THE RBS and NatWest is offering fee free bridging loans to farming customers whose new Basic Payments Scheme (BPS) payments are delayed because of the extended application deadline.
Carl Hankinson, the banks director of agriculture North Region, said: "The payment window is from December 1st to June 30, and while many usually receive payment at the beginning of the window, customers in theory could receive their payment six months later than usual."
While not expecting that length of delay will he said businesses would be prudent to plan for a two to three month delay.
The loan will allow farming businesses to borrow a significant proportion of the amount they expect to receive from the BPS until the official payment comes through.
Loan agreements will be put in place from mid September with the money in the customer’s account from the first week of December.
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