Farmers to have £1.8 billion pre-Brexit cash removed amid warning many will go bust.

A new parliamentary report warned the “blind optimism” shown by Tory ministers could force many small and tenant farmers in England out of business - but environment secretary George Eustice insists UK farmers are better off since Brexit.

Farmers in England will have their direct payments, worth £1.8 billion in 2019-2020 through the EU’s Common Agricultural Policy, cut by over half by 2025 and completely taken away in 2027 under new government moves.

And a new parliamentary report warned the “blind optimism” shown by Tory ministers could force many small and tenant farmers in England out of business, whilst accusing them of not doing enough to gain farmers’ trust in delivering crucial plans.

Under government plans, farmers are encouraged to free up land for environmental reasons.

Higher prices, worse environment?

But the report warned this would means England will import more of its food, often from countries with poorer environmental standards, making the UK more dependent on food from abroad and making food prices more expensive.

The paper also warned this is likely to lead to farms getting bigger, which will in turn harm the environment, against government hopes.

The Department for Environment, Food and Rural Affairs is intending to match the £2.4 billion worth of subsidies given by the EU’s Common Agricultural Policy (CAP) to UK farmers every year.

But this comes with an intention to cut the amount of direct payments, depending on the size of the land farmed,