CAP's 'pillar two' should share cash pot, says MEP Lyon

THE Scottish MEP charged with producing a paper on the future of the CAP has suggested the payment of Less Favoured Area cash might come out of the same pot of cash as the Single Farm Payment.

This, argues George Lyon, could allow the "pillar two" of the European Common Agricultural Policy to focus on green issues.

Responding, NFU Scotland president, Jim McLaren, thought it merited further discussion "providing there was no threat to funding levels".

The document written by Lyon is intended to encourage debate on the future of the CAP after 2013. He said: "It sets out the radical changes that the CAP has undergone from market-distortion to market-orientation. There are substantial new challenges that must now be addressed."

He added the drivers for change included the increase in population, coupled with an increase in demand for food from developing countries against the backdrop of less land, water and energy due to climate change is the key driver for reform.