Agriculture Citation and commencement 1 These Regulations may be cited as The Farm Sustainability (Transitional Provisions) Regulations (Northern Ireland) 2025 and shall come into operation on 24th February 2025. Interpretation 2 1 In these Regulations— “ agricultural activity ” has the same meaning as in Article 4(1)(c) of the Direct Payments Regulation; “ applicant ” means an eligible farm business which has applied for a payment under the scheme; “ APHIS ” means the Animal Public Health Information System maintained by the Department; “ authorised person ” means any person authorised by the Department to act in matters relating to these Regulations; “ Basic Payment Scheme ” has the same meaning as in the Direct Payments Regulation. “ the Commission Implementing Regulation ” means Commission Implementing Regulation (EU) No.809/2014 laying down the rules for the application of the Horizontal Regulation : “ the Department ” means the Department of Agriculture, Environment and Rural Affairs; “ determined area ” means the area for which all eligibility criteria or other obligations relating to the conditions for the granting of the aid have been met, regardless of the number of the payment entitlements at the beneficiary’s disposal; “ the Direct Payments Delegated Regulation ” means Regulation (EU) No.639/2014 supplementing the Direct Payments Regulation; “ the Direct Payments Regulation ” means Regulation (EU) No.1307/2013 of the European Parliament and Council of 17 December 2013 establishing rules for direct payments to farmers under support schemes within the framework of the common agricultural policy; “ eligible farm business ” means a farm business which has applied for a payment under the scheme on or before 9th June 2026 and meets the eligibility criteria in regulation 3; “ Farm Sustainability Transition Payment Scheme ” means the Basic Payment Scheme in so far as it applies in relation to the 2025 scheme year; “ Farm Sustainability Payment Scheme ” means the Basic Payment Scheme in so far as it applies in relation to the 2026 scheme year and subsequent scheme years. “ the Horizontal Regulation ” means Regulation (EU) No.1306/2013 on the financing, management and monitoring of the common agricultural policy; “ the scheme ” means the Farm Sustainability Transition Payment Scheme in relation to the 2025 scheme year and the Farm Sustainability Payment scheme in relation to the 2026 scheme year in these Regulations; “ scheme year ” means a year beginning on 1 January and ending on 31 December. 2 The Interpretation Act (Northern Ireland) 1954 shall apply to these Regulations as it applies to an Act of the Assembly. Farm Sustainability Payment; Eligibility Requirements 3 1 From 1 January 2026, an applicant must meet the criteria in paragraph (2) or (3) and paragraph (4). 2 An applicant for the scheme shall for the year 2020 or 2021— a have kept cattle or sheep or reared goats registered on APHIS; b reared deer for meat and sold that meat commercially; c have kept poultry registered with the Department as a commercial flock or pigs registered on APHIS, combined with selling grass (not including the sale of agistment grazing rights); d have farmed at least three hectares of a determined area with an arable or horticultural crop specified in Schedule 1 and declared in an application to the Department for either of those years; or e have been a contract rearer with a contract in place which demonstrated that they managed the livestock and associated grassland, bore the risks in relation to the agricultural activity being carried out and obtained benefits from it. 3 Paragraph (2) shall not apply to an applicant who in the year 2022, 2023, 2024, 2025 or 2026 has set up a new eligible farm business. 4 An eligible farm business shall have activated at least three payment entitlements in 2026. Farm Sustainability Payment; Payment Entitlement Transition Requirements 4 1 Subject to paragraph (2), payment entitlement leases agreed during the 2025 and 2026 scheme years trading period shall not exceed a term of more than one year. 2 An entitlement lease granted before 1st January 2025 shall continue to have effect until its expiry. 5 Payment entitlements where the lease ceases after the 2026 scheme year shall at the lease cessation date, revert to the lessor for an eligible farm business or if the lessor is not an eligible farm business, the payment entitlements shall expire. 6 A farm business not eligible for the Farm Sustainability Payment Scheme in 2026 may transfer payment entitlements to an eligible farm business by 15th May 2026. 7 Payment entitlements not held by eligible farm businesses, as determined in regulation 3, shall expire on 15th May 2026. Amendment of the Common Agricultural Policy Basic Payment and Support Schemes Regulations (Northern Ireland) 2015 8 1 The Common Agricultural Policy Basic Payment and Support Schemes Regulations (Northern Ireland) 2015 shall be amended as follows: 2 In regulation 2(1), (interpretation) in the appropriate place insert— “ active farmer ” means a person who holds decision making power, derives the benefits and assumes the financial risks in relation to the agricultural activity on the land; . 3 After regulation 10 insert— Active farmers 10A Only persons who are active farmers on land for which they have claimed payment entitlements shall be eligible to activate payment entitlements in respect of that land . Amendment of the Beef Carbon Reduction Scheme Regulations (Northern Ireland) 2023 9 1 The Beef Carbon Reduction Scheme Regulations (Northern Ireland) 2023 shall be amended as follows. 2 In regulation 2 (interpretation), insert in the appropriate places— a “ Farm Sustainability Transition Payment Scheme ” means the Basic Payment Scheme in so far as it applies to the 2025 scheme year; b “ Farm Sustainability Payment Scheme ” means the payment scheme for the 2026 scheme year and subsequent scheme years which replaces the Farm Sustainability Transition Payment Scheme. 3 In regulation 5 (Specific requirements; animal and farm businesses), for paragraph (b) substitute— b be eligible for a payment under– i the Basic Payment Scheme; ii the Farm Sustainability Transition Payment Scheme; or iii the Farm Sustainability Payment Scheme. . Hemp Production Requirements 10 In Article 9 of the Direct Payments Delegated Regulation , paragraphs 2, 3, 4 and 7 and Annex III shall be omitted. 11 In accordance with Article 35, paragraph 3 of the Direct Payments Regulation , active farmers in relation to hemp production shall— a hold a current licence issued by the Department of Health to grow hemp; and b supply the original seed labels to an authorised person upon request. Amendments to existing legislation 12 Schedule 2 sets out amendments to existing legislation. Amendment of the Direct Payments Regulation 13 1 The Direct Payments Regulation shall be amended as follows. 2 In Article 5A – a for paragraphs 1 and 2, substitute “The Department of Agriculture, Environment and Rural Affairs shall determine the total ceiling for Northern Ireland for each year prior to the commencement of payments” ; b omit paragraph 3; c omit Annex II. 3 In Article 30, after paragraph 12, add – 13 A young farmer or a farmer commencing their agricultural activity is not eligible to apply for an allocation of payment entitlements in a year after 2025. . 4 In Article 32, after paragraph 1, insert— 1A The relevant authority may make additional payments based on the amount paid under – i the Basic Payment Scheme; ii the Farm Sustainability Transition Scheme; or iii the Farm Sustainability Scheme . 5 In Article 50, after paragraph 11, add— 12 This Article shall not apply after 2025 except where a young farmer is eligible to receive the payment in 2025. 13 A young farmer who received the payment in 2025 or earlier may continue to receive the payment until the end of the 5 year period specified in paragraph 5. 6 In Article 53— a for paragraph 1 substitute “The relevant authority shall determine the amount that may be used to finance measures under Article 52.” ; b omit paragraphs 3 and 5. Amendment of the Direct Payments Delegated Regulation 14 1 The Direct Payments Delegated Regulation shall be amended as follows. 2 In Article 53a— a in paragraph 1— i in the first subparagraph, omit “if jointly agreed by the relevant authorities for each constituent nation”; ii omit the second subparagraph; b omit paragraphs 2 to 6. Amendment of Commission Implementing Regulation (EU) No.641/2014 15 In Commission Implementing Regulation (EU) No.641/2014 laying down rules for the application of Regulation (EU) No.1307/2013 , in Article 8(1), omit “prior to exit day”. Sealed with the Official Seal of the Department of Agriculture, Environment and Rural Affairs on 20th February 2025 Rosemary Agnew A senior officer of the Department of Agriculture, Environment and Rural Affairs