Royal Bank of Scotland unveils farming support scheme
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On the eve of the Royal Highland Show, the bank said it is offering specialist and mentoring support to customers and non-customers making their debut in the sector, and expects to help 60 to 90 new businesses a year.
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It also said this follows its Harvesting the Future for Young Farmers report outlining concerns and issues in this field north of the Border.
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Hide AdThe survey of more than 500 young and potential new entrant farmers based in Britain highlighted issues including limited succession opportunities, access to funding and varying levels of business skills, as well as an inability to embrace new farming models. This came despite a fifth of young farmers surveyed stating that they were looking for new ways to access farming such as share farming.
RBS, however, also noted that young farmers hold “huge economic potential and are driving significant enterprise trends in the agricultural sector”.
According to the report, almost 20,000 new diversification projects could be delivered by young farmers, generating nearly £12,000 in extra income per farm.
• READ MORE: RBS highlights ‘cyclical’ nature of farm finances
Alison Rose, chief executive for commercial and private banking for RBS, said: “Farming is vital to the Scottish economy, and across government, support bodies and customers, the sentiment is clear — we must make entry to agriculture easier.”
She said the programme aims to address issues such as many mainstream lenders in the sector having certain conditions “outwith the scope of most young farmers”.