Reduction in 2014 Welsh Payments January 16, 2014 12:00 am Farmers in Wales will be notified of their 2014 entitlement values in February. As a result of the reduction in the CAP budget and the announcement that Wales will be transferring the maximum 15% from Pillar 1 to Pillar 2 (see last month’s article), entitlement values will be reduced by around 23.4%. However, modulation will not now be deducted from the payment in 2014 (previously it was 11.5% in Wales). Therefore the reduction in the payment received in 2014 compared to 2013 is expected toabout 14.5% at current prices according to the Welsh Government. To us, these sums don’t quite seem to add up. We have questioned them with the Welsh Government. Obviously any changes in the exchange rate could change payment levels by as much or even more than CAP reform. This will be the last year for these entitlements, they will expire on 31st December 2014. New entitlements will be issued from 2015 under the new CAP legislation.
