farm business investment scheme tier 2

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FBIS Capital Scheme - Tier 2 Tranche 2 – Expression of Interest Stage

An Expression of Interest (EoI) for the second tranche of Tier 2 of the Farm Business Improvement Scheme - Capital (FBIS-C) opened on Monday 19 July and will close at 4pm on 13 August 2021. The introduction of the  EOI stage means that Farm Businesses must submit an expression of interest to be eligible to submit a grant application later in the year.

The total maximum grant available to a successful applicant availing of both Tier 1 and Tier 2 is £250,000 over the lifetime of the RDP 2014-20. Tier 2 provides for on-farm investment projects in future-proofed, fit-for-purpose, modern infrastructure and equipment, in excess of £30,000 eligible project costs (to a maximum available grant of £250,000) based on a robust farm business plan.

It aims to improve the performance and sustainability of Northern Ireland’s farm businesses by providing grants for capital investment across five key themes:  (1) Contribution to sustainable growth;  (2) Environment, Weather Resistance and Climate Change;  (3) Animal and Plant Health;  (4) Occupational Health and Safety; and (5) Production and Resource Efficiency.

Grant is also available for new equipment that is retrofitted into existing buildings, for example, a new milking parlour could go into an existing shed, provided an engineer’s certificate is submitted to confirm the building is fit for purpose to support the new equipment.

The maximum amount of grant available per farm business over the lifetime of the RDP 2014 -20 is £250,000. The grant rate is 40% of eligible project costs for projects costing over £30,000 (net of VAT).

Potential Project Potential Combination of Items Contribution to Theme Redesign and fit out of a dairy cow cubicle shed New cubicle beds and divisions (T3) New head locking yokes at feed barriers (T3, T4) Fitting of heat detection system (T5) New water troughs (T3, T5) Robotic scrappers (T2).

Additional cow tracks to allow extended grazing and improvements in dirty water collection in the farm yard Improvement to the existing cow tracks and change slope to reduce potential pollution (T2, T3, T5) Additional 1.8km of new cow tracks (T2, T3, T5) New fencing along new cattle tracks and individual paddocks (T5) Improvement in farmyard drainage to ensure separation of clean and dirty water (T2, T5) New GPS system to include self-steer to tractors and Fit GPS receivers and self- steer devices to tractors (T2, T4).

Dairy calf to beef equipment to fit into existing shed Individual galvanised calf rearing pens (T3, T4, T5) Automated calf rearing system that identifies and feeds calves (T2) Gates and feed rails (T3, T4) Fixed handling facilities to include railing, gates, walling and surfacing with associated waste collection tank where necessary (T3, T4) Cattle weighing squeeze crush (T4) Meal bin and associated auger (T3)

All applicants will need to complete a Stage 1 EoI form online before the closing date of 4pm on 13 August 2021-

Some useful information

An explanatory booklet is available for reference to assist you in preparing your EoI application. You can access the booklet here

The Expression of Interest application form can be accessed here

A list of FAQs for the Tier 2 Tranche 2 Expression of Interest stage is available here 

A Category 1 Farm Business ID is required for all applicants to the FBIS Capital Scheme.  Further information and details on how to apply for a DAERA Farm Business ID can be found here  

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£12 million earmarked for FBIS Tier 2 tranche 2

July 20, 2021 12:45 pm

The scheme will support transformational investment in on-farm projects costing more than £30,000 (excl. VAT). Funding is provided at a grant rate of 40% of eligible costs, with £250,000 the maximum grant available under the FBIS-Capital scheme.

Tier 2 tranche 2 expected later this year

In order to gauge the number and range of farmers and growers who are ready to make a significant investment to transform their business, I am inviting potential applicants to submit an Expression of Interest at this stage.

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Farm Business Improvement Scheme (FBIS) – Capital Scheme

Countryside Services are responsible for the delivery of a range of service contracts targeting support to rural businesses including the FBIS.

FBIS is a package of measures aimed at improving the competitiveness and sustainability of the farming sector. FBIS is an important part of the Rural Development Programme (RDP) 2014 to 2020 and is being rolled out in a phased way. The first phase of the FBIS is already underway with the launch of Business Development Groups and Farm Family Key Skills, which will make advice and support available to help farmers clearly identify their needs and make the right decisions about developing their business. The FBIS Capital Scheme opened on 31 October 2016.

Introduction to the scheme

The Preparation Stage for the Capital Scheme opened on 20th September 2016.  Its purpose is to make information available about the key features of the Scheme and to help farmers to begin thinking about what they need to do if they are interested in applying for grant support.

FBIS – Capital Scheme overview and timeline

The Capital Scheme has two separate tiers – Tier 1 and Tier 2.  The grant rate of funding for both tiers in the Scheme is 40% of eligible costs.  Two Tranches of the Scheme were planned in its initial phase, however, Tier 1 has now been extended with Tranche 4 of the Farm Business Improvement Scheme – Capital (FBIS-C) reopening on Tuesday 27th  September 2022.  The scheme closed for receipt of applications on Friday 11th November 2022.  FBIS-C is part of the Farm Business Improvement Scheme, a package of measures aimed at improving the competitiveness and sustainability of the farming sector.

Farm Business Improvement Scheme Tier 1 Tranche 4 opened for receipt of applications on Tuesday 27th September 2022 and closed on Friday 11th November 2022.

The objective of Tier 1 is to improve the sustainability of farms in Northern Ireland (NI).  It will provide support for farmers and growers to invest in equipment and machinery that will help realise improvements in efficiency, environmental practice, animal health and welfare, and health and safety associated with modern farming practices.

Tier 1 is for projects costing from £5,000 – £30,000 (£2,000 – £12,000 grant) and is primarily aimed at the purchase of off-the-shelf equipment and machinery.

See the official DAERA website for more information on Tranche 4

The focus of Tier 2 is on larger scale investment to encourage a step change in the agriculture and horticulture sectors, and to drive transformational investment in future proofed, fit for purpose, modern infrastructure and equipment, guided by a robust business planning process within assisted farms.

Tier 2 is for projects costing from £30,000 – unlimited (£12,001 – £250,000 maximum grant) and is primarily for construction projects and the purchase of higher value equipment linked to the needs in the farmer’s business plan.

See the DAERA website for more information

Key requirements for the applicant (Tier 1 and Tier 2)

The scheme is primarily aimed at those who are actively farming.  Applications must meet the following key requirements:

1) Possession of a valid DAERA Category 1 Farm Business Identification Number (ID)

A Category 1 Farm Business ID is required for all applicants to the FBIS – Capital.  Further information and details on how to apply for a DAERA Farm Business ID can be found at the following link:  DAERA Farm Business ID

2) Completion of farm safety training and assessment- certificate through the Making It Safer self-assessment

All applicants to the Scheme must complete the “Making it Safer” self assessment certificate where the applicant will be required to answer questions relating to their own farm on; Slurry, Animals, Falls and Equipment (SAFE). This is an online tool available at the Farmsafenet website .  A certificate will be issued on completion.

Applicants will need to save this digital certificate (save on a computer rather than a mobile device) as it will need to be uploaded as part of the application process.  The DAERA Farm Business ID number entered onto the certificate will be checked against the Farm Business ID number on the FBIS Capital application form.  It is essential that the Farm Business ID number is entered onto the “Making It Safer” certificate, otherwise it cannot be accepted and the application will be ruled ineligible.

3) Completion of a proportionate business plan

For Tier 1, this will be a straightforward part of the application form.

Applicants to Tier 2 will be required to submit a separate robust business plan as part of their application, which shows that they have carefully planned their investment and what difference the proposed project will make in transforming their farm into a more sustainable, efficient and safer business.

Outline of the areas to cover within the Tier 2 business plan:

• Current farm business
• Details of the proposed project and its implementation
• Objectives and outcomes to be achieved
• How Health and Safety issues have been addressed
• What environmental mitigations have been considered
• Financial objectives set within the plan; and
• Detailed financial projections to support the plan.

DAERA will assess the objectives in the applicant’s business plan against those of Tier 2 of the Capital Scheme.

Additional information for applicant

Anyone needing assistance or additional information can contact Countryside Services Ltd by calling 028 8778 9770 or emailing [email protected] .

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Farm Business Investment Scheme Tier 2 closing soon

Friday, 6 August, 2021

Home > News > Farm Business Investment Scheme Tier 2 closing soon

Commodity watch by senior policy officer Aileen Lawson

The long-awaited tranche two of the Farm Business Investment Scheme (FBIS) Tier 2 is now open for ‘expression of interest’ but there are now only a few days left to submit this online form – the application process closes at 4pm on 13 August 2021. This stage is mandatory if farmers wish to progress with a full application. 

£12 million has been allocated to this tranche and FBIS Tier Two will fund projects from £30,000 up to an unlimited cost, with the maximum grant available of £250,000 at a grant rate of up to 40 percent. The £250,000 maximum grant limit per farm business includes FBIS funding received in Tier 1 or the first tranche of Tier Two.

This time FBIS Tier Two will be delivered in two stages. The ‘expression of interest’ stage which is currently open is to allow the Department of Agriculture, Environment and Rural Affairs (DAERA) to assess the appetite and readiness of farm businesses to invest in projects and their ability to complete the project within 12 months, so that payments can be administered and made by the end of the current Rural Development Programme (December 2023). The online expression of interest form is relatively straightforward and does not require quotations at this time. The second stage will require a more detailed business plan and additional information from applicants. 

The focus of Tier 2 is on larger scale, farm investments which will drive sustainable growth through transformational investment in ‘future proofed, fit for purpose, modern infrastructure and equipment on farms’.

There is a perception from farmers that Tier 2 is focused on construction projects however, this is not the case with higher value equipment including some machinery also eligible for support. The scheme will also permit a number of individual items which may be less than £30,000 (e.g. from the Tier 1 equipment list) but when combined with other items, form a system to provide an overall improvement to the farm.

For example, a farmer could apply to fit rubber slats covers, introduce new handling facilities including a weigh bridge with auto ID and a recording system for suckler cows. Each item individually may be priced at less than the £30,000 minimum project spend but collectively the new modern facilities make up a system that meets the Tier 2 criteria. 

A key difficulty from the previous tranche of Tier 2 was obtaining planning with some applicants held up for several months due to ammonia issues within planning applications. DAERA have changed this tranche ruling that for construction projects, planning approval or a certificate of lawful use or development (CLUD) must be in place before an application is submitted for the full application stage (Stage 2) which is expected later on this year.

A CLUD requires an application to the local Planning Authority (Council), payment of a fee and it basically confirms if the development is lawful under permitted development rules i.e., it confirms that full planning permission is not required. While this planning requirement is causing some frustrations, this scheme is funded through the Rural Development Programme which is coming to a close and has a tight timeline for monies to be spent therefore, if there are planning delays or if Tier 2 did not open at this time, the funding could be lost to NI farmers.   

As before standard equipment, second-hand equipment, general purpose buildings and repair and maintenance are again not permitted within this scheme.

While the scoring criteria for the next stage of the application has yet to be made public, delivering environmental improvements will make up a significant part of the assessment process. There is a requirement for NI agriculture to reduce ammonia emissions, greenhouse gas emissions and excess nutrients therefore projects that can help deliver against these challenges will have a better chance of success. 

DAERA have also clearly outlined that they will not support anything that will result in the increased confinement of livestock on farms and instead DAERA are encouraging farmers to consider applying for support for grazing infrastructure. This is largely due to the higher amounts of ammonia produced from livestock in housed systems.

This is a good opportunity for farmers to further avail of Rural Development Programme funding on farms. The future for all businesses depends on investing to make them as efficient as possible and the FBIS will encourage this. The scheme gives farmers the opportunity and support to further develop their farm or to purchase modern equipment to help future proof their business, increase production efficiencies and make environmental improvements.

Before applying, farmers need to carefully consider the scheme, ensure that they can meet all the conditions and to only apply for what they need and what they can commit to financially. DAERA have produced detailed guidance and have a helpful frequently asked questions section on their website which farmers should read carefully before applying to the scheme. 

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900 expressions of interest received for NI’s FBIS Tier 2 Tranche 2

August 25, 2021 5:58 pm

• Contribution to sustainable growth;
• Environment, Weather Resistance and Climate Change;
• Animal and Plant Health;
• Occupational Health and Safety; and
• Production and Resource Efficiency.

Changes for Tier 2 Tranche 2

“However, a number of these were duplicates or for proposals which would be ineligible under the scheme rules.

Expression of Interest stage

Related stories:, fbis tier 2 to change to 2-step process for tranche 2, £12 million earmarked for fbis tier 2 tranche 2.

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FBIS Capital Scheme - Tier 1 Tranche 4

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Tier 1 Tranche 4 is now open and will close at 4pm on 11 November 2022.

Tier 1 Tranche 4 Explanatory Booklet

A Tier 1 Tranche 4 Explanatory Booklet has been made available to assist in preparing applications:

• Tier 1 Tranche 4 Explanatory Booklet  

Tier 1 Tranche 4 Application Form and Guidance

The Tier 1 Tranche 4 application form is available through the following link:

• www.eugrantfundingni.org

Guidance for completing the online application form is available here:

• Tier 1 Tranche 4 online application form guidance

Tier 1 Tranche 4 Frequently Asked Questions (FAQs)

A list of FAQs for Tier 1 Tranche 4 is available here:

• Tier 1 Tranche 4 FAQs

Ineligible Items/Projects

Some items/areas will be ineligible for grant support through the Capital Scheme. More information can be found here .

Tier 1 Tranche 4 Reference priced list of eligible items

Applicants are required to select items from a Tier 1 Tranche 4 reference priced list of eligible items:

• Reference priced List of Eligible Items

Tier 1 Tranche 4 Fencing Specification and Installation Guidelines

Guidance on Tier 1 Tranche 4 fencing specification and installation is available at the link below:

• FBIS Capital Scheme - Tier 1 Tranche 4 Fencing Specification and Installation Guidelines

Possession of a valid DAERA Category 1 Farm Business ID

A Category 1 Farm Business ID is required for all applicants to the FBIS Capital Scheme. Further information and details on how to apply for a DAERA Farm Business ID can be found at the link below:

• DAERA Identification numbers for business customers herds and flocks 2022

Completion of farm safety training and assessment certificate through the ‘Making it Safer’ risk assessment and load to application system

All applicants to the Scheme must complete the FarmSafeNet ‘Making it Safer’ risk assessment where the applicant will be required to answer questions relating to their own farm on Slurry, Animals, Falls and Equipment (SAFE).

The FarmSafeNet ‘Making it Safer’ risk assessment must have been completed on or after 31 August 2022.

This is an online tool and it is available from the link below. A certificate will be issued on completion.

• ‘Making it Safer’ self assessment

Applicants will need to save this digital certificate (to a computer rather than a mobile device) as it will need to be electronically uploaded as part of the online application process. The DAERA Farm Business Identification number entered on to the certificate will be checked against the Farm Business Identification number on the FBIS Capital Scheme application form.

You will need your DAERA Category 1 Farm Business Identification Number in order to complete your Making It Safer risk assessment.

It is also recommended that applicants complete the ‘FarmSafeNet’ Health and Safety awareness training  prior to completing their ‘Making It Safer’ risk assessment. 

Tier 1 Tranche 4 Educational Attainment – Level II Eligible Qualifications

The College of Agriculture, Food and Rural Enterprise (CAFRE) has compiled a list of qualifications eligible to attract marks under the 'Educational Attainment' selection criterion for the Farm Business Improvement Scheme – Capital (FBIS - C). Applicants can check this list to verify if qualifications they hold will be accepted by DAERA for the purposes of their application.

A list of eligible qualifications under the 'Educational Attainment' selection criterion for the FBIS - C can be found at the link below:

• FBIS Capital Scheme Educational Attainment - Level II Eligible Qualifications

Tier 1 Tranche 4 Indication of Support letter from Bank/lending institution

An Indication of Support letter will be required at application stage for the FBIS-C Tier 1 Tranche 4. All applicants must provide a template letter that has been completed by their bank or lending institution before they make an application for grant support. 

The Indication of Support Letter must have been completed on or after 31 August 2022.

This letter, referred to as an Indication of Support Letter, is designed to encourage applicants to carefully consider the needs and circumstances of their farm business before proceeding with a project and will confirm that the applicant has access to funds to complete their project. 

Applicants do not actually have to borrow the funds from a bank or lending institution. However, should you decide to proceed with an application, the letter will provide reassurance to the applicant, the financial institution and DAERA that the applicant will be able to access the funds necessary to finance and complete the proposed investment, including VAT, until the applicant is reimbursed for the grant assistance towards eligible expenditure at the end of the project.

The bank letter template, DAERA FBIS-Capital Indication of Support , should be used by the applicant, if you bank with one of the main financial institutions. However, banks and lending institutions may choose to use an alternative letter format which will be accepted, provided equivalent information is contained within the letter.  

If the financial institution that the applicant banks with wishes to provide a letter that is not in the above format, then it must include the following information as a minimum: 

• Name, address of client and six digit DAERA Category 1 Farm Business ID number (to be used by DAERA to cross reference the application);
• Confirmation that the client has managed their account effectively and/or complied with the terms and conditions of the account;
• Future funding requirements of the client have been discussed in relation to purchase of items under the Farm Business Improvement Scheme – Capital;
• Confirmation that, at present, the client has access to sufficient funds, or could have access to sufficient funds, to purchase equipment (including VAT) under the Scheme – prior to a grant being paid by DAERA (should the client be successful in obtaining a Letter of Offer of funding).
• Signed by and dated by an authorised representative of the bank/lending institution.

If the applicant is provided with a letter from the financial institution with the information, as set out in points one to five above, this will suffice and it can be attached to the application for FBIS - C in the usual way.

The bank/lending institution letter does not have to be in the name of the applicant but must be in the name of a person named on the DAERA Category 1 Farm Business Identification Number. 

Applicants should contact their bank/lending institution at the earliest opportunity to ensure any Indication of Support Letter that their bank/lending institution is prepared to provide, is available to be included with the application prior to the closing date of the Scheme.

Tier 1 Tranche 4 Documentation required at Letter of Offer Stage

The following documentation will be required at Letter of Offer acceptance stage: 

• Proof of age (if applicant is 40 years old or under). For Tier 1 Tranche 4, selection criteria marks are available for applicants aged 40 years or less on or after 23 September 2022.  Note the applicant must be named under the DAERA Farm Business Identification Number. Acceptable proof includes birth certificate, passport or driving license. A copy of the document showing proof of age may be uploaded with the online application. The original document must be made available for inspection when requested.
• Proof of educational attainment. For Tier 1 Tranche 4, proof of educational attainment will be required at Letter of Offer acceptance stage for applicants seeking marks under this selection criterion.  This criterion applies to all ages of applicants and not just those under 40.  The education received must be at Level 2 or above in agriculture or horticulture. A copy of the document showing proof of educational attainment may be uploaded with the online application. The original document must be made available for inspection when requested.

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