To ask the Secretary of State for Environment, Food and Rural Affairs what the average cost is of processing a Single Payment Scheme claim; and if he will make a statement. (73468)

[holding answer 25 May 2006]: The gross running costs of the Rural Payment Agency (RPA) for 2005-06 were £236.5 million, of which £55.1 million related to one-off costs associated with the RPA change programme and common agricultural policy reform implementation. The balance of £181.4 million represented the costs of RPA’s normal operations, of which the administration of the Single Payment Scheme (SPS) forms part.

For the 2005 SPS scheme year, there were 120,000 claims with an expected value of £1.5 million (net of modulation).