NFU Scotland has written to the Scottish government seeking confirmation that £33 million deferred from the agricultural budget last year will be returned.
In the Emergency Budget Review (EBR) in 2022, £33m of funding awarded to the fair allocation of agricultural support in the UK was deferred.
The then-Deputy First Minister and Cabinet Secretary for Finance, John Swinney, publicly confirmed that the deferred budget would be returned to the sector.
Future budgets are set through the annual parliamentary Budget Bill process and the appropriate profile for returning this funding will be considered as part of the 2024-25 process.
In response to a parliamentary question last month, the current Deputy First Minister and Finance Secretary Shona Robison confirmed that the money will be used to invest in rural priorities.
NFU Scotland has requested to meet Ms Robison to discuss the rural affairs budget and how Scotland’s farmers and crofters need that public support.
Commenting on the letter to the Deputy First Minister, NFU Scotland President Martin Kennedy said it was a "critical and decisive time" for Scotland’s farmers.
"Agricultural policy in both Scotland and the rest of the UK is currently undergoing significant change," he noted.
"That debate is being undertaken against the backdrop of a cost-of-living crisis, and there are clearly critical issues around funding going forward.
“When food security and future production are such key issues for the nation, this is causing great concern for our sector."
In the union's Intentions Survey conducted in January, almost two-thirds of farmers identified uncertainty around future agri policy and funding as the most significant threat to their businesses.
Funding from HM Treasury for the sector is only committed until the end of this UK parliament, with Mr Kennedy saying clarity from the Scottish government on future support, including the return of the £33m funding, would provide "welcome reassurance".
“Without government investment, many farmers and crofters would find it impossible to generate sufficient funds to reinvest and maintain their competitiveness and that has implications for consumers, food production and rural communities.
“At NFU Scotland, we want to secure the future of farming and crofting, not just for our members but the thousands of jobs and businesses, located within rural communities across Scotland, which are supported by our sector.
"We would welcome the opportunity to discuss with the Deputy First Minister how we believe Scottish Government can support that ambition.”
