No Duty Increase For Agricultural Red Diesel Use

Budget 2020 reveals no increase for farmers and crofter’s red diesel duty following Union’s lobbying

The Chancellor of the Exchequer Rishi Sunak announced in his first Budget that there would be no increase in red diesel duty for the agriculture industry today (Wednesday 11 March).

NFU Scotland President Andrew McCornick said: “It comes as a great relief to farmers and crofters across Scotland that there will be no increase in duty for red diesel for the agriculture industry.

“Having access to affordable red diesel is key to farmers and crofters being able to produce the high quality raw materials for a successful Scottish food and drinks industry.

“Off the back of a great deal of discussion last week around a possible rise in red diesel duty, NFU Scotland asked its members to contact their MPs to highlight their deep concerns. NFU Scotland’s members answered the call in great numbers and today’s result is testament to the lobbying power we have as a united organisation.

“Away from the red diesel, it is important that NFU Scotland is engaged by the UK Government on its comprehensive spending review which will set out the funding to meet the Conservative Party’s manifesto commitments on funding for the replacement of the CAP and EU structural funds. NFU Scotland strongly believes that the spending review should consider the introduction of multiannual financial frameworks for farm support, that will help food producers plan and invest beyond the short to medium term.

“The confirmation of £25 million for the Argyll and Bute rural growth deal could create a tangible benefit for the agriculture industry in the area, which has suffered from some significant setbacks over recent times. NFU Scotland hopes to play a role in ensuring that the growth deal benefits local farmers and crofters in the region as key players within the local rural economy.

“The promised uplift in spending for digital connectivity, including the 5G rollout in the hardest to reach areas of Scotland, is an extremely promising development for many of our very rural members who, more and more, are requiring high performance broadband for their businesses. Any implementation of this uplift will require a great of cooperation and communication between the UK Government and the Scottish Government.”