Westminster Policy News & Legislative Analysis

Scotland sets 3-year fruit and veg programmes, 4.1% cap

Scotland’s new regulations for fruit and vegetable producer organisations are now in force. Effective from 30 January 2026, the instrument fixes three‑year operational programmes, ties the 4.1% aid cap to produce grown in Scotland, brings the estimate notification forward to 1 March, introduces an every‑third‑year submission cycle, and provides a new appeals route covering decisions under EU delegated and implementing rules. (consult.gov.scot)

Operational programme duration is standardised at three years by amending Article 33 of Regulation (EU) 1308/2013 (the CMO Regulation). For producer organisations and associations, this creates a fixed renewal horizon and removes the previous two‑to‑three‑year discretion used in Scotland. (legislation.gov.uk)

Financial assistance is recalibrated by revising Article 34 so that support is limited to 4.1% of the value of the marketed production (VMP) of produce grown in Scotland. The Scottish‑grown basis aligns the budget with domestic production and reflects scrutiny statements to Parliament about avoiding uncapped participation by production outside Scotland. (parliament.scot)

Commission Delegated Regulation (EU) 2017/891 is amended so that, for each year of a programme, the ceiling is calculated using the VMP of produce grown in Scotland during the reference period, based on members on 1 January of the programme’s first year. The deadline for notifying the estimated amount of financial assistance moves from 15 September to 1 March. (agriculture.ec.europa.eu)

Commission Implementing Regulation (EU) 2017/892 now requires operational programmes to be submitted by 15 September in any applicable year, and approval is only possible where the 1 March estimate has been lodged in the preceding year (or a later date set by the authority). ‘Applicable year’ is defined as 2025 and every third year thereafter, establishing a 2025, 2028, 2031 cycle and so on. On that basis, the next full submission window will fall on 15 September 2028, with estimates due by 1 March 2027 unless extended by the authority. (agriculture.ec.europa.eu)

Transitional arrangements govern the period 1 January 2026 to 31 December 2028. For organisations whose operational plans ended on 31 December 2025 and who have submitted a plan starting 1 January 2026, assistance is calculated as if the new ‘grown in Scotland’ wording were paused for existing members. The 4.1% cap can include all produce grown by members admitted before 30 January 2026, while members joining on or after that date are limited to produce grown in Scotland. By inference, from 1 January 2029 the standard ‘grown in Scotland’ basis applies to all members.

Appeals are widened. The schedule to the Common Agricultural Policy Non‑IACS Support Schemes (Appeals) (Scotland) Regulations 2004 is expanded to include decisions made under Delegated Regulation 2017/891 and Implementing Regulation 2017/892. Decisions are now amenable to review and appeal to Scottish Ministers in the first instance, bringing the fruit and vegetables regime within the established non‑IACS administrative appeals framework.

For finance and compliance teams, the earlier 1 March estimate accelerates cash‑flow and VMP modelling by more than six months compared with the previous 15 September timing. Producer organisations will need up‑to‑date member line‑ups as at 1 January, timely sales data to substantiate VMP, and auditable evidence of where produce was grown. Associations of producer organisations should ensure the Scottish‑grown filter is applied consistently across all member POs.

Scheme delivery is also shifting. From operational programmes approved for the 2026 scheme year and onwards, administration in Scotland transfers from the Rural Payments Agency to the Scottish Government’s Rural Payments and Inspections Division, while recognition and monitoring of producer organisations remain with the RPA. This operational change sits alongside the new legal timetable and contact points. (ruralpayments.org)

Finally, the 2023 Scottish instrument on fruit and vegetables (S.S.I. 2023/311) is revoked as spent. The 2026 Regulations are now the primary reference for programme design, funding calculations and appeals in Scotland’s fruit and vegetables producer organisation scheme.

Policy Wire view: this SSI tightens geographic targeting and brings forward the financial‑planning calendar. The immediate task for producer organisations is evidencing provenance and recalibrating estimates on a Scotland‑grown basis, while planning for the 2028 cycle under the every‑third‑year submission model. (consult.gov.scot)