The Scottish Government has announced a new deal for farmers and an increase in funding.

The announcement was made by the First Minister of Scotland, John Swinney, at the NFU Scotland annual conference.

The Scottish Government will invest £20 million additional capital support this year and £26 million next year in our farming sector.

The conference also heard from retiring NFU Scotland President Martin Kennedy over the damaging effects of leaving the EU, the world’s largest free trade area,  highlighting the severe labour shortages the industry faces.

Martin Kennedy said that there was a need for an extension of the Seasonal Worker Visa from six to nine months and the the removal of the cap on the number of seasonal workers. It followed a meeting between NFU Scotland, UK Government Home Office and Scotland Office to discuss seasonal workers earlier this week.

Also on farmers minds was the UK Labour Government’s new inheritance tax which will hit the sector and force many family held farms into severe financial straits.

Martin Kennedy called on the UK Treasury to engage in meaningful discussions with the four UK farming Unions – something they have called for but have so far received zero response.

Andrew Connon has been elected to the position of President of NFU Scotland and Vice Presidential posts go to Duncan Macalister and Robert Neill.

In his address to the Conference, First Minister of Scotland John Swinney said:

“I want to see a farming sector that is equipped and ready to meet the challenges and seize the opportunities of the future. That is why at least £14 million will be delivered through our Future Farming Investment Scheme.

“We will work at pace to consult with industry to ensure the capital grant scheme guidance and priorities work for a range of businesses and that the application processes are simple and straightforward. They will not be prescriptive, as long as the funds are used to drive efficiency or support nature and climate friendly farming your bid will be valid and could receive support.

“A flourishing Scotland means a flourishing rural Scotland. And for rural Scotland to thrive, farming must thrive. I look forward to working with the industry – building on the constructive working relationships we have with NFU Scotland to show that this government is committed to continuing to support our nation’s farmers.”