Water Companies: Licences

Baroness Bakewell of Hardington Mandeville Excerpts

Monday 24th April 2023 Lords Chamber

Asked by

[Baroness Bakewell of Hardington Mandeville]

To ask His Majesty’s Government what assessment they have made of the announcement by Ofwat on 20 March of a change to the licences of water companies requiring that dividend payments are linked to performance.

[The Minister of State, Department for Environment, Food and Rural Affairs (Lord Benyon) (Con)]

My Lords, we support Ofwat’s new measures, which were made possible by new licence modification powers that this Government gave to Ofwat via the Environment Act 2021. The measures strengthen the existing dividend licence conditions so that Ofwat can take enforcement action against water companies that do not make an explicit link between dividend payments and their performance for customers and the environment.

[Baroness Bakewell of Hardington Mandeville (LD)]

I thank the Minister for his response. Since I tabled this Question, the Government have published their plan for delivering clean and plentiful water, which is to be welcomed and offers much hope. However, river pollution has blocked the development of 20,000 much-needed new homes, and more than 7,500 days’ worth of raw sewage has been dumped in various Ministers’ constituencies. Does the Minister believe that withholding dividend payments to water company executives and shareholders will really contribute to making the difference needed to improve long-term water quality? Surely something more robust is needed.

[Lord Benyon (Con)]

My Lords, that is just part of a great many things that the Government are doing. The new power that the Environment Agency has to link the companies’ licences to ring-fence provision on infrastructure spending is important. This comes as part of a plan that includes the Environment Act, as I said earlier; the Storm Overflows Discharge Reduction Plan; a strategic policy statement for Ofwat, in which the Government required very stringent new standards; and our recently published plan for water. No Government are doing more to tackle this issue.

Oil Spill: Poole Harbour

Baroness Bakewell of Hardington Mandeville Excerpts

Wednesday 29th March 2023 Lords Chamber

[Baroness Anderson of Stoke-on-Trent (Lab)]

My Lords, this is an incredibly worrying time for the people whose lives and incomes are affected by this oil spill. It has now been confirmed that oil is ashore and wildlife is affected. Can the Minister advise us on when the infrastructure protecting Poole harbour was last examined for statutory compliance? Can he confirm that his department and the Environment Agency will provide support to restore the sensitive eco balance of the marshlands and harbour?

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, television has shown us the extent of this spill; the oil has clearly mixed with the water in the bay. Two hundred barrels were released, allegedly containing only 20% oil, yet seabirds are being covered in it. This is not the first time such an instance has occurred. The plant is 50 years old. This is an SSSI, a Ramsar site and a European marine site, and the licence for the plant has another 15 years to run. Does the Minister agree that this is not the right environment for such a polluting activity to take place, affecting not only the environment but the bathing water status of Poole harbour?

[The Minister of State, Department for Environment, Food and Rural Affairs (Lord Benyon) (Con)]

I thank the noble Baroness for her point, and I agree with her that this is a very serious and worrying spill; I hope it has been contained. A lot of work has been done by a lot of agencies, including the marine coastal agency, the Environment Agency, Natural England, the Food Standards Agency—regarding the shellfish produced in Poole harbour—and the local IFCA. The Dorset Local Resilience Forum has also done noble work in galvanising lots of different agencies to resolve this.

I am not aware of the legislation governing Poole Harbour, but, as the noble Baroness, Lady Bakewell, points out, there are overlaying environmental designations; it is a very special area indeed. There is also an enormous amount of human activity, not least that associated with the tourist income for the local area. We want to make sure that we are not only containing this but finding out what caused it and doing everything we can to make sure it does not happen again. The recovery operation has sealed the pipe. It will be replaced and we will monitor the company doing that, which owns this very large facility, and make sure that the polluter is responsible for the damage caused.

The noble Baroness, Lady Bakewell, is absolutely right: about 80% of the 200 barrels of pollutant that was released was water. As of this morning, some 20 birds have been found to be affected. It is not known at this stage whether they will recover or will require further treatment, but I very much hope that we have contained the situation.

Direct Payments to Farmers (Reductions) (England) Regulations 2023

Baroness Bakewell of Hardington Mandeville Excerpts

Tuesday 28th March 2023 Lords Chamber

Moved by

[Baroness Bakewell of Hardington Mandeville]

Leave out all the words after “that” and insert “that this House declines to approve the Direct Payments to Farmers (Reductions) (England) Regulations 2023 as they would reduce the direct payments made to farmers for the 2023 year of the Basic Payments Scheme; considers that the implementation of this reduction in payments, combined with rising input and energy costs to produce food, risks the livelihoods of British farmers as they transition their businesses to producing food and public goods like environmental protection; and calls on His Majesty’s Government to accelerate urgently the roll-out of the Environmental Land Management scheme”.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, I thank the Minister for his introduction. Needless to say, I have a different view and feel that he somewhat overstates his case. The statutory instrument reduces the money that farmers get from the CAP through the basic farm payments by at least a further 35%. After Brexit, the then Minister assured the House that as the Government phased out BPS payments on a sliding scale, the environmental land management scheme would replace payments, but on a different basis. The Minister gave assurances that the total sum of money—£2.4 billion, as mentioned—that had been allocated under the CAP would be maintained and reallocated under ELMS during the seven-year transition period.

The Minister at the time believed that, and I believed him. What has actually happened in somewhat different. The money may well be there, but it has not been allocated in a way that farmers can easily access. The Direct Payments to Farmers (Reduction) (England) Regulations 2022, which came into force on 15 April 2022, made the following reductions in direct payments: to those farmers receiving £30,000 or less, 20%; to those receiving more than £30,000 but less than £50,000, 25%; to those receiving between £50,000 and more than £150,000, 35%.

That is what the SI said. I believe it should have read, “those between £50,000 and no more than £150,000”, as the next category is those above £150,000—40%, on top of the previous year’s reductions. The SI we are debating today would make additional reductions as follows: for £30,000 or less, 35%; above £30,000 and no more than £50,000, 40%; above £50,000 and no more than £150,000, 50%; and above £150,000, 55%.

We can see immediately that the cumulative effect is very harsh indeed. Now, this would not matter if farmers were able to replace this lost income through ELMS. There are some excellent ELMS strands which have been rolled out, as the Minister has listed, but many are still in the pilot stage. Others have yet to see the light of day in a form which farmers can easily assimilate and assess how this would fit in with their business plans and models.

Farmers are struggling. They have seen significant cuts to their basic payment already: at least 5% in December 2021 and at least 20% in December 2022. Meanwhile, input costs have increased significantly. Energy bills are sky high, and the costs of fertilisers and animal feeds are also significantly up. Farmers are struggling to recruit people to pick produce, leaving food rotting in the fields, despite Ministers encouraging our population to move to areas where this type of work is available. The avian flu crisis is leading to egg shortages. The weather in Spain has led to major shortages of produce in supermarkets. This latter is clear evidence of climate change and an excellent example of why the UK needs to transition faster.

While farmers are struggling with all these factors, the Government are cutting energy support for them from this April by about 85%. The energy bills support scheme is being replaced by the energy bills discount scheme. Under the support scheme, farmers, like all other businesses, benefited from an absolute cap on the cost of electricity and gas per kilowatt hour. Under the new discount scheme, which starts on 1 April, businesses will get a discount: a small proportion of the bill covered. This means that farmers are likely to see energy support drop by 85%. So not only are farmers losing BPS this year, they are seeing this help cut—all during a food shortage crisis.

Farms are no longer to be classed as energy-intensive businesses, robbing them of more support. Minette Batters, president of the NFU, wrote to the Chancellor ahead of the Budget, asking him to prioritise food production. This request was ignored. Ms Batters said

“the NFU was clear that greater support is needed for the thousands of farm businesses which are trying, but struggling, to keep our nation fed amidst soaring production costs. It’s therefore extremely frustrating that the Energy and Trade Intensive Industries scheme was not extended to include energy intensive sectors such as horticulture and poultry”.

Farmers are being undermined by the new trade deals that allow food to be imported from Australia and New Zealand which, despite ministerial reassurances, is not produced to animal welfare and environmental standards currently existing in the UK. If this SI is agreed and another 35% reduction in farmers’ basic payments goes through, food production is likely to drop even more as farmers make decisions now about what to plant and produce next year. We are seeing the increased cost of both fertiliser and energy leading to tomato plantings in the UK dropping off dramatically.

Farmers should be able to replace the money lost through access to new and better environmental land management schemes. We on these Benches support ELMS. However, the Government have not handled the transition at all well. It has been somewhat botched. There was even a threat back in September, under the premiership of Liz Truss, that ELMS would be dropped altogether.

Cambridgeshire farmer Martin Lines, the chairman of the Nature Friendly Farming Network, which promotes sustainable farming, said that any delay to the ELMS would deny farmers crucial support to adapt to a changing climate. He said:

“If the government is stalling ELMS, it is failing any duty of leadership in maintaining momentum and building resilience”.


No wonder farmers are not rushing to take up those ELMS already launched.

We are six years after the Brexit vote, and two years after the start of the reduction in basic payments. On 5 January this year at the Oxford Farming Conference, Minister Spencer announced more money for farmers and landowners through both the countryside stewardship and the sustainable farming incentive schemes. As the Minister has already said, this change means that farmers could receive up to a further £1,000 per year for taking nature-friendly farming action through the sustainable farming incentive—SFI. This new management payment will be made for the first 50 hectares of farm, at £20 per hectare, in an SFI agreement, to cover the administrative costs of participation and to attract smaller businesses—many of which are tenant farmers—that are currently underrepresented in the scheme.

--- Later in debate ---

I will just make a final point about the amendment in the name of the noble Baroness, Lady Bakewell. You cannot have it both ways: you cannot say you want to accelerate ELMS and then revert to the old scheme. I absolutely am prepared to accept the noble Baroness’s commitment to farming, but the wording of her amendment would have the effect of removing £700 million of investment in farming businesses this year and would disincentivise all the uptake of the schemes that we want to see. I hope noble Lords will reject the amendment. I commend the draft regulations to the House.

[Baroness Bakewell of Hardington Mandeville (LD)]

I thank all noble Lords who have taken part in this debate, and I am grateful to the Minister for his response. It is undoubtedly true that the reduction in the BPS was well trailed and consulted on and appeared reasonable. As other noble Lords have said, change is always difficult, but as others have also said, it could have been handled better.

What was not anticipated by farmers was the extremely slow rollout of ELMS. The initial pilots should have been held before the beginning of the reduction of the BPS. Had this been done earlier, there could have been a faster and more efficient rollout of ELMS across the farming community. The noble Earl, Lord Caithness, referred to the uncertainty farmers are currently feeling.

Most farmers are keen to take part and improve their land quality, contribute to net zero, improve biodiversity and restore habitats. However, they need to make a living at the same time. The Minister has extolled the virtue of the SFI, which last year spent only 0.44% of the overall budget on that scheme.

The noble Lord, Lord Grantchester, referred to the many debates we had during the progress of the Agriculture Act, and to the long-term nature of farming. We made those points over and again, but they were not listened to. Energy price hikes and fertiliser shortages have not helped. Changing to a different method of fertiliser takes time, and the shortage of fodder for animals has also had an impact. All this has had a cumulative effect on farm profitability.

Like the noble Baroness, Lady Hayman of Ullock, and the noble Duke, the Duke of Wellington, we fully support the ethos and rollout of ELMS. The noble Baroness, Lady Boycott, made some very important points on the reward that farmers get for their produce, saying that it is so small and unsustainable. She promotes escalating ELMS, and we fully support her in this. What we are asking for is a pause in the reduction of the BPS. ELMS is vital and needs to speed up to catch up with the gap that the BPS has created.

Some 70% of land in the country is managed by either agriculture, horticulture or open countryside. The land needs and deserves to be managed in a sustainable way. We must ensure farmers are still here to achieve this. Some 44,000 farmers have left farming in the last four years; that is an undeniable fact. I do not believe that the whole House is on a very different page; we just do not agree on the way this should go forward. I understand and appreciate that others do not support this amendment. Nevertheless, I would like to test the opinion of the House.

Food Price Inflation

Baroness Bakewell of Hardington Mandeville Excerpts

Thursday 23rd March 2023 Lords Chamber

[Lord Benyon (Con)]

I can assure the noble Baroness that the Secretary of State is deeply involved in this issue. The Food Minister, Mark Spencer, took this Urgent Question, which is right, as he is the Minister responsible for food supply, food security and other related issues. The noble Baroness is absolutely right that this matter affects a number of different departments right across government, and the Prime Minister and the Chancellor of the Exchequer have also been deeply involved in this. I do not know precisely what meetings the Secretary of State has had on this issue, but I will be happy to write to the noble Baroness with details of discussions she has had. I can certainly say from my own experience that the Secretary of State is very involved in this issue.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, I thank the noble Lord for repeating the Statement. Some £37 billion has gone to support households with the cost of living but there is no detail as to eligibility. Can the Minister say how this money is being distributed? I welcome the Government’s intention to permanently extend free school meals eligibility to children from all families with no recourse to public funds. Can the Minister say whether this means that free school meals will be available to all those who are eligible during the school holidays? As the Statement says, the price of milk, cheese and eggs has risen by 30.8%. Can the Minister say whether any of the £37 billion support is reaching the farmers who produce our milk, cheese and eggs?

Imported Beef

Baroness Bakewell of Hardington Mandeville Excerpts

Wednesday 22nd March 2023 Lords Chamber

[Lord Benyon (Con)]

My noble friend is absolutely right that there are some different standards in the EU, and we have worked as members of the EU and will continue to work with the EU and other countries through the World Organisation for Animal Health and the World Trade Organization to create greater and higher standards of animal welfare that more reflect what we have here so that there is a much more even playing field in trade across the world.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, the Government appear very keen to do trade deals with Canada and Mexico, against the advice of the Climate Change Committee, which felt that such deals would compromise UK carbon targets, allowing imported meat with a higher carbon footprint than our own. Why are the Government not prepared to take measures to achieve the UK’s carbon targets? Perhaps they feel they are unimportant.

[Lord Benyon (Con)]

I can assure the noble Baroness that we do not. The Climate Change Committee has gone through each department. I am responsible in Defra for making sure that we satisfy the Climate Change Committee’s demands, which are extremely challenging and testing. We have a commitment to get to net zero by 2050. British farming, under the leadership of the NFU, has committed to getting to net zero by 2040, and I can tell her that, as a farmer, that is an extremely challenging thing to do, but we as a Government and the leadership of farming are working together to help farmers try to achieve that. It is a vital priority that we decarbonise, and we understand that there is prosperity in doing so.

Agriculture (Financial Assistance) (Amendment) Regulations 2023

Baroness Bakewell of Hardington Mandeville Excerpts

Tuesday 14th March 2023 Grand Committee

Two final questions remain for the Minister. Will the Government now reconsider their income-forgone model for payment, also mentioned by the noble Baroness, Lady McIntosh? It has long been derided, over many years, for linking payments to production. Will they now reconsider that food is a public good, which was rejected under the Agriculture Act 2020?

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, I thank the Minister for his introduction to this statutory instrument and for his time, and that of the officials, in providing a briefing. I welcome his warning of impending doom should the fatal Motion be agreed in two weeks’ time.

The gist of this SI is that some information on the financial assistance that farmers receive for their activities will not now be published and therefore open to scrutiny. The Agriculture Act indicated that this information would be available for public scrutiny, and these exemptions from publication relate to the annual health and welfare review and the tree health pilot.

The Secondary Legislation Scrutiny Committee considered this SI on 28 February and asked a number of questions of Defra as to why there should not be publication of the assistance farmers are receiving. The answers related to the likely disadvantages farmers would face if detailed information was published. In the SLSC report, it is clear that Defra Ministers would be able to exempt certain schemes from the full publication requirement without having to lay secondary legislation before Parliament.

Defra stated that it

“carefully considered where publication could have a detrimental impact on scheme uptake, risk achievement of target outcomes and value for money, as well as potentially damage individuals and businesses.”

Can the Minister give examples of where such instances might occur, leading to a detrimental impact on the farmer and on scheme uptake? It would be useful for the Committee to know this.

Turning to the Explanatory Memorandum itself, the last bullet point in paragraph 7.4 refers to

“the investigation of breaches and suspected offences in connection with applications for, or the receipt, of financial assistance”.

Can the Minister say how many suspected offences and breaches are recorded in any one year? Is this a big problem or only an occasional occurrence? Paragraph 7.6 states that the instrument

“omits the previous definition of the ‘farming investment fund’ that referred only to section 1(2) of the Act… For example, the policy intention is to launch the ‘animal health and welfare scheme’ as part of the farming investment fund”.

Can the Minister please give an example of just what this means?

Paragraph 7.7 of the Explanatory Memorandum indicates that publishing a full list of financial assistance received could lead to individuals and businesses not reporting cases of pests and diseases, for fear of not being able to sell their stock or produce or being accused of having poor animal health practices. I understand this rationale but, on the other hand, it is important that everybody knows where there are outbreaks of pests and diseases. It is not helpful to neighbouring farms if, for instance, there is an outbreak of African swine fever in pigs in an area, especially if they are kept outside and neighbouring farms are unaware of that.

It is not just animal diseases which it is important to be aware of. For example, plants and trees are also under threat; in particular, they are under severe threat from oak processionary moth and Xylella fastidiosa. Can the Minister provide assurance that pests and diseases will be notified to Defra and its officials, even though they are not on the published list of financial support given to the farmer or the individual concerned?

I fully support the importance of encouraging farmers to join as many schemes available under ELMS as possible to maintain their living. It is also important for the public to understand what the money they receive is spent on. I also accept that publishing some information could give the wrong impression of what is happening on farms. It is important to protect farmers and their families from the activities of animal rights activists, wherever possible.

There is a fine line between total transparency on how public money is allocated and protection of the privacy and reputation of those engaged in agriculture in the wider sense. I am confident that the Minister is fully supportive of this. I have expressed my concerns but, generally, I support this SI.

[Baroness Anderson of Stoke-on-Trent (Lab)]

My Lords, I thank the Minister for his introduction to this SI. While this is my first outing shadowing him, I am sure it will not be my last—unless this goes horribly wrong—and I look forward to our interactions in the months ahead. I also thank his officials for indulging my newbie questions in the briefing.

In recent weeks, our newspapers have been filled with tales of food shortages, excessive levels of food inflation and the associated food poverty. There has even been a national debate about our domestic turnips. No longer is the impact on our farmers and rural communities reserved to news stories on “Farming Today”. We live in a period of global uncertainty and economic challenge; this is no less the case for our domestic agricultural economy than for any other sector. Labour shortages, new bureaucracy and the ongoing impact of the war in Ukraine on grain and energy supplies are having a direct and daily impact on our domestic food supplies, as well as on the natural environment.

It is therefore vital that, in our post-Brexit world, we get the regulatory and payment structures fit for purpose to ensure security of food supply, and that we do everything that we can to support our farming businesses and communities. They are invaluable to our long-term sustainability and security, and we all rely on them. That is why the Labour Party will not be opposing this SI. However, I have some questions for the Minister relating to the implementation of the regulations.

The financial assistance amendment places more burden on Defra civil servants in terms of monitoring and the likely ongoing adaptation of some of the financial assistance schemes already launched. Can the Minister confirm that Defra has the resources to apply these changes in a timely manner over the next 12 months, given the additional strains which would be placed on his department by the Retained EU Law (Revocation and Reform) Bill, should it pass into statute? I promise that I do not seek to rerun the arguments which were heard in Committee on the REUL Bill last week; rather, I seek reassurance from the Minister that this has been considered and that appropriate resources are in place.

Following on from the debate in the other place on this statutory instrument, I hope the Minister can assist the Committee in answering some specifics which his colleague, the Farming Minister, failed to address. My colleague Daniel Zeichner sought clarification on Regulation 5(c); can the Minister confirm which schemes do not require a request for payment but will instead require an annual declaration to the Secretary of State? How many cases do we believe will fall into that category each year?

I also seek clarity on points raised by the right honourable Kit Malthouse in the other place in Committee. Referring to paragraph 7.6 of the Explanatory Memorandum, he asked:

“Does that mean that, without parliamentary consent, the Minister can start or close a new scheme or quietly”—[Official Report, Commons, Delegated Legislation Committee, 28/2/23; col. 8.]


abandon a funding mechanism that is no longer viable? As my noble friend Lord Grantchester highlighted, given the significant discretion that now rests with the Secretary of State, can the Minister confirm that, when schemes are launched, amended or closed, the department will be required to consult their beneficiaries before the terms are revised? If so, to what timetable will the department work?

I know that the Minister has vast experience of this area, which I do not claim to have, and is committed to making these regulations work for our farmers. I look forward to working with him in the months ahead to deliver the best possible deal for our rural communities.

Retained EU Law (Revocation and Reform) Bill

Baroness Bakewell of Hardington Mandeville Excerpts

Committee stage
Wednesday 8th March 2023 Lords Chamber

I decided to become a scientist as a child because we had just approved Calder Hall—the first atomic power station producing civil nuclear power in the world. It was produced a few years after the war when the first atomic weapon was produced. They went through the whole process of inventing the technology, getting approval, and getting up and running in those few years. Nowadays, you would not even get through the approval process for the environmental regulations in that time. That cannot be right. There must be scope to streamline these processes in a way that does not undermine environmental protection, or mean that we will lose biodiversity or that our beautiful landscape will be desecrated. I hope that we focus on that aspect of changes to environmental law as the principal fruit of the REUL Bill.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, my noble friend Lady Parminter clearly set out the arguments for Amendment 126, which I fully support. The noble Baroness, Lady Hayman of Ullock, ably introduced her Amendment 130, to which I have added my name. I will speak briefly to that amendment.

The Minister, the noble Lord, Lord Benyon, made it clear that he is personally committed to ensuring that environmental standards are maintained, that biosecurity is improved, and that the Government leave the environment in a better state than they found it. However, this commitment and aim are not shared by all in the current Government.

The Bill is worded in such a way as to provide a very large degree of what can be called “wriggle room”. We have debated in Clause 15 the meaning of “appropriate” and how this will be interpreted by both officials and Ministers when it comes to individual pieces of legislation.

Clause 15 allows Ministers to amend important retained EU environmental law on nature, water and chemicals, ensuring that there is no reduction in environmental protection. This has to be achieved without extra bureaucracy, taxes or burdens being incurred. My noble friend Lady Parminter has spoken on this issue.

In evidence to the Lords Environment and Climate Change Committee, the Secretary of State referred to the Environment Agency’s wish

“to change quite a lot of the water framework directive”.

The quality of our water has featured in our debates more often than many of us would care to mention. To be informed that a lot of changes are likely to come to the water framework directive without any indication of what they may be is extremely worrying for many in this Chamber. The noble Baroness, Lady Hayman of Ullock, also raised this.

Amendment 130 would insert a new clause whose aim is to maintain environmental standards across a range of regulations and directives, which the country has taken for granted and which have protected the health of the population, our environment, wildlife and the marine environment over the years. Proposed new subsection (4) lists those laws that we believe are essential to keep. Others are also important, as the noble Baroness, Lady Hayman of Ullock, also raised, but those five are vital and should be included in the Bill. There is consensus on this across the Committee.

We have debated these issues on previous days in Committee without the Minister giving any comfort. On this occasion, we are all looking for the Minister to realise that the vital issue of protecting the environment and the population is not going to trickle away. Unless he wants to see a flood of opposition from all quarters, both inside and outside Parliament, he will accept the amendment before we come to Report. I look forward to his agreement.

[Lord Inglewood (Non-Afl)]

My Lords, I have been listening to this debate with interest. Obviously, it relates to environmental standards, but is also about the way in which the legislation that deals with environmental standards is cast. I am sure we are all agreed that some of the things that the noble Lord, Lord Lilley, described could be substantially mitigated, to the benefit of everybody.

Having said that, what we see with the two amendments we are considering is the introduction of legal certainty into the legislation. That, it seems to me, is actually quite important because, as has been described on previous days in Committee, the underlying rationale behind the kind of approach being adopted by the Government is what I might describe as the operation of a compensatory principle. This, it seems to me, is a very attractive notion. But how is it going to work? In particular, as has been debated previously, what is the currency you use to determine whether or not something is compensation? It has to be equivalent, it seems to me. That is the basic meaning of the word in the English language.

Then there has been discussion about “Well, it’ll be done on the whim of a civil servant or a Minister”. But I do not think this is going to be the end of the story—this is what my concern is—because any change that comes about will produce winners and losers. Wherever there are winners and losers, not least in this area of policy, the law gets dragged in. I can see that the whole scheme on which this particular approach has been adopted is going to lead to an absolute abundance of applications for judicial review, because any change that is made on the basis of this compensatory principle is going to have a winner and a loser, and is going to be the hinge on which the legislation depends. I would be very interested to know the views of the Front Bench on this, because I can see that what sounds superficially like a siren song of easy administration may well end up providing an absolute bonanza for lawyers. I suppose that, as one myself, I should declare an interest.

Water Companies: Water Pollution

Baroness Bakewell of Hardington Mandeville Excerpts

Wednesday 1st March 2023 Lords Chamber

[Lord Benyon (Con)]

I am not an aquatic scientist but I can tell my noble friend that the problem in the Wye is principally due to phosphates coming from the poultry industry, which has boomed in that area and for which no adequate planning provision was made to prevent the leakage of effluent. The Environment Agency and other parts of Defra are making sure that we are correcting that. I hope that we will prevent what is happening, which is an absolute tragedy. For large parts of the year, large sections of one of the great rivers of this country are nearly ecologically dead. We want to reverse that.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, there has been considerable media interest in the pollution of bathing waters, inland rivers and waterways as a result of the release of sewage overflows. Nearly every week, the Minister is called here to answer questions on this issue. Given that warmer weather is approaching, can he say how the Government will protect the health of the children and adults who will be exposed to this fetid and polluted water?

[Lord Benyon (Con)]

We rightly beat ourselves up about this but it is worth stating that our bathing waters are in their best state ever. Last year, 93% of them were classified as “good” or “excellent”. The number of serious sewage incidents has fallen from 500 a year in the 1990s to 62 in 2021, although that number is still 62 too many. What is called wild swimming—what my mother used to call swimming—is becoming a great national sport and activity. We want to connect more people with nature; that is a wonderful way of doing it. Making sure that our rivers are clean is vital.

Environmental Improvement Plan 2023

Baroness Bakewell of Hardington Mandeville Excerpts

Monday 6th February 2023 Lords Chamber

[Baroness Hayman of Ullock (Lab)]

My Lords, last month the Office for Environmental Protection warned of a serious failure to deliver on every one of the goals set out in the Government’s own 25-year environment plan. The body said:

“The situation is poor across the board, with adverse trends across marine, freshwater and terrestrial environments.”


It added that progress towards 14 of the 23 targets was “off track”, while a lack of available evidence meant that progress could not even be measured for the remaining nine.

Against this backdrop, we welcome Defra publishing its environmental improvement plan, and actually managing to publish it on time. There are some promising-looking targets in the document. However, the Government have generally been pretty good at setting themselves targets; for example, at COP 26. The problem is that Ministers have not been so good at taking the action needed to actually achieve them.

Dame Glenys Stacey, chair of the OEP, has welcomed the environmental improvement plan but also warned that:

“It’s all about delivery now.”


So I ask the Minister: what are the Government going to do differently this time around to actually deliver on their commitments? Members of this House have expressed concern regarding the long-term environmental targets contained in recent SIs we have debated, and we are concerned that some of the interim targets may not be ambitious enough.

I ask the Minister: does Defra accept the observation of Philip Dunne MP, chair of the Environmental Audit Committee in another place, that

“the targets are only worthwhile if they are met and have the backing of all departments across Government”?

This has also been stressed by the Office for Environmental Protection in its recent report, where it stressed the need for better

“alignment and co-ordination at all levels—

of government—

“local and national, and actions that extend beyond Defra”.

I have a number of other questions for the Minister and am happy for him to write, if he is unable to address some of them this afternoon. What did the Secretary of State, Thérèse Coffey, mean when she said in a recent letter to Mr Dunne that, after publication of the EIP, she intends

“to undertake a series of deep dives on priority issues so we can get on and deliver”?

Can the Minister outline the areas that she will be focusing on and what form these “deep dives” will take? Will they just be reviews of the current situation or are they likely to lead to policy change and/or actual legislation? How does Defra intend to work with local government and other departments across government to ensure a commitment to deliver?

The Secretary of State’s letter also says that Defra is on track to legislate for an alternative transition registration model for UK REACH in 2024. Can the Minister provide any information on what that will look like? Is it likely to be primary or secondary legislation, for example? If primary, is there not a case for bringing forward a broader piece of environmental legislation?

Concerns have also been raised about the lack of new money to assist with delivery of the EIP. The Secretary of State herself confirmed that there will be no major new funding, beyond a dedicated pot to protect some species including hedgehogs and red squirrels. Although, of course, we welcome this increased protection, some farming leaders have said that new sources of funds are needed to encourage farmers to take up environmental land management schemes.

The Public Accounts Committee made a series of recommendations to Defra in its report on ELMS, which said:

“The Department is over-optimistic about what it will be able to achieve by when”.


The report went so far as to question the Government’s readiness to deliver their policies—sadly, not a new occurrence for Defra. So what action is the department taking in response to these concerns? Has Defra made any bids for extra funds from the Treasury in advance of March’s Spring Budget?

As well as considering what is in the plan, we must also acknowledge what is missing. For example, although it contains stipulations for fitting dual-flush toilets, it does little to force water companies to deal with other issues, such as stopping pouring sewage into our rivers. The noble Earl, Lord Caithness, recently asked what happened to the dedicated soil health strategy, which was a promise made by the noble Lord, Lord Goldsmith, during the progress of the Environment Act. Despite that pledge, it appears that soil-related issues have simply been wrapped up into the EIP. Can the Minister explain why the target of bringing 40% of agricultural soil into sustainable management by 2028, and 60% by 2030, is now tied into “new farming schemes” and nothing else?

Finally, with the Second Reading of the retained EU law Bill later today, what guarantees can the Minister give that Defra’s existing environmental regulations will be maintained and not ditched or watered down? I hope he can understand our scepticism about this, when he says that the Government will keep green regulations by default and yet there is no final figure for how many actually exist.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, the nine actions listed in the Government’s statement of achievements and implementations in the first 100 days of this Government appear to be impressive on paper, but a little digging into the reality reveals a very different picture. Much is made of the ban on single-use plastics from October 2023. Two years have passed since the statutory instrument to bring this into effect was agreed in this Chamber. At the time, those of us involved in the debate pressed for a much earlier implementation date but were unsuccessful. Even now, with so much notice, industry is complaining about the cost. It was widely publicised at the time, so there was plenty of time to plan and even to implement before the cut-off date this year. However, I welcome the Government’s co-operation in persuading other countries to agree a new legally binding global treaty to end plastic pollution by 2040. Does this apply to all plastic in consumer items only, or will it include plastics used in manufacturing industries as well?

I read with interest the environmental principles policy statement when it was first released, but I fear I found the principles underwhelming in the extreme. If government departments choose to ignore them, there appears to be absolutely no redress to bring them into line to consider and protect our dwindling biodiversity. How will Defra ensure that all government departments fully embrace the environmental principles?

Of course, it is important that children and adults have access to green spaces and coastal areas for leisure activities. I look forward to the implementation plan for ensuring that everyone in the country can be within 15 minutes’ walking distance of blue or green spaces for relaxation and enjoyment. How will this be achieved? What is the exact timeframe for the delivery? In what form are the Government engaging with landowners, local authorities and other agencies to ensure that this happens in the most built-up areas?

I turn to the thorny issue of fly-tipping. I see from the Statement that the intention is to ask local authorities to deal with the problem. During the passage of the Agriculture Act, the debate demonstrated across the Chamber that fly-tipping on agricultural land costs the farming community dearly. Affected farms have to pay to clear up the waste tipped, regardless of what it is—garden waste, retail and industrial waste, building waste—costing farmers thousands of pounds. However, the then Minister rejected the suggestion that CCTV on farms would be extremely helpful, despite much of the support for CCTV coming from his own Benches. Can the Minister say when the Government will publish what they intend to do to tackle that scourge and what they consider to be best practice?

I turn briefly to the Illegal Wildlife Trade Challenge Fund. The Statement indicates that £39 million has been invested in the project. Can the Minister say exactly when the £39 million was released and how much of it has been allocated so far? Does the fund have a time limit for applications? As the fund is focused on the illegal trade in wildlife, can the Minister also say whether any of that money is allocated to tackling and imposing heavy sanctions on the importation of ivory? It is illegal to import ivory products into this country, but that has not made a significant difference to the African elephant. Can the Minister please give an update on the effect of the Ivory Act?

I agree with the Statement from the Minister in the other place that Defra will have to work across the whole of government, Natural England, the Environment Agency, the Animal and Plant Health Agency, communities and businesses to achieve the measures set out in the Statement. Given the huge loss in biodiversity and the levels of plastic and chemical pollution in our landscapes, coastal areas and waterways, does the Minister believe that this is achievable in a realistic timeframe?

[The Minister of State, Department for Environment, Food and Rural Affairs (Lord Benyon) (Con)]

My Lords, I declare my farming interests as set out in the register. I am very grateful to the two noble Baronesses for their questions on the environmental improvement plan. As they know, it was published last Tuesday 31 January and sets out the action we are taking to implement the 25-year environment plan, leading on from the work your Lordships did in this House to make that ground-breaking legislation law. Each chapter of the EIP describes the progress we have made in realising the 10 goals of the 25-year environment plan. It also sets out our plans to continue to deliver those goals and to achieve legally binding targets that support them.

Our most critical goal is to achieve thriving plants and wildlife by halting the decline of nature by the end of this decade. The noble Baroness, Lady Bakewell of Hardington Mandeville, rightly asked whether there is any real prospect of achieving that, and we think that it is achievable. It is difficult, but we can achieve it if we work really hard. We said that we will create and restore habitats the size of Dorset, we will invest more than £750 million in tree planting and peatland restoration, and we will protect 30% of our land and sea for nature by 2030. The EIP sets out how we will achieve clean air by cutting emissions from domestic burning appliances and by reducing ammonia emissions through farming incentives and investments in slurry storage. Our goal of clean and plentiful water is vital for a healthy natural environment, and we will deliver that by upgrading 160 wastewater treatment plants by 2027 and promoting sustainable agriculture, restoring 400 miles of rivers and reducing water company leakages by 50% by 2050.

Addressing one of the points raised by the noble Baroness, Lady Hayman of Ullock, we will continue to manage exposure to chemicals and pesticides. We will develop a chemical strategy and prioritise the sustainable use of chemicals through UK REACH legislation. We will achieve the goal of minimising waste by implementing the extended producer responsibility, introducing a deposit return scheme for plastic and metal drinks containers, and banning single-use plastics; similar schemes have been extremely successful in other countries. The EIP sets out how we will achieve the goal of using natural resources more sustainably and efficiently by growing the long-term UK timber supply, bringing 40% of our soils into sustainable management by 2028, and tackling illegal deforestation in our supply chains.

In delivering our goal to mitigate and adapt to climate change, we recognise the two-way relationship between climate and nature, and we will prioritise the use of nature-based solutions. This embeds changes that were made at COP 26, and underpinned at COP 27 and CBD 15 in Montreal just before Christmas, which have hard-wired nature into the whole climate piece. It is absolutely vital that we reflect that in the United Kingdom as much as we are globally.

This approach is at the forefront of our goal to reduce the risk of harm from environmental hazards by investing in flood defences, rewarding our farmers for actions to reduce the risk of floods, droughts and wildfires. To restore our biodiversity, we will continue to deliver the goal of enhanced biosecurity. We will implement the five-year action plan of the 2023 Plant Biosecurity Strategy for Great Britain and seize the opportunity of Brexit to tailor our border import controls with a new risk-based target operating model.

Our final goal, woven through all the others, is to enhance the beauty and heritage of, and engagement with, the natural environment. The key point that everyone should live within 15 minutes of green or blue space is really important to Ministers. To address the point made by the noble Baroness, an enormous amount of data is held by Natural England and others. We are using it to identify the communities that are most economically challenged with the highest levels of deprivation, which are often the hardest ones to connect to nature. There are good examples right across the country of how that is being achieved, and we want to see that rolled out nationally.

To address the other points that have been made, I think the targets are achievable. I entirely agree with my colleague in the other place, Philip Dunne, that they must be met and that nature underpins everything right across government, be it the NHS, our defence forces, how we educate our children, heal our sick or support our vulnerable. Nature is at the heart of it, whether in the provision of drugs, through the health and well-being that can be created, how we can divert people away from our health service—nature is the deliverer of that. If we are not supporting nature, nothing else fits in.

The Secretary of State is determined on delivery. We spend a lot of time holding ourselves to account, but also those delivery agencies that we need to work properly to make sure that this plan is delivered. The noble Baroness is absolutely right that this is not a matter only for Defra; it is a matter for all aspects of government, including local government. We are putting huge burdens on a variety of different agencies, professions and individuals to make sure that this is successful, and we are determined to work with them to make sure that that is achievable.

On environmental land management schemes, we have ring-fenced the £2.4 billion a year that goes into supporting farmers in England, and that is a commitment up to the end of this Parliament. Of course, parties will be discussing among themselves how we take that forward, but every major economy in the world supports agriculture in different ways. What we have done in recent decades has caused huge problems for our environment and for the well-being of precisely those businesses we want to see flourish. Now there is an opportunity to pivot and to make sure that we are supporting farmers who are doing the right things for the environment—investing in soils and in the natural capital for which they are responsible, and which will underpin the long-term benefit of their businesses.

The noble Baroness asked about soils. This is absolutely fundamental to turning round our environment so that we can reverse the decline of species by 2030 and increase the potential of the farmed environment. So yes, tied into the targets is improving and protecting soil health. It is a key part of this document. By 2028, we will bring at least 40% of England’s agricultural soil into sustainable management through our new farming schemes, increasing this to 60% by 2030. We will do this in a variety of ways, which I probably do not have time to go through today. However, I am happy to take the noble Baroness through it, along with my noble friend the Earl of Caithness, who is rightly concerned about this.

I will make just one further point to the noble Baroness: there is no way we could achieve what we have tied into law, and into our targets through the Environment Act, if we were to somehow, as has been suggested, be about to trash our environmental protections. We cannot do it. It is absolutely vital that we use the sensible ones that are relevant to our natural environment, that we can discard ones that have nothing to do with these islands at all, and that we can work with people to do that. I implore the noble Baroness to join me, if she wants to, in the process part, but it is the outcomes that matter, and the outcomes are set out very clearly in this document. We have to achieve them, and we will not do that by somehow getting rid, as has been suggested, of all these protections.

On the key point to the noble Baroness made on fly tipping, I would add litter. I live the distance away from a McDonald’s drive-thru that it takes to eat a McDonald’s drive-thru, and what people then do with the rest of their McDonald’s drive-thru causes me to fulminate in a way that alarms those around me. I think the state of some of our highways and roads is absolutely disgraceful. We can talk about government and their responsibility for this, but we still have to talk about a culture, where people have so little regard for the natural environment and where they seem to have lost a sense of place, that allows this to happen.

We have given powers; powers are available to local authorities to deal with this. We want to make sure that they are using them, that we are encouraging people not to throw litter and that we are able to support those authorities that need to clear it up. Yes, CCTV is absolutely available. The Environment Agency has the means to record what is happening at key hotspots and it has taken forward prosecutions; but we, as Ministers in Defra, really want to get behind those efforts of society and those who share our views that the state of some of our countryside through litter is unacceptable.

On the illegal wildlife trade, the Ivory Act is an exemplary piece of legislation. It became law in all its measures relatively recently, and of course we are not a range state. We have to accept that we can only do our bit to stop the importation of ivory, but we are putting huge resources into assisting range-state countries to make sure they have the means to prevent poaching—with some success, I have to say. I agree with the noble Baronesses that it does require a whole-government approach to implement these targets, and that determination exists very clearly within Defra.

Genetic Technology (Precision Breeding) Bill

Baroness Bakewell of Hardington Mandeville Excerpts

3rd reading
Wednesday 1st February 2023 Lords Chamber

[Lord Benyon (Con)]

It is my privilege to move the Third Reading of the Genetic Technology (Precision Breeding) Bill in this House today. As we have discussed in debate, it is essential that we forge ahead with the Bill now to help address the many challenges we are facing across our food system and environment.

During the Bill’s passage through the other place, we saw record-breaking heat and drought and now, as it nears the end of its journey, we are managing the impacts of winter flooding. Precision-breeding technology is one of the tools we can use to develop plants that are more productive, more resilient to extreme weather, and less reliant on fertilisers and pesticides. This technology will help support our farmers to grow and harvest better, improve the health and welfare of animals, and provide healthier and more nutritious foods for consumers.

We have some of the best scientists and research institutes in the world, and we want to encourage this exciting research and translate it into tangible benefits. I recently had the pleasure of visiting Professor Jane Langdale at the University of Oxford, where I learned about her cutting-edge work developing high-yielding rice varieties for smallholder farmers. I heard how you can precision breed drought-resistant varieties. That is exactly the kind of work we want to see. I know that this is happening across the country, including at the John Innes Centre at Rothamsted, the Roslin Institute and many more places. I left Oxford with the warm glow—no doubt some noble Lords might feel that it was naive but I felt it was genuine—one gets from the belief that we have actually done something good here, which will benefit people in not just this country but abroad.

By introducing a more proportionate and science-based regulatory framework, we want to encourage innovation and enable new breeds of plants and animals to be released for field trials and brought to market more easily. We want to encourage this innovation responsibly. Following the Bill’s passage, we will continue to work with experts and other stakeholders to develop measures to safeguard animal welfare before we bring the measures in the Bill into force in relation to animals.

I thank all those who have supported the Bill and those who put it through its paces to ensure it will deliver on its vision of proportionate and safe regulation of precision-breeding technologies. The specialist expertise that the noble Lords, Lord Krebs, Lord Trees, Lord Winston and Lord Cameron of Dillington, have brought to the debates has been invaluable. As we are all aware, this is a scientific policy area with which some of us do not always feel at ease. It was a truly extraordinary experience to hear the level of understanding and knowledge in some of the exchanges. I really thank many noble Lords for their wisdom and for ensuring the appropriate direction of debates.

I also thank noble Lords on the Front Benches for their invaluable contributions. The noble Baroness, Lady Hayman of Ullock, has led well-considered scrutiny, and I thank her for her debate on this legislation. The noble Baroness, Lady Bakewell of Hardington Mandeville, has provided extensive input to these debates, for which I am grateful. I thank other noble Lords from all sides of the House for their interest and engagement, which has undoubtedly improved the Bill. I know that we had some arguments and that not everyone will have been happy with precisely where we ended up, but it was an enormously beneficial experience to have the debates that we did.

Finally, I want to thank the Bill team, who were led by Fiona White, Emily Bowen, Elizabeth Bates and Elena Kimber, and the Bill policy team, parliamentary counsel and the Food Standards Agency, which worked so hard on the Bill. I thank noble Lords for their support and input into these important debates. I beg to move.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, I realise that the Chamber is filling up and getting ready for the next debate, which is very important, but I would like to thank the noble Lord, Lord Benyon, for his good humour, patience and flexibility during the passage of the Bill. I also thank the Bill team for their help in answering our queries, along with the noble Baronesses, Lady Hayman of Ullock and Lady Jones of Whitchurch, and all those on the Labour Benches, including the noble Lord, Lord Winston, who made a very valuable contribution to the Bill.

As the Minister has said, the expertise of the noble Lords, Lord Krebs, Lord Trees and Lord Cameron of Dillington, was absolutely invaluable. I really enjoyed the exchanges across the Chamber on this very technical Bill. I cannot sit down without mentioning the noble Baroness, Lady Bennett of Manor Castle, who also brought a great deal of expertise to it. My noble friend Lady Parminter supported me brilliantly; we could not have got where we are without her, so I thank her for that.

There were excellent cross-party debates and we reached a reasonable conclusion. We did not get everything that we wanted but we got a satisfactory result and I thank the Minister for that.

[Lord Benyon (Con)]

In adding to the noble Baroness’s thanks to noble Lords, I forgot to mention my noble friend Lord Harlech, without whom chaos would have ensued.