to have a boy, for the farm!?” But she is determined to get involved, lead by example and highlight that women are just as capable as men within the agricultural industry, both physically and intellectually.

“I urge women to get involved, make things more integrated, let’s encourage, engage – women have the skills that modern farming needs; we are natural multi-taskers, good communicators and used to hard work. More women need to be involved steering the direction of the industry; feeding into stakeholder groups who are still dominated by men, usually of a certain age and demographic,” adds Rachael.

Supporting her views is husband and FUW Meirionnydd County Vice Chairman, Geraint Davies. He said: “Behind every great man there is a greater woman, or so my grandmother has always told me. Until my grandparents retired in 2000 my grandmother kept the farm going through fuel for the men, the kettle was never far off boiling point on the Rayburn and a meal ready on the table.”

He recalls that the farmhouse was her domain and his grandmother was not involved in much of the decision making of the day to day running of the farm. The next generation, his parents, followed a similar suit with his mother being chief cook and bottle-washer but with slightly more involvement in the decision-making but not beyond the kitchen doorstep.

“Rachael started how she meant to go on by farming outside with me as well as making all decisions with me, no matter how small or big. Our business is very much based on partnership but we don’t necessarily always agree. I welcome her views and the challenges to my ideas and it works for our business. Rachael, like many modern farming women juggles employment off farm and family life alongside running the business. I now have two daughters and I see a bright future for them in farming (if they choose). I think farming needs more women involved: I'm fed up dealing with negative old men,” adds Geraint.

But what is it like to be in charge of a farm holding with no men around? We spoke to FUW Brecon and Radnor administrative assistant Kath Shaw, who also farms 80 acres in Radnorshire in partnership with her mother, where they run a herd of red deer.

[caption id="attachment_7776" align="alignright" width="300"] Kath and her mum Fran run the 80 acre deer farm together.[/caption]

Kath completed an HND in Agriculture at Myerscough College and an AND in Deer Management at Sparsholt College and has worked in the deer industry ever since, setting up her own deer herd in 2004. Kath was born and grew up near London and whilst she did not come from a farming background, she was always encouraged to be outside and nurtured a healthy obsession with horses until the age of 16.

“Being a woman in agriculture has advantages and disadvantages. I have experienced low-level sexism in the industry throughout my working life, but have always deflected it with humour and if that hasn’t worked, by confronting the individual concerned.

“On the plus side, being a woman in a male dominated field has made me  more memorable. In the last 10 years farming has changed to become less focussed on brawn as people are more aware of the importance of sensible working practices. This has benefitted everyone as machinery becomes more sophisticated and equipment is developed to help with the heavier jobs. There is always a solution to a problem that doesn’t involve lifting heavy weights by hand!”

Kath also believes that the future of agriculture depends on people working as a team, be they male or female. She added: “Women have always worked in the background on farms. It is often the women who feed and check the stock while their husband goes off to do a day’s work somewhere else and I see no reason why they shouldn’t take a more prominent position on the farm. True, it is not very glamourous and you are unlikely to find a female farmer with a perfect French manicure or the latest designer clothes but the job satisfaction is huge and it’s so much better than sitting in an office, staring at the same 4 walls every day.”

[caption id="attachment_7777" align="alignleft" width="300"] Women also play a supportive role on farm. They offer a shoulder to cry on, an ear that listens.[/caption]

Anwen Hughes, the FUW’s Ceredigion County Chairman and Younger Voice for Farming Committee vice chairman, farms around 138 acres, of which 99 acres are owned, 22.5 acres are on a lifetime farm tenancy and a further 17 acres are rented.

She keeps 100 pedigree Lleyn sheep, 30 purebred Highland sheep and 300 cross bred Lleyn and Highland ewes and has been farming since 1995  at Bryngido farm, just outside of Aberaeron in Ceredigion.

Anwen runs the farm on her own. In the current financial climate the farm business doesn’t make enough money to sustain more than 1 wage, so it’s up to Anwen to take care of the home farm.

She said: “Growing up around men in the agricultural industry I have found that as a woman you have to earn respect and make a man listen. You have to prove and show that you know what you are talking about. That can be quite intimidating at the start but by now I have no problem turning up to a meeting full of men. Money on farms has got tighter, so many farmers are turning to their wives for help on the farm.”

However it’s not all about being tough Anwen says. She thinks that women add a much needed soft touch to an industry that can be harsh and unforgiving in so many ways. “Women also play a supportive role on farm. They offer a shoulder to cry on, an ear that listens and are often in charge of the paperwork too. I think the role of women has changed dramatically over the years, with many of us also having to run the business side of things, look after the children and keep the household going.”

Managing Partner at AgriAdvisor, Dr Nerys Llewelyn Jones said: “In the Welsh agricultural industry the role of women within farming businesses is evident, with men and women working side by side in farming family businesses for decades in a manner to which other industries still aspire.

[caption id="attachment_7778" align="alignright" width="300"] “A sustainable farming industry will need to encourage those with other skills and expertise to work within agriculture”[/caption]

“Were you asked to draw a picture of a farmer, the majority would surely draw a male character with a flat cap, a check shirt and wellingtons. This image is now a stereotype and those of us who have grown up within the industry and who have seen the inner dynamics of how a farming business works know that most major business decisions are decided around the kitchen table with input from all who work within the business, both male and female.

“The perceived barrier of the physical nature of farm work making it more ‘suitable’ for men, is becoming a myth, dispelled further by the increased availability and use of technology and innovation on farms. A sustainable farming industry will need to encourage those with other skills and expertise to work within agriculture and therefore women who may have had to work off-farm to supplement incomes will be in an excellent position to bring those additional skills to the farming table.”

[caption id="attachment_7779" align="alignleft" width="270"] “Things have changed, we have achieved the roles we hold due to our ability, our focus and drive.”[/caption]

Alison Harvey, Agriculture Manager for Lamb at Dunbia, said: “I don’t feel as though I have to ‘deal’ with being a woman in the farming industry.  This time has passed in Wales, we have moved on. Things have changed, we have achieved the roles we hold due to our ability, our focus and drive.

“My role means I work with farmers and retailers and I have never felt that being a women has either helped or hindered what I do.  You have to work to gain experience and knowledge, and with this, people will respect you more – but this is about age and experience rather than being a woman.

“Women have been a vital role in farming for a lot longer than I have been around, it doesn’t matter what the role has been on the farm, and the fact is that women have always been important to agriculture. The best businesses I have come across have been partnerships, each knowing their strengths and weaknesses and working together to get the best from one another.”

The main change Alison thinks, and not just for women in agriculture, has been education. “Women have gone to University, or college, or to work in another business, and they have brought what they have learnt back to the business at home, or developed careers in particular areas.  This is where I see most potential for agriculture, getting new skills into the business. As a result of their education women have more prominent roles in agriculture, we see women in roles that have traditionally had men in them.  It is equality and balance that seems to work best, not one sex overpowering another, this is what we should aim for.”

RABI Wales Regional Manager Linda Jones said: “Many more women are embracing the opportunities available to them in farming than a decade ago. Farming has been traditionally viewed as a male-dominated industry but increasingly, women are choosing to immerse themselves fully in the farm business rather than settling for the roles of chief cook, bottle-washer and VAT returns person.

[caption id="attachment_7780" align="alignright" width="233"] “Many more women are embracing the opportunities available to them in farming than a decade ago.”[/caption]

“Women realise the importance of acquiring new knowledge, keeping up with technology and ‘up-skilling’ and are adept at finding new ways and opportunities to make money for the business.  Diversification is another key area where women can excel.  Their ability to think outside the box and not rely on traditional ideas can be inspiring.

“Women are the driving force behind many successful farming businesses, but their significant contribution is not always readily acknowledged outside the four walls of the home.  Pride is such a major issue in the farming industry and I see this with my work for the farming charity, the Royal Agricultural Benevolent Institution (R.A.B.I). Pride prevents many farming people who are struggling financially from picking up the telephone and calling our Freephone helpline 0808 281 9490. Our work is strictly confidential but very often it is the woman of the farm who has the courage and strength to call the helpline and ask for help.”

Why not give this hearty dish a go

Traditional Winter Welsh Beef Stew with Herbs & Horseradish and Parsley Dumplings

Ingredients

  • 450g (1 lb) Lean Welsh beef braising cubes
  • 15ml (1 tbsp) Oil
  • 6 Shallots, peeled and halved
  • 2 Cloves garlic, squashed
  • 1 Leek, roughly sliced
  • 2 Celery sticks, cut into chunks
  • 2 Carrots, peeled and cut into chunks
  • 2 Turnips, peeled and cut into chunks
  • Sprigs of fresh parsley, sage, rosemary and thyme
  • 300ml (½ pt) Beef stock
  • 300ml (½ pt) Ale
  • 100g (4 oz) Self-raising flour
  • 50g (2 oz) Suet
  • 45ml (3 tbsp) Fresh parsley, chopped
  • 30ml (2 tbsp)Horseradish sauce
  • Cold water to mix

Method

  1. Preheat oven to gas mark 4, 180°C, 350°F.
  2. Heat oil in a large ovenproof pan or casserole pot. Add the beef cubes and brown on all sides.
  3. Add the shallots and garlic and continue to cook for 1-2 mins. Add all remaining ingredients and bring to the boil, cover with lid or foil. Cook in preheated oven for 1½ hours.
  4. In a bowl mix together the flour, suet and parsley. Add the horseradish sauce and a few spoonfuls of cold water and mix together with a spoon. Using your hands press the mixture together to form a ball. Break off small pieces of the pastry and roll in your hands to form a small ball / dumpling (the mixture should make about 10-12 small dumplings).
  5. Remove stew after 1½ hours, remove lid and drop the dumplings into the stew. Return to the oven for a further 30 mins until the dumplings are fluffy but golden.
  6. Serve in bowls with dumplings and extra steamed seasonal green vegetables.


 

Llanelli AM hears of challenges facing the agricultural industry

[caption id="attachment_7762" align="alignleft" width="300"] Carmarthenshire farmers and rural businesses highlight why #FarmingMatters, when they met with Llanelli Labour AM, Lee Waters.[/caption]

Carmarthenshire farmers and rural businesses recently came together to highlight some of the challenges they are facing and to demonstrate why #FarmingMatters, when they met with Llanelli Labour AM, Lee Waters.

Agricultural support post 2020, devolution, the importance of agriculture to the rural economy and the ongoing problem of Bovine TB were hotly debated at the meeting, which was hosted by Farmers’ Union of Wales (FUW) member Gareth Beynon Thomas at Goitre Fach farm, Hendy, Pontarddulais.

Together with his wife Monica and son Ifan, Gareth Beynon Thomas farms a total of 600 acres, including 375 acres of owned land and runs a herd of 250 milking cows, 250 young stock and also keeps 250 Berrichon ewes. The couples son Rhys works as a local vet for Prostock Vets and their daughters, Sara and Alaw, work as secondary school teachers.

Following a tour of the farm and seeing the milking parlour and livestock, farmers, local businesses and FUW representatives explained the importance of agriculture to the rural economy.

Brian Richards, FUW Carmarthen County President, said:“Family farms in particular are at the heart of our rural economy – as we can see here at Goitre Fach. Farms like these are caring for our landscape, and of course our culture and they make innumerable other contributions to the well-being of Wales and the UK.

[caption id="attachment_7763" align="alignright" width="300"] FUW member Gareth Beynon Thomas shows Lee Waters AM around the milking parlour.[/caption]

“The FUW has long maintained that Welsh food production sustains tens of thousands of other businesses – from upstream businesses such as feed merchants, agricultural contractors and engineers, to downstream businesses such as hauliers, processors and retailers and it is evident that for every pound generated on farm, around 6 pounds is spent in the wider economy.”

He added saying: “Look at the Wales wide statistics (2016) – we have 14,437 sheep farms, 3,054 dairy farms, 8,436 farms on which non-dairy cattle are kept, and 1,255 pig farms.

“And all those farms, no matter how big or small, were responsible for spending an average of £1.2 billion on products supplied by local secondary and tertiary businesses (2014 figures). We must not forget that Welsh agriculture employs 60,000 people in full time, part time, and seasonal employment.”

Farmers and FUW representatives on the day further stressed that irrespective of what trade deals are in place post-Brexit, within the UK, Welsh farmers will compete against their counterparts in other devolved regions.

Gareth Beynon Thomas said: “I would first of all like to thank Lee Waters for meeting us here on farm. We enjoyed very positive discussions on a variety of subjects and it was an excellent opportunity to highlight how essential it is that we have a common policy across the UK which minimises unfair competition and market distortion. We have reiterated the point to Lee Waters that it is essential that a UK agricultural framework is put in place which prevents unfair competition between devolved regions and secures and protects adequate long term funding for agriculture, while also respecting devolved powers over agriculture.”

[caption id="attachment_7764" align="alignleft" width="300"] FUW member Gareth Beynon Thomas shows Lee Waters AM the livestock at Goitre Fach.[/caption]

In regards to agricultural support the FUW stressed that post-Brexit support should be maintained at levels which at least reflect those levels which would have been in place should the UK have voted to remain in the European Union. However, there is an understanding amongst farmers that a bonfire of regulations is unlikely and that future support may well look very different to what is currently provided under the Common Agricultural Policy.

Nerys Edwards, the FUW’s County Executive Officer Assistant in Carmarthen, said: “There will be a lot of changes and that will of course also affect the amount of financial support we can expect. There is a lot of uncertainty around, with more questions to be asked than we have answer to and of course we are all still waiting to see what a future DEFRA ‘green paper’ on the future of farming will look like. It is obvious to us that we could be waiting a while for that clarity, and in essence that is not a bad thing because the industry will need to have a transition period of at least 10 years to phase in changes and to allow us to adjust to new agricultural policies.

“What is essential in all of this however is that the uniqueness of Welsh agriculture and the importance of involving the devolved administrations in planning the future of agriculture is recognised by everyone.”

FUW Deputy President Brian Thomas used the opportunity to raise the issue of bovine TB with the Labour AM. When Brian’s herd went down with the disease in the late 1990s he commented in interviews that the disease would be more of a problem than BSE would ever be if it was not tackled.

Unfortunately, for many he has been proven right and currently he sits on the local working group for the Assembly’s Bovine TB Intensive Action Area in North Pembrokeshire, representing farmers in the area.

[caption id="attachment_7765" align="alignright" width="300"] FUW Deputy President Brian Thomas ( r ) raised the issue of bovine TB with the Labour AM Lee Waters (l)[/caption]

Brian Thomas said: “Our Welsh farmers suffer the daily emotional and financial consequences of having their businesses locked down for months on end by movement restrictions. They see their cattle taken away or culled on farm, year-in, year-out, and they are angry with the Welsh Government. Not just because of their latest proposal to escalate what are already the most restrictive cattle TB rules in the world, but because of the failure to include solid proposals to proactively deal with the disease reservoir in badgers.”

He added that farmers fear that personal views and political cowardice on the part of politicians will continue to slow down TB eradication, as every excuse is used to avoid action.

“The situation would be bad enough under normal circumstances, but with Brexit looming, competitors in other countries have one eye on our TB status, and how it might be used to their benefit – and our detriment – in trade negotiations,” added Mr Thomas.

Gareth Beynon Thomas added saying : “I am grateful that we were able to raise the issue of Bovine TB with Lee Waters and it is encouraging to see his keen interest in the subject. Over the coming weeks Cabinet Secretary Lesley Griffiths will consider whether to implement the Welsh Government’s proposals and we are all hoping that our concerns will be taken into consideration.

“While Welsh Government statements that badgers may be culled when sufficient proof has been gathered hints at light at the end of the tunnel. We have made it clear that failure to be robust and ensure such measures can be rolled out rapidly and on a large enough scale will delay eradication by decades, while prolonging the expense and torment for farming families.”

FUW highlights need for UK Agricultural Framework at Plaid Cymru Conference

[caption id="attachment_7755" align="alignleft" width="300"] FUW President Glyn Roberts and FUW Managing Director Alan Davies speak at the main Plaid Cymru Spring Conference debate[/caption]

The Farmers’ Union of Wales stressed the importance of a UK Agricultural framework that respects devolution and the important role farming plays in the rural economy at the recent Plaid Cymru Spring Conference, themed ‘Stronger Communities for a Stronger Wales’.

Speaking at the main stage debate FUW Managing Director Alan Davies said:"If there is an imposed agri framework then that would be England centric.We must get all nations to agree to a UK framework, which prevents unfair competition between devolved regions.

“Agriculture in the UK and in Wales has to be profitable and sustainable and the important role family farms play in making the wheels of the rural economy go round have to be recognised and we must recognise that Wales is not the same as England in terms of need, product and social importance of agriculture.

“In addition, it is vital that agri support is maintained at levels which reflect those levels which would have been in place should the UK have voted to remain in EU. Agriculture and farming are the driving force in our rural economy and if we want to see Wales prosper outside of the EU, then that has to be recognised.”

[caption id="attachment_7756" align="alignright" width="225"] FUW President Glyn Roberts welcomes Plaid Cymru leader Leanne Wood to the Union stand[/caption]

The FUW further discussed farming’s contribution to the economy, highlighting that farming is the cornerstone of the £6.1 billion Welsh food and drink supply chain industry and that stressed that 76,000 people are employed in the food and farming sector, helping to retain our young people in rural communities.

[caption id="attachment_7757" align="alignleft" width="225"] FUW President Glyn Roberts welcomes Plaid Cymru Shadow Cabinet Secretary for Energy, Climate Change and Rural Affairs Simon Thomas to the FUW stand[/caption]

Glyn Roberts, the FUW’s President, said: “If we value our communities, our public services, our countryside, our heritage, our schools and our jobs, then we must protect them. Therefore, it is essential that specific ring-fenced funding for agriculture is allocated to Wales outside the Barnett Formula and that this should then be administered by the Welsh Government.

“We can have a prosperous future for the sector once we leave the EU and there are plenty of opportunities to be explored but a lot of it depends on the willingness of our politicians to recognise how different farming across the devolved nations is and that they have very different requirements.

“Farming make such valuable contributions to our economy. Managing and maintaining the countryside happens because of agriculture, that in turn brings tourism. Let’s not forget that the Welsh countryside, managed by our farmers, provides the backdrop for the tourism industry, which is worth over £2.5 billion.”

FUW urges Devolved Ministers to work closely in developing UK Framework

[caption id="attachment_7752" align="alignleft" width="300"] FUW Head of Policy, Dr Nick Fenwick[/caption]

The Farmers’ Union of Wales has written to all UK agricultural ministers urging them to move forward in terms of developing a UK framework for agriculture.

The call comes amidst fears that divisions between devolved governments may be growing and that discussions remain at a relatively early stage, despite Brexit being little more than two years away.

Following consultation with members, the FUW agreed last autumn that a UK agricultural framework should be put in place ‘which prevents unfair competition between devolved regions and secures and protects adequate long term funding for agriculture, while also respecting devolved powers over agriculture and the need for flexibility within that framework which allows devolved governments to make decisions which are appropriate for their regions.’

FUW Head of Policy, Nick Fenwick said: “Since the autumn, a growing number of politicians and others have acknowledged the merits of the FUW’s position.

“However, such a framework must be discussed with stakeholders and agreed between devolved administrations and agricultural ministers, and the wider economic, environmental and social importance of agriculture to our economies make it imperative that such discussions do not become an arena for separate political battles.”

Dr Fenwick said that he welcomed Welsh First Minister Carwyn Jones’ support for mature discussions to take place in order to reach agreement on the nature of such a framework, but was concerned that statements by some suggesting this position was not universally accepted.

“If the devolved departments are not working closely together, that would be a real concern given that the UK government is expected to issue a white paper on agriculture in the coming weeks, and that a framework needs to be in place within just a couple of years,” he added.

Such concerns have been made clear in a letter from FUW President Glyn Roberts to ministers currently in post who are responsible for agriculture, namely DEFRA Secretary of State Andrea Leadsom, Welsh Cabinet Secretary Lesley Griffiths, and Scottish Cabinet Secretary Fergus Ewing (there is currently no government in place in Northern Ireland).

In his letter, Mr Roberts states that: “...we are concerned that discussions at the highest level regarding the need for and nature of such a [UK agricultural] framework are not progressing at the necessary rate, particularly given the very short period during which important decisions need to be made.

“As such, we would urge you to do all you can to work closely with your counterparts in other parts of the UK in order progress matters at an appropriate pace, and in a manner which ensures the wellbeing of our rural communities is not compromised.”

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Ca parte a parteneriatului nostru cu FUW, cazinoul nostru online Ice Casino lansează o serie de jocuri cu tematică agricolă, unde o parte din încasări vor merge în sprijinul agriculturii.