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Section 6 - What should I do if I have another scheme or obligation on my land?

6.1 Single Payment Scheme

As a general rule land receiving payments from the Single Payment Scheme (SPS) may be entered into HLS. Your HLS payment will be in addition to any payment you receive for SPS.

6.1.1 Cross compliance management and HLS options

HLS options have been designed to go beyond the requirements of cross compliance management of the SPS. You must follow the procedures explained in section 4.1.1 of the ELS or OELS handbook when you are applying for and managing your hedgerow (HB12) and grass margin (HE10) options.

There are some arable options where, for reasons of timing or location, the HLS management may fall outside the cross-compliance conditions of SPS. If you comply with the conditions of the HLS agreement, you will not have to meet the cross-compliance conditions which conflict with the agreement.

The land management required for the following options will, however, usually contravene the requirements of cross-compliance because the land is unlikely to be capable of being 'returned to agricultural production by the next growing season'. Such land is also likely to become ineligible for the SPS, either because it is 'forest' or because it is 'used for non-agricultural activities'. Therefore if you have land accepted into one of the following options, and you have included it as 'eligible hectares' in your SPS application, you will be required to surrender to the national reserve a number of entitlements equal to the number of 'eligible hectares' upon which these HLS options will be paid:

Creation of woodland in the LFA HC9
Creation of woodland outside the LFA HC10
Creation of inter-tidal and saline habitat on arable land HP7
Creation of inter-tidal and saline habitat on grassland HP8
Creation of inter-tidal and saline habitat by unmanaged breach or regular inundation HP9

The resulting loss of SPS payment has been factored into the payments for these options.

6.1.2 HLS options and set-aside land

There are two arable HLS options which are available to enhance the environmental interest of set-aside. Although some of the management requirements may differ from those of set-aside, any land entered into the following options will not be disqualified from SPS and may be included within your set-aside obligation.

Cultivated fallow plots for arable flora HF16
Cultivated fallow plots for ground nesting birds HF17

Other than these two exceptions, you should not put set-aside on land on which there are HLS options. If you do, then your HLS payment is likely to be reduced or stopped. (Please also see section 4.1.2 in your ELS or OELS handbook.)

6.1.3 Providing information on your SPS annual return

You will be required to provide information about the location and amount of HLS options you have on your annual SPS return.

6.2 Entry Level and Organic Entry Level Stewardship

The Entry or Organic Entry Level and Higher Level elements have been designed to complement each other. If you already have an ELS or OELS agreement you will need to re-apply for these options when you make your HLS application - see section 3 and section 4 of this handbook for more information. This will ensure that the elements of Environmental Stewardship are combined in the most effective way.

6.3 Countryside Stewardship Scheme (CSS)

It is not possible for HLS to be combined on the same holding as CSS. If you have a CSS agreement, in most situations you will have to wait until your existing agreement expires before applying for HLS. However, land may be added to CSS agreements where this meets their current rules on amendments.

In some cases, where the existing agreement is on only part of the holding, and there are substantial environmental benefits from bringing new land or features into HLS, it may be possible to terminate the existing agreement and replace it with an HLS agreement. Agreement holders who feel they may fall into this category are strongly advised to discuss their case with their RDS adviser before either commissioning a Farm Environment Plan or applying for an HLS agreement.

6.4 Environmentally Sensitive Areas (ESAs)

It is not possible for HLS to be combined on the same holding as an ESA. If you have an ESA agreement, in most situations you will have to wait until your existing agreement expires before applying for HLS. However, land may be added to ESA agreements where this meets their current rules on amendments.

In some cases, where the existing agreement is on only part of the holding, and there are substantial environmental benefits from bringing new land or features into HLS, it may be possible to terminate the existing agreement and replace it with an HLS agreement. Agreement holders who feel they may fall into this category are strongly advised to discuss their case with their RDS adviser before either commissioning a Farm Environment Plan or applying for an HLS agreement.

6.5 Habitat Scheme (HS)

It is not possible for HLS to be combined on the same holding as HS. If you have an HS agreement, in most situations you will have to wait until your existing agreement expires before applying for HLS. However, land may be added to HS agreements where this meets their current rules on amendments.

In some cases, where the existing agreement is on only part of the holding, and there are substantial environmental benefits from bringing new land or features into HLS, it may be possible to terminate the existing agreement and replace it with an HLS agreement. Agreement holders who feel they may fall into this category are strongly advised to discuss their case with their RDS adviser before either commissioning a Farm Environment Plan or applying for an HLS agreement.

6.6 Organic Aid/Organic Farming Scheme (OAS/OFS)

If you have any land which is in the OAS or OFS, this is not eligible for HLS, ELS or OELS. However, transitional arrangements are in place to allow existing OFS agreement holders to transfer into OELS and HLS in certain limited circumstances. Section 4.2 of your OELS handbook explains these transfer arrangements in more detail.

6.7 Energy Crops Scheme (ECS)

HLS options must not be located within land parcels covered by an ECS agreement. However, boundaries surrounding ECS parcels may be entered into HLS boundary management options.

6.8 Farm Woodland Premium Scheme (FWPS), Farm Woodland Scheme (FWS), Woodland Grant Scheme (WGS) and the English Woodland Grant Scheme (EWGS)

Woodland managed under the Forestry Commission grant schemes such as EWGS, or the now closed WGS, FWPS and FWS, is not eligible for HLS management options.

6.9 Hill Farm Allowance (HFA)

Please refer to section 4.7 of your ELS handbook or section 4.9 of your OELS handbook.

6.10 Other land management schemes on my land

If land which you intend entering into HLS is in receipt of funding from another grant scheme, you cannot also receive HLS funding for the same work. Work which is outside the scope of HLS may, however, be eligible for grants from other organisations, including local authorities. You may also be able to enter other agreements or schemes on other land.

6.10.1 Sites of Special Scientific Interest (SSSIs)

Land designated as an SSSI may be receiving payments under English Nature's Wildlife Enhancement Scheme (WES). SSSI land may also be eligible for HLS provided that HLS and WES are not funding the same activity.

6.10.2 Scheduled Monuments (SMs)

Land designated as an SM may be receiving payment from English Heritage to help manage the site appropriately under what is known as a Section 17 Management Agreement. Such land may also be eligible for HLS provided that HLS and an EH Section 17 Management Agreement are not funding the same activity.

6.11 Inheritance/Capital Gains tax exemption

The requirements referred to at section 4.9 of your ELS handbook or section 4.11 of your OELS handbook, also apply to HLS options.

6.12 Nitrate Vulnerable Zones (NVZs)

Please refer to section 4.11 of your ELS handbook or section 4.13 of your OELS handbook.

6.13 Heritage Lottery Funding (HLF)

Swaledale in the Pennine Dales ESA
Photo of a dry stone wall in a valley in the Pennine Dales E S A

HLF payments are designed to fund management not covered by HLS or other schemes, or for measures over and above the requirements of other schemes. HLF applications can count HLS as a source of match or partnership funding towards securing grants for further works, but only where the HLS payments are for separate works that are not subject to prior conditions. Where HLS agreements within an area-wide project have been signed less than 12 months prior to the HLF application, the payments will be viewed as match funding. The projected payments for future HLS agreements will also be included in the calculations.

6.14 Other obligations

You must make sure there are no other duties or obligations on you or the land that would conflict with your HLS agreement. If you are in any doubt about potential conflicts, please contact your RDS adviser.

Page last modified: 30 June, 2005
Page published: 3 March, 2005

Department for Environment, Food and Rural Affairs