Basic Payment Scheme: transfer of entitlements guidance

Welsh Ministers have confirmed that Basic Payment Scheme (BPS) payments will be gradually reduced as part of the transition to the Sustainable Farming Scheme between 2026 and 2028. For 2026, BPS entitlement values are expected to be around 60% of their 2025 level. Please note that this percentage is indicative and may be subject to change until BPS advance payments begin in October 2026.

You can transfer BPS entitlements by Sale; Lease or via Inheritance and must do so with land.

From 2026 each entitlement must be transferred with an equivalent hectare of eligible BPS land. You must ensure you submit a manage my land transferring an equivalent number of hectares to the number of entitlements being transferred to the same recipient. The entitlement transfer will not proceed until the manage my land application has been received and processed.

You must transfer a hectare of land eligible for BPS for each payment entitlement transferred in the transaction. If this condition is not met, then the transfer will not be considered valid for the purpose of the BPS.

Leases of entitlements must have a matching lease end date for both entitlements and accompanying land. If the lease of land ends early, the entitlements will return to the lessor. Where the lessor is claiming the Sustainable Farming Scheme (SFS), those entitlements will be surrendered automatically.

For the Transfer of Entitlements by Sale or Lease to be valid the recipient of the entitlements must be a farmer carrying out agricultural activities at the time of transfer. This requirement does not apply to entitlements transferred via inheritance.

You can own or lease entitlements anywhere in the UK, but entitlements that have been established in Wales, England, Scotland or Northern Ireland can only be used to claim payment in that country (or region within that country).

The Transfer of Entitlements notification is only available online and must be accessed via your RPW Online account. If you are not yet registered with RPW Online, please refer to the Welsh Government website for the how to register guidance or call the Customer Contact Centre on 0300 062 5004. If you do not have an activation code, then please call the Customer Contact Centre. 

RPW will carry out checks to determine whether the transfer is appropriate, before either refusing or authorising the request.

The notification must be submitted by the seller/lessor of the entitlements. If you are using an Agent or Auctioneer to transfer the entitlements for you and you want them to be able to submit the notification you will need to confirm through your RPW Online account that you are giving them the necessary online roles to do this. The minimum roles required to submit the notification are “Manage Entitlements” and “Submit Claims”. For further details, please refer to the Welsh Government website for the how to register guidance.

The recipient of entitlements transferred by sale or lease must be a farmer carrying out agricultural activities. 

Agricultural activity means: 

• the production, rearing or growing of agricultural products including harvesting, milking, breeding animals and keeping animals for farming purposes.
• maintaining an agricultural area in a state which makes it suitable for grazing or cultivation without preparatory action going beyond usual agricultural methods and machineries.  In Wales, this means [KT1] the control of invasive non-native species of weeds and scrub.
• carrying out a minimum activity on agricultural areas naturally kept in a state suitable for grazing or cultivation.  In Wales, agricultural areas naturally kept in a state suitable for grazing or cultivation are defined as areas of saltmarsh and sand dunes.  The minimum activity required is that the area is grazed to a minimum average annual stocking density of 0.01 to 0.05 livestock units per hectare, or the control of invasive non-native invasive species of weeds and scrub. 

If the recipient met the definition of a farmer carrying out agricultural activities  for the 2025 scheme year, we will consider that the requirements were met on the date the transfer took place in order to process the transfer. However, if the recipient’s circumstances have changed since submitting the SAF 2025, they should notify us in writing of the change. We will carry out additional checks on the recipient’s 2026 SAF to ensure they continue to meet the definition of a farmer carrying out agricultural activities.

In the event of the recipient of the entitlements (transferred as a Sale or Lease with land) not being a farmer carrying out agricultural activities then the transfer will not be valid. 

For further details on the definition of a farmer carrying out agricultural Reciplease refer to the SAF Rules Booklet.

The transfer notification facility for 2026 is available and RPW must be notified by 15/05/2026 in order for the recipient to make a claim on entitlements they are receiving for the 2026 scheme year.

If you are transferring entitlements via inheritance you must provide documentary evidence if this has not already been submitted. For example, a grant of probate with a copy of the will, or evidence of transfer following intestacy.

You may surrender your entitlements at any time. For example, you may choose to do this if you have given up farming. If you wish to surrender your entitlements, please use your RPW Online account or write to the Customer Contact Centre providing the details and explaining what you want to surrender.

If you have applied for the Sustainable Farming Scheme (SFS) 2026 the entitlements will be automatically surrendered.

Where entitlements have been leased, they will automatically revert to the lessor at the end of the lease agreement.

If the lease ends early, or is to be extended, the lessor must inform RPW in writing through their RPW Online account or by writing to the Customer Contact Centre.

When a lease of entitlements ends, those BPS entitlements are returned to the lessor, providing they are a farmer carrying out agricultural activities. Where the lessor intends to undertake agricultural activities they can submit a Single Application Form in order to claim those BPS Entitlements. 

If the lessor is not a farmer carrying out agricultural activities or has applied for the Sustainable Farming Scheme (SFS) 2026 the entitlements will be automatically surrendered.

If a seller/lessor wishes to withdraw or amend a request to transfer entitlements they can do that, providing the transfer has not been confirmed. 

To do this they will need to provide their Customer Reference Number (CRN), the details of the entitlements to be transferred and the amended details, or clearly state that they wish to withdraw their request.

If the request is received after the transfer of entitlements has taken place, we will not reverse the transfer.

You will have to surrender BPS entitlements that have been transferred to you if:

• Checks reveal the farmer you received entitlements from has not complied with the BPS scheme rules, including undertaking sufficient agricultural activities or failing active farmer checks

The farmer receiving the entitlements will also be required to pay back any undue payments received from the entitlements whilst they were in their possession.

If you are thinking about transferring entitlements you are advised to seek independent professional advice about the best way to protect your position in this type of situation. 

Transfers are private arrangements between farmers. The Welsh Government does not accept any responsibility for any losses incurred by Transferors/Lessors or Transferees/Lessees. 

A letter will be sent to both the seller/lessor and the recipient, to confirm that the transfer of entitlements has taken place

The ‘Independent Appeals Process for Rural Grants and Payments’ allows you to request a review if you feel the Welsh Government has not reached a correct decision. 

The appeals process consists of two stages:

• Stage 1: review by RPW
• Stage 2: review by an Independent Appeals Panel (if you are dissatisfied   with the Stage 1 response).

The Independent Panel make recommendations to the Welsh Ministers who take the final decision, which concludes the process.

There is no charge for Stage 1 of the process but there is a charge at Stage 2 - £220 for a written hearing or £290 for an oral hearing.  These charges are repaid in full if the Stage 2 appeal is either partially or fully successful.

Appeals, including supporting evidence, must be submitted via RPW Online within 60 days of the date of the letter outlining the decision you wish to appeal against.

We welcome receiving appeals in Welsh, and will respond to any correspondence in Welsh. This will not lead to a delay in processing your appeal. 

Further details of the appeals process and how to submit an appeal using the online appeal form, can be obtained from the Customer Contact Centre or our website at: Rural Grants and Payments appeals: Guidance.

Complaints will be dealt with under the Welsh Government’s Code of Practice on Complaints. Further advice on how to make a complaint can be obtained from the Customer Contact Centre or

Complaints Advice Team
Welsh Government
Cathays Park
Cardiff
CF10 3NQ

Tel: 03000 251378
E-mail: complaints@gov.wales

You may also choose to contact:

Public Services Ombudsman for Wales
1 Ffordd yr Hen Gae
Pencoed 
CF35 5LJ

Tel: 0300 790 0203
Website: www.ombudsman-wales.org.uk

RPW Online

Access the RPW Online service via the Government Gateway at www.gateway.gov.uk, or once you have enrolled for the RPW Online service, access it via Log in to Rural Payments Wales (RPW) Online.  If you are not yet registered with RPW Online, please refer to the Welsh Government website for the how to register guidance or call the Customer Contact Centre on 0300 062 5004.

Enquiries – Customer Contact Centre

For all enquiries, please contact the RPW Customer Contact Centre

Enquiries can be submitted via RPW Online at any time.

If you have any special needs which you feel are not met by our facilities contact the Customer Contact Centre on 0300 062 5004. Welsh Government officials will then endeavour to make arrangements to accommodate your requirements.

For all of the latest Agricultural and Rural Affairs information, visit the Welsh Government website. By visiting the website, you can also sign up to receive the Gwlad e-newsletter.