Food Prices and Food Poverty

(Limited Text - Ministerial Extracts only)

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Monday 23rd January 2012

(12 years, 10 months ago)

Commons Chamber
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Caroline Spelman Portrait The Secretary of State for Environment, Food and Rural Affairs (Mrs Caroline Spelman)
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Let me start by welcoming the opportunity to debate this important matter. World food prices are volatile and the Government should do all they can to help families, but if we are to have a grown-up debate we need to start by acknowledging what the Government can and cannot do. Contrary to the rather Dickensian impression the hon. Lady seeks to convey, food price increases are not a direct result of the Government’s political composition, and a Government cannot be held responsible for what the hon. Member for Bridgend (Mrs Moon) cited: the abandonment of families by the main breadwinner, the misfortune of a house fire or domestic violence perpetrated in the home. Food prices are the product of many complicated and interrelated factors, many of which are globally driven.

In order to have a fully informed debate, I will turn first to the specific issue of the groceries code adjudicator, which this Government, unlike the previous one, are introducing, and put the current situation in context. No one underestimates the difficulties families face in balancing household budgets when bills are high. As a veteran of the weekly shop, I see at first hand the impact of food price rises, as I am sure many of us do. Let us set the record straight. Last summer food price inflation overtook general inflation, but by November the reverse was true. In the coalition Government’s first year in office, food prices increased by less than the average annual increase in Labour’s last five years. Between 2007 and 2008 food prices rose twice as fast as they did between 2010 and 2011. Although the hon. Member for Wakefield (Mary Creagh) has a new-found interest in food prices, which is to be welcomed, it comes a little late.

Julie Hilling Portrait Julie Hilling (Bolton West) (Lab)
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The right hon. Lady says that food prices are not rising as fast as they had been, but does she acknowledge that wages have not gone up over that period, which means that people are suffering huge food poverty?

Caroline Spelman Portrait Mrs Spelman
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I am challenging the hon. Member for Wakefield to consider the fact that during her party’s 13 years in power, which saw steep rises in food prices, it introduced neither a groceries code adjudicator nor the other measures called for in the motion. Despite claiming today that the adjudicator would be some sort of panacea, the hon. Lady seems to feel that doing nothing about this for 13 years is a credible basis on which to criticise us for not having completed the process in just over 18 months.

Philip Davies Portrait Philip Davies
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I must say that this is bizarre. My right hon. Friend says she is concerned about rising food prices, but she is agitating to bring in a groceries code adjudicator that, if it will have any influence at all, will only be able to put prices up further. The two things are completely contradictory.

Caroline Spelman Portrait Mrs Spelman
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If we thought that the groceries code adjudicator would put prices up, there would not be the current cross-party support across the House for creating one.

The important point is that we need a degree of humility and candour about the Labour party’s record. As has been noted, Labour has shown extraordinary candour in the wording of its motion. We must be clear that the hon. Member for Wakefield is calling on the coalition Government to introduce the adjudicator early in the next Parliament. I am not sure whether she knows the outcome of the next election, but the motion clearly indicates that she has written off Labour’s prospects of forming the next Government—she is certainly not alone in that. It is always good to start a debate with an issue on which we can make common cause, but the good news for her is that we will not wait until the next Parliament to introduce the adjudicator.

Gavin Shuker Portrait Gavin Shuker (Luton South) (Lab/Co-op)
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The Secretary of State is keen to tie down the timing of the introduction of the grocery code adjudicator, so when will she commit to do so?

Caroline Spelman Portrait Mrs Spelman
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As I am sure Opposition Front Benchers are aware, the lead Department on the grocery code adjudicator, both for the Government and for the Opposition, is of course the Department for Business, Innovation and Skills, but we have been very clear as a Government that we are fully committed to introducing the adjudicator as soon as possible.

Free and fair competition is the key to a healthy market, and it is right that the adjudicator should make sure the market is working in the best long-term interests of consumers. In this Session, we published a draft Bill to allow pre-legislative scrutiny. It was a popular measure, welcomed on both sides of the House, and as the Leader of the House said on 15 December 2011:

“There will be a second Session of this Parliament, and the Groceries Code Adjudicator Bill is a strong candidate for consideration as part of it.”—[Official Report, 15 December 2011; Vol. 537, c. 937.]

So there is no delay, but it has to be done right.

It is important to bear it in mind that, overall, the Competition Commission found that retailers are providing a good deal for their customers, and they should not be prevented from securing the best deals and passing the benefits on to their customers, but, similarly, we are clear that they should be required to treat their suppliers lawfully and fairly.

During pre-legislative scrutiny, the Business, Innovation and Skills Committee suggested that third parties should be allowed to lodge complaints. Our position remains that it is more appropriate for complaints to be lodged directly or indirectly by suppliers, but we are open to considering further arguments on extending the range of those who can trigger an investigation. That is the benefit of pre-legislative scrutiny. We recognise that third parties, including trade associations, have a valuable role to play, so the adjudicator will be fully free to gather evidence from trade associations once an investigation has begun.

The draft Bill provides the adjudicator with the power to name and shame retailers that are in breach of the code, and we believe that, in a highly competitive market, retailers will not risk reputational damage from unacceptable behaviour towards suppliers. If negative publicity proves insufficient, however, the draft Bill contains a reserve power for the adjudicator to impose financial penalties, subject to an order made by the Business Secretary but without the need for primary legislation.

I hope the House agrees, therefore, that these measures represent significantly more progress than was made under the previous Government and should be generally welcomed.

Andrew George Portrait Andrew George
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It has been suggested, in particular during the intervention by the hon. Member for Shipley (Philip Davies), that the adjudicator would introduce inflation to the food market, but the Competition Commission itself, which is after all independent on the issue, made the situation quite clear, stating that

“if unchecked, these practices”—

the practices that the Secretary of State and others have described—

“would ultimately have a detrimental effect on consumers.”

It is quite clear that they would have a detrimental effect on prices for consumers.

Caroline Spelman Portrait Mrs Spelman
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I thank my hon. Friend for his intervention. The Competition Commission clearly keeps the practices of retailers under scrutiny and sees a benefit in independent adjudication of fairness in the supply chain.

I shall turn to other points in the motion. The hon. Member for Wakefield espouses the virtues of the Healthy Start programme, which this Government have continued, and no one will argue with the role of food banks, which are an excellent example of the big society. They are not new, as Churches have been redistributing food in that way down the decades, and we are four-square behind organisations such as FareShare, which do excellent work in the field.

In making it easier for shoppers, this Government have wasted absolutely no time in working with the food industry to simplify food date labelling. Last autumn I made it clear that one date should appear on the label, so that there is no confusion between “use by”, “use before”, “display until” or “store until”. There should be one date: if the product is perishable, the label should state “use by”, for food safety; if it is not, the label should state “best before”. In that way, we can certainly help people to reduce the amount of food that goes to waste.

Kate Green Portrait Kate Green
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I am shocked to hear the Secretary of State say that we should welcome food banks. It is a social policy failure that families are reliant on food handouts because they do not have enough money to afford a healthy diet for their children.

Caroline Spelman Portrait Mrs Spelman
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I gather that the hon. Lady would like them banned.

Kate Green Portrait Kate Green
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indicated dissent.

Caroline Spelman Portrait Mrs Spelman
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Well, she cannot have it both ways.

Kate Green Portrait Kate Green
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Will the Minister give way?

Caroline Spelman Portrait Mrs Spelman
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No.

Let us get back to some facts. Retail food price inflation reached 6.9% in June last year and currently stands at 3.8%. In real terms, food prices have stayed at about the same level since the start of 2009, notwithstanding the fact that food price inflation has fallen below the general rate of inflation. I accept that we need to help those on the lowest incomes, who are spending more of their budgets on food.

Andrew Bridgen Portrait Andrew Bridgen (North West Leicestershire) (Con)
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Does the Secretary of State agree that the major contributory factor to food price inflation is energy and fuel price inflation? They are indelibly linked.

Caroline Spelman Portrait Mrs Spelman
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Shortly, my hon. Friend will hear me expand correctly on the analysis of what is driving food price inflation.

It is important to remember that in 2010 the average family spent 11.5% of its household budget on food. The figure is greater for low income families, at 15.8%, but it is coming down; the 2010 figures are 1% lower than two years previously. That is a very important fact—the trend is that household expenditure on food in the lowest income families is coming down.

Luciana Berger Portrait Luciana Berger
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I do not know whether the Secretary of State has seen the figures released by the OECD last week. They showed that in the UK food prices rose by 4% in the last year, which is 0.7% above the EU average.

Caroline Spelman Portrait Mrs Spelman
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The hon. Lady needs to understand the contributory factors. The depreciation of sterling makes imports of food in other currencies stronger than ours more expensive. It is important to read the figures in the context of exchange rates and the other factors that drive up inflation.

The Government are, of course, actively finding ways to help mitigate the rises. But the Government cannot do it all, and they should not pretend that they can. Since the removal of production linked support in 2005, crops and livestock are traded on a global market. It is those markets that dictate food prices. As has been pointed out, the key drivers of domestic retail food price inflation include world agricultural commodity prices.

I hate to have to tell the hon. Member for Wakefield, but if she is to have this brief she needs to learn that the wheat price has not been stable; it has fluctuated in recent years from £60 a tonne to more than £200 a tonne. There are also oil prices and exchange rates. In 2008, although the price of wheat fell in dollar terms, it increased in sterling terms because of the relative weakness of sterling to the dollar. To understand the causes of food price inflation, one has to analyse correctly the underlying drivers.

World commodity prices are the key driver and we are working hard internationally to ensure the better functioning of commodity prices at the global level. That, in turn, will affect food prices at home. The depreciation of sterling has made dollar-denominated commodities more expensive. Furthermore, global weather extremes have caused shortages that drive prices up.

Nia Griffith Portrait Nia Griffith (Llanelli) (Lab)
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I assure the Secretary of State that the Opposition fully understand which things Governments can intervene on and which they cannot. What is she doing to help the poorest families in the country to make sure that they get enough food and do not have to rely on food banks? How many food banks would she regard as a measure of success, and what is she aiming to do by the end of her stay in office?

Caroline Spelman Portrait Mrs Spelman
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The hon. Lady clearly was not listening to what I said about the continuation of the Healthy Start campaign, for example. Of course, in any big society, there is no finite amount of contribution that each of us might make to the more vulnerable; there is no need to put a limit on it.

Kwasi Kwarteng Portrait Kwasi Kwarteng (Spelthorne) (Con)
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Will my right hon. Friend comment on the moves that the Government are making, such as freezing council tax and cutting fuel duty? That has made general inflation a much more manageable phenomenon for ordinary families.

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
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Not at this precise point; the right hon. Lady is speaking to the motion.

Caroline Spelman Portrait Mrs Spelman
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That is a shame, Madam Deputy Speaker, because there is a long list of things relevant to household budgets; there was a wider definition of that earlier. Freezing council tax is but one example of what frees up the budget to buy more food.

Last year, the Government’s Foresight report on the future of food and farming concluded that Governments across the world must take action now to ensure that a rising global population can be fed. It is a chilling fact that in only 13 years there will be 1 billion more mouths to feed on this planet. Increasing demand for water, land and energy means that food security is one of the world’s greatest challenges. The report identified five challenges for all nations to act on: balancing future demand and supply; ensuring that there is adequate food price stability and protecting the most vulnerable from volatility; achieving global access to food and ending hunger; managing the contribution of the food system to mitigating climate change; and maintaining biodiversity in our ecosystems. To take on those challenges, we need international reform. To address global food security, we need an increase in agricultural productivity, which means a move away from subsidy. To address the risk of climate instability disrupting production patterns, we must have open world trading systems.

In June last year, G20 Agriculture Ministers met and agreed to the creation of an agricultural market information system, which aims to stabilise food price volatility through better transparency in the marketplace. In November, I attended the climate change conference and helped the South African Agriculture Minister to get agriculture included in the work stream for the next climate change convention. We are now preparing for Rio plus 20, where we will push for international policies to help the most vulnerable in our society. We will lobby for the sustainable intensification of agriculture, climate-smart agriculture and the reduction of post-harvest losses. The Afghan Minister whom I met in Berlin this weekend at green week said that the reduction of harvest losses would make one of the greatest contributions to combating famine.

The challenges present an opportunity for the UK, and we need to be the first out of the blocks and embrace it. British food producers must make the most of international markets. That is why I have announced that I will publish an action plan at the end of the month to help export the best of British food and drink across the world. It is through global trade that the UK can secure its future food supply and help keep food prices down. We already contribute to global food supply. We provide 2% of global wheat exports, 4% of global barley exports and 1% of global cereal exports. That demonstrates that the UK has a major role in food production. By expanding production and exports, we can contribute to the overall economic recovery.

The food and farming industry is a high performer with great potential. The food chain contributes £88 billion per annum to the economy, which is 7% of GDP. It is responsible for 3.7 million jobs. The Government are acting across the food chain to stimulate growth, facilitate international trade and drive fair competition, because a thriving and competitive economy, where our products are freely traded on an international market, will deliver resilient, stable and affordable food supplies to our consumers.

The Government are working with industry and environmental partners to see how we can reconcile our goals of improving environmental protection and increasing food production. I am grateful to the hon. Member for Wakefield for welcoming the green food project. The Government are spending £400 million on food and farming research, which addresses productivity, environmental performance and resilience along the food chain.

Nobody is under any illusion about the pressures that high food prices put on all our constituents. However, it would be wrong to pretend that there is a “silver bullet” solution when there is not.

Julie Hilling Portrait Julie Hilling
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I have not heard in the Secretary of State’s contribution any mention of what she will do for the most vulnerable in this country, who are dependent on a hugely increased number of food banks. What will she do to feed those families who cannot feed themselves?

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Caroline Spelman Portrait Mrs Spelman
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I am sure that the hon. Lady would accept that the responsibility for helping the most vulnerable people in our society to have more disposable income to provide food for their families goes beyond my Department. She must take account of other things such as our freezing council tax, cutting fuel duty, cutting income tax, taking 1.1 million low-paid people out of tax, increasing child tax credit, taking action on energy prices and helping with the cost of rail travel.

The groceries code adjudicator will not be a panacea in the face of rising food prices. The adjudicator has a role to play in delivering a robust check on fairness between supplier and retailer; that is why we are introducing it. However, limiting food price inflation rests on multiple factors, from energy to exchange rates, and not least the core issue of supply and demand. The Government are not only alert to those factors but actively finding opportunities to influence them. We are working internationally to ensure that a growing population can be fed, we are using the challenges of food production to kick-start growth and competitiveness here in the UK, and through the green food project we are addressing the tensions inherent in growing more food at less cost to the environment.

The steps we are taking will produce the market conditions required to deliver good quality, affordable food for households throughout the UK. This debate is important because it is about the household budget and the cost of living. The Government have not sat idly by. We are directly helping in all kinds of ways—the freezing of council tax, the cutting of fuel duty, and so on. Those are all measures that Labour refused to take when it was in power, despite running up the biggest peacetime deficit in our country’s history. This is a Government who are on the side of hard-pressed families, this is a Department that is on the side of British farmers and food producers, and this is an issue on which Labour has no credibility and no alternative. I urge the House to reject the motion.

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Baroness McIntosh of Pickering Portrait Miss McIntosh
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The House will draw its own conclusions about my hon. Friend’s self-advertising.

I understand that the powers of the Competition Commission are based on the powers of the Commission in Brussels. The EU directorate general for competition has the power to swoop when it believes an investigation should take place. I urge my right hon. Friend the Secretary of State to make the same plea to the Business, Innovation and Skills Secretary to adopt those two recommendations—and, indeed, all the Committee’s recommendations.

The Secretary of State for Environment, Food and Rural Affairs will be aware of the Committee’s work on food security. I hope she will remove any inconsistencies between trying to supply a secure strand of food and sustainable food production. There is an inconsistency at the heart of the Government on that. She will be involved in discussions on common agricultural reform in Brussels. Greening the common agricultural policy could take productive land out of production. It could also be hugely expensive and involve the introduction of more complex regulations, which we should be aiming to simplify.

Caroline Spelman Portrait Mrs Spelman
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My hon. Friend will know that I acknowledged that problem when I gave evidence to her Committee last week, and that we will try to ameliorate the Commission’s proposals in that regard.

Baroness McIntosh of Pickering Portrait Miss McIntosh
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I am most grateful for my right hon. Friend’s clarification.

In conclusion, we should say, “Keep it simple.” With all the regulations coming forward, whether to do with the adjudicator or not, the powers should be clear and allow individual growers, under a cloak of anonymity, to raise such issues, either directly or through a third party. I welcome this debate, although I regret that many of the issues that I have raised are not covered by the motion. However, we can have a positive debate today and see an early completion of the adjudicator code, with an early introduction of the adjudicator in the next Session.

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Huw Irranca-Davies Portrait Huw Irranca-Davies (Ogmore) (Lab)
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This has been a very good and wide-ranging debate, and all in all I think that we have had 12 speakers, if my maths is good—although maths is not my strong point.

The hon. Member for Thirsk and Malton (Miss McIntosh) spoke eloquently on behalf of farmers, and pressed the Government on farmers’ genuine concerns about currency and exchange rates and rising costs. She spoke also of, in her phrase, “the climate of fear” in the supply chain, and we recognise that. She pushed the Government, as she has in her role as Chair of the excellent Environment, Food and Rural Affairs Committee, to give real teeth and power to the adjudicator. She also almost referred to “good” and “bad” retailers, so I look forward to her contribution to the Labour left review or to Progress magazine.

The hon. Member for South Thanet (Laura Sandys) also spoke well, and said that the era of cheap food is coming to an end. Perhaps it is, but if so I am sure we all agree that we need the fairest prices for consumers and fairness throughout the food chain. She mentioned her involvement with, if this is correct, “Tasty but ugly like you.” I do not mean you, Mr Deputy Speaker, of course. I hesitate to lay the words “tasty” or “ugly” on you—[Interruption.] No, I will stop there.

The hon. Member for Congleton (Fiona Bruce), who represents a lovely part of the world which I know well, made a very good contribution that could have been called, “The Plot Thickens”. She talked about the importance of grow your own, and I too stress the role of allotments—given that the chair of the National Society of Allotment and Leisure Gardeners, a very good gardener, lives in my constituency—and the need to protect and enhance them. The hon. Lady talked of giant leeks, which we see also at Wales rugby matches, and she advocated growing produce in one’s garden or in one’s neighbour’s garden—although in the latter case it is always best to ask permission.

The hon. Member for Bury North (Mr Nuttall) said that there was no mention of “food poverty” in the motion. There is: it is in the title. The hon. Member for Tiverton and Honiton (Neil Parish) recognised the real problem of food poverty, on which I congratulate him, and he took issue with his hon. Friend the Member for Shipley (Philip Davies) about the nature and purpose of the adjudicator, on which we agree. There was also a thoughtful contribution from the hon. Member for Totnes (Dr Wollaston).

The hon. Member for St Ives (Andrew George) made a good contribution. He welcomed much of our motion and many of our remarks. I can clarify that we want the adjudicator in the next parliamentary Session. Will he support us? He should not let a drafting error get in the way of our emerging coalition on this matter.

My hon. Friend the Member for Stoke-on-Trent South (Robert Flello) spoke extremely well for his constituents, describing a “heat or eat” scenario—or, worse, neither heat nor eat. He went into detail on food banks and mentioned clearly that they did not exist in great numbers under Labour because there was not the need for them on the scale at which they are now emerging.

My hon. Friend the Member for North West Durham (Pat Glass) spoke powerfully for farmers in her area and the early introduction of a powerful groceries code adjudicator in the next parliamentary Session. We agree. “Fairness across the food chain”—her phrase—is a good rallying cry. My hon. Friend the Member for Llanelli (Nia Griffith) paid tribute to the work of our hon. Friend the Member for Ynys Môn (Albert Owen) on the groceries code adjudicator and called for an urgent introduction of an adjudicator with clout. She said, stirringly, that it is a disgrace that anyone should have to rely on charity to feed their family.

My hon. Friend the Member for Bristol East (Kerry McCarthy) focused expertly on food poverty, the growth in the number of food banks in Bristol and the work being done to mitigate the problem of food poverty. My hon. Friend the Member for Liverpool, Wavertree (Luciana Berger) described the national scandal of rising food poverty, coupled with the rise in broad poverty issues throughout the UK. She gave direct evidence of the human tragedy for her own constituents, not least because of the late payment of benefits, something echoed by my hon. Friend the Member for Scunthorpe (Nic Dakin).

The Secretary of State talked widely about global issues, but did not focus on the particulars of food poverty and food banks. Labour Members picked up on astonishing complacency. She described food banks as a triumph for the big society, rather than a tragedy caused by the Government’s social and economic policy. How many more food banks do we need before we can proclaim the big society a resounding success?

Caroline Spelman Portrait Mrs Spelman
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When the hon. Gentleman checks Hansard tomorrow, he will see that I did not use the word “triumph”. Opposition Members have failed to observe that, for many decades, many institutions in this country have helped the poor and needy. If he has never been to a harvest festival and understood that churches collect food to distribute among those in their community who really need it, he is not alert to how much that is part of British culture.

Huw Irranca-Davies Portrait Huw Irranca-Davies
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Charitable effort has indeed always been part of this country, before the phrase “big society” was invented, but never with the proliferation that we currently see. It is a tragedy.

Let me relate a direct story about one not unusual family of four in England today. One parent is out of work and the other is in a low-paid job. Before Christmas, they found themselves behind on their mortgage, with their council tax debt racking up and the gas and electricity meters running out of money. They receive working tax credit and child tax credit, both of which will soon be cut by the Government. Their home is increasingly cold and dark and the only things in their cupboards are food parcels from the local food bank. The right hon. Lady shakes her head, but they buy what fresh food they can when they can, but without the support and kindness of local people, they would simply go hungry. We would love that to be fiction, but such are now the facts of life for too many families.

Into that harsh reality stumbles a throwback to the 1980s—a former Conservative Minister who was then the hon. Member for South Derbyshire. When confronted recently with that dire social and economic regression, she boldly answered:

“Are you telling me people in this country are going hungry? Seriously? Seriously?”

Yes, seriously—former Conservative Ministers might not want to believe it, but it is a searing indictment of the Government that more and more people across England, Wales, Scotland and Northern Ireland find themselves relying on food banks, one of which was opening every week last year. Those people depend on the generosity of others to get by.

Last year, 60,000 people received help from a food bank, a figure that the Trussell Trust predicts will rise to 130,000 in the next year. For all those impoverished families who now need a voice in the Chamber, the words and sentiment of the former Member for Ebbw Vale echo down the years: this is their truth, our truth—tell me yours. What is true across the UK is true in my constituency and neighbouring constituencies. From Llanharan to Gilfach Goch, and Maesteg to Pontycymmer, and all points between, food banks proliferate.

We should pay tribute to the many volunteers and organisations involved, such as the Bridgend food bank and the Pontyclun food bank, but the issue is a terrible indictment of the economic misery inflicted on families under this failing coalition Government. I challenge the Minister and the Government to dispute that stark reality. The Government’s failing policies and inaction on the economy mean that families are finding it hard to make ends meet and struggling to cope with rising living costs, higher energy, housing and food bills, and the constant fear that they could lose their jobs—if they have them—at any time.

For too many, eating is losing out to heating and housing costs. Charities warn that having a job is now no protection; an estimated 10% of food bank recipients are middle earners whose salaries have been cut or frozen or who have recently lost their jobs. Food prices rose by more than 4% last year. Lower-income families are eating less fresh fruit and vegetables. They spend more than 15% of their income on food. In real terms, it comes down to a couple with two young children spending an extra £233 on their annual food bill.

When surveyed by Which? in the last year, more than half of consumers said that increasing prices made it difficult to eat healthily. Nearly 90% genuinely fear the increasing cost of food. Those are startling figures. However, when people need help, the Government seem torn between prevarication and paralysis when it comes to taking action that will go some way towards easing the pressure on people’s wallets—not least by assisting farmers and manufacturers of the food we eat with the retail and financial challenges that they face.

When in government, Labour took action after the hike in food prices in 2008 to address that challenge and to produce more food sustainably. In 2010, we published the first Government food strategy for 60 years and our priority was a sustainable, affordable competitive food sector. We gained cross-party support for the supermarket ombudsman—to ensure a fair deal for farmers and food producers, who still need a fair deal from major retailers—and for the implementation of the groceries supply code of practice in February 2010.

Yes, there was more to be done, but the creation of an ombudsman—the groceries adjudicator—to enforce and monitor the code of practice was a recommendation of the Competition Commission and is supported by the Environment, Food and Rural Affairs and Business, Innovation and Skills Committees. It would do a great deal for farmers, food manufacturers and the public. It was not just us asking for it.

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Lord Benyon Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Richard Benyon)
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I compliment my hon. Friend the Member for St Ives (Andrew George), who bowled the hon. Member for Ogmore (Huw Irranca-Davies) and hit the middle stump, showing the paucity of the motion. I offer advice to the hon. Gentleman and his colleagues—they simply cannot support the wording in the motion. It is a sign of desperation to pray in aid somebody who has not been in the House for 15 years when referring to Conservative or any other policy.

It is clear from this afternoon’s debate that Members on both sides of the House take seriously the challenges posed by food price inflation. It is also clear that down the years Governments of different complexions have seen varying degrees of price volatility. Of course I agree with hon. Members on both sides that wonderful work is done by charities and other organisations to support people on low incomes. That has always been the case. But please can we not pretend that in some parallel universe those charities were all forced into action on 6 May 2010 and that their existence is totally the result of the coalition Government? That is such a puerile and facile argument. Let us have a mature debate. I hope to add some thoughts in the few moments that I have.

Some Opposition Members have sought to ascribe the responsibility for high prices to the coalition. Clearly, that is undermined by the fact that food prices were rising at a faster rate under the previous Government. Likewise, we know that food price inflation was outstripping general inflation at one point last year, only for the situation to be reversed later in the year. The dynamics of where food prices stand at a particular point in time are of secondary importance to hard-pressed families who are balancing their budgets. Those families want to know what action is being taken to help, not just by Government, but by a range of organisations that have a distinguished track record in this regard.

We have heard of some excellent initiatives in the area of food provision and redistribution. We know about Healthy Start, which is a Government initiative. We have heard about FareShare, which provided 8.6 million meals in the last financial year. Many hon. Members have spoken about food banks, which are organisations set up by wonderful, community-minded people with real compassion. We applaud their activities. However, I say to Opposition Members, in particular the hon. Members for Liverpool, Wavertree (Luciana Berger) and for Bristol East (Kerry McCarthy), that it is ridiculous to say that the rise in the need for food banks is attributable to this Government. This Government spend £122 million a day just to pay the interest on the debt that their Government left us. That is what we have to spend before we even pay off the debt.

Luciana Berger Portrait Luciana Berger
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Will the Minister give way?

Lord Benyon Portrait Richard Benyon
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No, I will not give way.

The motion is almost entirely consumed with statements about the introduction of the groceries code adjudicator. We agree on the importance of introducing an adjudicator. That is why we have published a draft Bill and are getting on with putting it in place. What is rather more puzzling is the position of the Opposition, who wasted 13 years without introducing the adjudicator, even though they knew that power was shifting from the suppliers to the retailers and had received evidence on that. Despite that, they criticise this Government for not having completed the process in 18 months.

The motion refers to “delays”. The only element of delay is in the motion itself, which demands that the adjudicator be introduced in the next Parliament. The hon. Member for Ogmore explained that that was a drafting error. In that case, he must tell Members not to support the motion. Any Member who supports it is showing a paucity of ambition, because it means that they want the adjudicator to be introduced early in the next Parliament. The hon. Gentleman will have to withdraw the motion. That is the only thing to do. The hon. Member for Wakefield (Mary Creagh) might want to wait until after the next general election to introduce the adjudicator, but the coalition has no such intention. We will carry on with the work in hand and bring it in during this Parliament.

Aside from the rather narrow focus on the adjudicator, there has been a series of interesting and useful contributions on the work that can be done to mitigate food prices. I pay great tribute to my hon. Friend the Member for South Thanet (Laura Sandys) and wish her social enterprise well. It sounds like an interesting idea. I pay tribute to my hon. Friend the Member for Thirsk and Malton (Miss McIntosh), who made some interesting comments about the social impact of the threat of high food prices. I confirm for her that the groceries code adjudicator will consider anonymous submissions. She talked in particular about the fruit and vegetable sector. Those suppliers can approach the groceries code adjudicator anonymously.

The hon. Member for Llanelli (Nia Griffith) asked when the groceries code adjudicator would be introduced. I hope that we have answered her question. The draft Bill is available. I cannot second guess what will be in the Queen’s Speech. I would be in trouble if I did.

My hon. Friend the Member for Congleton (Fiona Bruce) spoke about local and home-grown food. I pay tribute to what is happening in her constituency. My hon. Friend the Member for St Ives was absolutely on target. He sought, as I do, cross-party consensus because on these issues this House sometimes produces more heat than light. If we look at the matter in detail, we see that there is a lot more that we agree on than separates us.

The Government are hugely supportive of food banks and other organisations that work to open up access to food. The coalition Government have been clear from the outset about the importance that they attach to third sector and civic activity. The success of many organisations in this area demonstrates why we are right to work hand in glove with them in delivering social solutions.

This debate has demonstrated the extent to which food price inflation is shaped by an intricate matrix of interrelated global circumstances. To stand here and pretend that the Government can step in and bring down food prices at a stroke would be disingenuous. The Government can put measures in place to ameliorate the worst effects of food price inflation, which we are doing through measures such as our continued support for Healthy Start and other schemes. One of the biggest determinants of food prices is global and domestic supply, and this Department has put farming and food production at the heart of its business plan. Whether it is in stripping away the needless bureaucracy that has swamped farmers, developing a strategy for balancing the needs of greater food production with protecting our environment, or helping to fund innovation and increased competitiveness, this Government are highly attuned to the need to increase high-quality food production domestically.

My right hon. Friend the Secretary of State is personally driving a great deal of work with other countries to help to meet the food supply challenges set out in the Foresight report. We are investing time and energy to ensure that we are working hand in glove with others on that important challenge. Understandably, the effects of that will take time to be felt.

The fact is that there is no silver bullet. The Opposition should know better than to pretend that the adjudicator will be the cure-all for hard-pressed families. What families need now is for the Government to deliver real help right now to get living costs down to a manageable level. To that end, the Opposition should support freezing the council tax, cutting fuel duty, cutting income tax for 25 million people, extending free child care, increasing the child tax credit, taking action on energy prices and many other measures. They were strangely silent on those measures throughout the debate. That is the programme that the coalition Government will continue to deliver in parallel with our work to increase food security and keep food prices down.

I believe that the House is united in its concern for those who struggle to manage their food bills. That is as it should be. However, this debate has laid bare the absence of any ideas from the Opposition. That is in marked contrast to the practical steps that the coalition is taking to help hard-pressed families up and down the country. On that basis, the motion should be rejected.

Question put,

--- Later in debate ---
18:58

Division 435

Ayes: 223


Labour: 213
Scottish National Party: 4
Plaid Cymru: 3
Alliance: 1
Democratic Unionist Party: 1

Noes: 293


Conservative: 249
Liberal Democrat: 42