The Rural Payments Agency (RPA), which processes subsidies to farmers and has six offices throughout the UK, is inviting its staff members to apply for voluntary redundancy in order to cut costs.

The Agency has said that it is currently too early to tell how many jobs will be affected amid claims that job losses could number up to 700, one fifth of the RPA’s total staff, within the next two years.  

Farming Minister Jim Paice has pledged to reform the agency, making it more cost-effective and efficient. The RPA has faced accusations of missed and inaccurate payments in the past.

An RPA spokesperson today told Farming Online, “As part of the Defra network, RPA is working to identify how budget savings will be made and has asked for expressions of interest in a Department wide voluntary redundancy.

“Any staff reductions that do take place will be initially through natural wastage and voluntary departures, with compulsory redundancies only as a last resort as RPA remains fully committed to delivering its three key priorities of high levels of customer service, effectiveness and efficiency.”

As the restructuring is in its early stages, no individual jobs have been affected as yet. Nevertheless, as part of Defra, which is suffering some of the most severe cutbacks of all Government departments, with cuts in spending amounting to around £1bn over the coming four years, RPA managers admit they have not ruled out compulsory redundancies.