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In the recent years the issue of optimal size of the utilised agricultural area and its accessibility in particular regions has gained increased importance. Total area, types and conditions of the utilised agricultural area are essential to shaping and implementation of the Common Agricultural Policy. This research comprises investigation of the single area payment and the area payments done in scope of the Rural Development Programme for the time frame of 2007 – 2011. The evaluation utilises data from the Rural Support Service on area payments and on the conditions of farmland, as well as farmland related data from the State Land Service. The acquired results are examined at the local municipality level and other administrative units by means of Geographic Information Systems. In addition to the analysis of the quantitative data, a survey has been carried out amidst farmers, in order to find out the significance of area payments and the main factors affecting the use of land for farming. The obtained results show considerable spatial differentiation between various areas of Latvia, regarding both area payments and the intensity of the utilisation of farmland.