THE FUNDING FLOW - CAP 'PILLAR 2' POLICY REFORM
The Common Agricultural Policy is comprised of two
pillars through which the funding passes. The vast majority flows
through the first pillar, such as the direct aid, but an important
minority flows through the second, the rural development fund.
Defra has published more clarification on how policies in this
pillar are going to change for the current 2014 to 2020
period.
Defra has decided that 12% of the first pillar funds will be
transferred to the second pillar. It is Defra's intention to
increase this to 15% in 2018, following a review of the demand for
agri-environmental schemes. This will leave approximately
£3.65bn for Rural Development for England for 2014 to 2019.
Of this, 87% will be for agri-environmental schemes, 5% for a
growth programme, 4% for competitiveness initiatives and the
remaining 4% for the local LEADER programme.
