UPLAND farmers received a boost this week with the announcement of an extra £4m in Government aid.

Rural Affairs Minister Alun Michael and Hill Farming Minister Lord Whitty revealed plans to increase payment rates from £37.4m to £41.1m under the Hill Farming Allowance for the 2002-3 financial year.

If the proposed increase in payment rates is approved by the European Commission, it will mean those farming on some of the country's most unproductive land will receive a full rate of £42.74 a hectare, against a forecast of £31.08.

Teesdale hill farmer Richard Betton, a former county chairman of the NFU's County Durham and North Riding branch, said the news was a massive boost to struggling upland farmers in the region.

"After eight very difficult years for hill farmers this is great news," said Mr Betton. "We have lurched from crisis to crisis and many farmers have been forced to give up hill farming and diversify. This will be a welcome addition to hill farmers' incomes and it's welcome recognition of what hill farmers do as the backbone of the rural economy."

North-East NFU spokesman Rob Simpson said the Government announcement was crucial. "Hill farmers are among the poorest in the agricultural community, with many having to keep a family on just £10,000 a year," he said. "Many have had to work full-time on the farm for a part-time wage and have had to take extra jobs or rely on other family members to earn a wage.

"Hill farmers are vital for the rural economy in the North-East and it is very good news that the Government has recognised that this sector is in desperate need of financial and public support.