Household Waste Recycling

Baroness Bakewell of Hardington Mandeville Excerpts

Thursday 7th July 2022 Lords Chamber

[Lord Benyon (Con)]

The noble Baroness is right that rates dropped by about 1.5% over the pandemic, as I think I said. I am not sure whether there are any incinerators planned at the moment but I will take her point away because I agree with it.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, the Government want to standardise household waste collection services throughout England, as the Minister said. Having moved from an area that collected—separated—nearly everything recyclable to one whose recyclable collection is pretty poor, I am frustrated to be told that I may have to wait two years for the collection to improve. Listening to the Government, however, I may have to wait 10 years for it to improve. Why are the Government dragging their feet?

[Lord Benyon (Con)]

As I said, we passed provisions in the Environment Act that give us new powers to improve consistency and introduce both a deposit return scheme and an extended producer responsibility for packaging. All these measures require working with industry; we are consulting, and have consulted, on them and will bring them forward. The producer packaging measures will be brought forward in 2024.

Sewage Disposal in Rivers and Coastal Waters

Baroness Bakewell of Hardington Mandeville Excerpts

Thursday 7th July 2022 Lords Chamber

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, I congratulate my noble friend Lord Oates on securing this debate and on his excellent and informative introduction. I share his tribute to the work of our late noble friend Lord Chidgey.

The problems of wastewater and sewage are well known, as are a number of the remedies available, all of which cost money and are likely to cause inconvenience. My noble friend Lord Oates gave us some frightening statistics. Last week, we debated the inadequacies of the government paper on the five environmental principles. All these principles in some way or another can be applied to the problem of sewage discharge into our waterways and coastal areas.

Local authorities and water companies have a part to play, along with developers, farmers, householders and the Environment Agency. Environment Agency data indicates that the water industry is responsible for 24% of rivers not achieving good ecological status. Some 4% can be attributed to sewage spills from storm overflows. Agriculture is responsible for 36% of failures. Urban development and transport are responsible for 11%, and other sectors are culpable for the remaining 29%; this includes local and national government, and mining and quarrying.

When developers put in their planning applications for housing it should be an integral part of the application that SUDS—sustainable drainage systems—are implemented and form part of the planning application requirements. The Environment Agency must contribute but it often remains silent.

Since the 1960s, modern sewer installations have required two pipes to keep sewage and rainwater collected from homes and businesses in built-up areas separate. However, as most sewer systems are combined, this has meant that the separated rainwater pipe is still connected to the combined sewage system. There are around 100,000 kilometres of combined sewers in England. My noble friend Lady Ludford is correct that it is illegal to discharge raw sewage into waterways, but it still happens.

The automatic right for housing developers to connect surface water to the public sewer should be removed immediately. This is archaic, and surface water should never, in this day and age, be connected to foul sewers.

Every year, 11 billion wet wipes are wrongly flushed into sewers, where they congeal into fatbergs, reducing sewer capacity and increasing the likelihood of sewage discharges from storm overflows. The public have a part to play, along with the manufacturers of plastic unflushable products. Plastic in wet wipes should be banned and the labelling on these products should indicate in very large letters that they contain plastic and cannot be flushed. Currently, the labelling on flushability is very small and often consists of a tiny representation of a toilet with a line through it. One has to look very hard to find this symbol.

Water companies spend £100 million every year on finding, removing and cleaning up pollution caused by unflushables. An ambitious package of measures to reduce plastic pollution caused by unflushables is needed quickly. The noble Baronesses, Lady Altmann and Lady McIntosh, referred to this.

There is, of course, the issue of farming effluent being discharged into waterways. The well-publicised case of poultry manure being discharged into the River Wye is well known and remains totally unacceptable. There will be other, less well-publicised cases of slurry entering smaller local watercourses, causing unpleasant spells and unwanted pollution, often resulting in the death of fish and other wildlife. The farming community has its part to play in ensuring that our watercourses are clean, healthy and free from pollutants.

In many cases, the presence of nitrates and phosphates in the water has caused the Government to issue an edict that no new homes may be built until the issue of nutrients has been effectively dealt with. This is a particular concern in Somerset, where the land on the Levels is blighted by this issue. At a time when the Government are seeking to build desperately needed new homes, putting a blanket ban on housebuilding is particularly onerous for the local authorities affected, which are unable to build the homes their communities need. They lose income through the loss of the new homes bonus, at a time when budgets are stretched to their limits.

The Environment Agency grants overflow discharge permits to water companies, which should be monitored and managed. The EA can issue enforcement orders if conditions are breached. There is also the threat of Ofwat imposing financial penalties up to 10% of the turnover in a relevant year for the culprit authority. Southern Water had a hefty fine to pay as a result of its illegal discharges; the noble Lord, Lord Campbell-Savours, referred to this. Both Ofwat and the Environment Agency are clearly not using their enforcement powers to the full. The right reverend Prelate the Bishop of St Albans referred to this.

The 25-year environment plan introduced in 2018 clearly set out five environmental principles, with the goal of achieving clean and plentiful water within a generation. Four years have passed since 2018. Significant steps therefore need to be taken to achieve that goal.

The Government have stipulated that water companies will invest £7.1 billion in environmental improvements between 2020 and 2025, including £3.1 billion on storm overflow improvements. This is a significant sum of money, and we are already two years into this five-year timeframe. Can the Minister say how much progress has been made and how much of the money has so far been spent on improvements?

The Storm Overflows Taskforce has been set up, as the noble Earl, Lord Caithness, said. It produced a report in November 2021 calling for the complete separation of wastewater and stormwater systems nationally. This would allegedly cost between £350 billion and £600 billion, and would be highly disruptive and complex. Some of these costs could be met by reducing bonuses for water company CEOs and shareholders.

Separation of wastewater and surface water was proposed in the 1960s, and here we are today, with huge sums of money attached to something that should have been completed years ago. Of course, it will be highly disruptive, but so is flooding of surface water, bringing with it raw sewage into the homes of those affected. It will cost money, but that must be found.

During the passage of the Environment Bill, the noble Duke, the Duke of Wellington, worked tirelessly to ensure that it had sufficient measures to tackle discharges from storm overflows. Significant clauses and assurances were removed in the other place, and a new clause introducing a duty for companies to secure a progressive reduction in harms caused by discharges and giving the Secretary of State and Ofwat enforcement powers was substituted. Can the Minister say whether Ofwat has so far used any of its enforcement powers since the Environment Act passed into law?

The water industry has done much to improve chemical levels, such as cutting phosphorus from sewage treatment works by 66% between 1995 and 2020. By 2027 it will have cut that by nearly 90%. This investment cost the water companies £1 billion—that is a drop in the ocean.

Water UK, which represents all water and sewage companies in England, Wales, Scotland and Northern Ireland, is calling for a new rivers Act. I support it. Such an Act would increase the rollout of nature-based solutions, end the automatic right to connect, and enable consumer behaviour on unflushables to change. I would also add a limit to water company CEOs’ bonuses.

The new Act would introduce a move towards a more outcomes-based approach to environmental regulation, as outlined in the White Paper Water 2050, enabling the adoption of a much longer-term approach. The Water Industry National Environment Programme is one of the sources of private sector finance in environmental improvement, totalling £5.2 billion between 2020 and 2025. This must be reformed to move away from concrete, end-of-pipe solutions targeting traces of specific chemicals, which may not be causing real problems in rivers. We instead need to see fuller assessments of river catchments which include carbon and biodiversity.

Every river should have a single investment plan backed by government and regulators, local authorities, farmers, water companies and local communities, as my noble friend Lord Stoneham said. Only then by working together will the problem be tackled. All partners need to be brought together, with funding, to work towards the same goals.

As I mentioned, the planning system has a part to play, by removing the automatic right for housing developers to connect surface water to the public sewer in lieu of more sustainable drainage systems. This should be a mandatory requirement, not something that can be ignored. No further connections of surface water to sewers should take place. Powers should be given to water and sewerage companies to remove misconnected surface water drains from the foul sewer. Only if these measures are implemented will we see an improvement in the quality of the water in our rivers, streams and coastal areas. As can be seen from comments made today, everybody is extremely worried about this issue. The law is there but it is not being implemented. It is time that this was taken seriously and that all involved played their part. This includes the vastly overpaid CEOs of water companies, who should be held to account, not for the level of their profits but for the harm that they have caused.

Environmental Principles Policy Statement

Baroness Bakewell of Hardington Mandeville Excerpts

Thursday 30th June 2022 Grand Committee

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, it is a great pleasure to follow the noble Lord, Lord Hodgson of Astley Abbotts, and I agree with the vast majority of what he said.

Since the publication of the Government’s 25-year environment plan, we have become familiar with the five environmental principles. They, and the effect they would have, were debated at length during the passage of the Environment Bill. Politicians of all political persuasions and none, along with the public, set great store by these principles in the hope that they would save, if not the planet, our small but significant corner of it. I looked forward with anticipation to the policy statement that would set out the stall for the five principles.

Sadly, I was disappointed, as were many others. My noble friend Lady Parminter set out clearly, as always, her disappointment and that of the Environment and Climate Change Committee with the lack of enforceable commitments in the policy statement. On behalf of the Secondary Legislation Scrutiny Committee, of which I am a member, the noble Lord, Lord Hodgson of Astley Abbotts, set out its concerns.

The environmental principles will be the first piece of legislation in the form of a policy statement to come before the House and, as such, are something of a trailblazer. It is therefore vital that sufficient weight and debate are attached to how they are dealt with; a precedent is being created. This is the first such draft policy statement and of enormous significance.

The purpose of the principles is to change the way in which the whole of our legislative process is to operate and make our country into a world leader in its environmental credentials. The Government’s desire is to leave the environment in a better state than they found it. The public have emotionally signed up to trying to save the planet, thanks to the tremendous work of David Attenborough. Thousands of residents now know what happens to the creatures in our oceans and that it is our fault that they are suffering from huge microplastic pollution. Thanks to the noble Duke, the Duke of Wellington, nearly every village in the land is now aware of sewage discharges, both deliberate and accidental. There are many other incidents where information has been circulated and the voting public are now saying, “This is not right. This should not be happening. We need to clean up our act.”

The Environment Act was a landmark piece of legislation, underpinned by the five environmental principles. I will not repeat these, as they have already been laid out by my noble friend and others will obviously refer to them, but they cannot be changed without primary legislation. They should have the necessary teeth to make changes to our biodiversity, climate and carbon outputs. The draft EPP statement says the five principles should be considered when Ministers make policy and where relevant. Who will decide when a policy is relevant? The document also says:

“However, the principles are not rules and they cannot dictate policy decisions by ministers.”


Just what is the point of the principles and the hours and hours of debate we had during the passage of the Environment Act? Sometimes I despair.

Under “Proportionality” is the following paragraph, which my noble friend Lady Parminter referred to:

“Policymakers are not expected to carry out a ‘deep-dive’ assessment into all environmental effects, as these may not be known.”


This is undoubtedly true, but skating over the surface is not likely to flag up some extremely damaging impact that may lurk under the surface. The document goes on:

“Nor are policymakers required to replicate the environmental impact assessment process.”


Since the word used is “replicate”, it is fair to assume that someone somewhere is carrying out this environmental impact assessment. Can the Minister say who will have responsibility for doing this?

Under the section relating to the “polluter pays” principle and deciding just what or who is the polluter, there are many words that indicate that basic economics may decide whether the polluter pays. There is a definite watering down of this principle and an attempt to spread the cost to those affected, rather than those causing the environmental pollution and possible health implications. For a cynic like me, the whole of this section can be summed up as arguing over how many gnats can dance on the head of a pin. It is a charter for “get out of jail free”. I hope the Minister can reassure me that this is not the case.

I could go on, but others wish to speak after me and I am keen to hear what they have to say. Monitoring and tracing are vital if the environmental principles are to have any effect. Audit has to be everything. I reiterate that I remain deeply disappointed by this document. In its current form it is unlikely to deliver what the Government have claimed to be its aim: to make the UK a world leader on environmental matters.

Agricultural Fertiliser and Feed: Rising Costs

Baroness Bakewell of Hardington Mandeville Excerpts

Wednesday 29th June 2022 Lords Chamber

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, I congratulate my noble friend Lord Redesdale on securing this important debate and on his excellent introduction. The cost of agricultural fertiliser and feed has rocketed in the last three months, and it is not difficult to see why this has happened.

First, wholesale gas prices have risen by 284% in 12 months—a phenomenal increase. The use of gas is a critical component of fertiliser production, contributing 90% of the cost. Currently, the UK produces only 40% of its fertiliser requirements. There were two fertiliser plants, one of which has now closed. The second is owned by the same company, CF Fertiliser. There is, therefore, no competition in the UK market in terms of our own fertiliser production. This is a critically important industry for the agriculture sector. What are the Government doing to ensure that the remaining plant remains open and operational? The noble Earl, Lord Devon, and the noble Lord, Lord Northbrook, have referred to this.

Secondly, the war in Ukraine is having a dramatic effect on the UK. Ukraine was a crucial supplier of sunflower oil and wheat, the supply and price of which have been affected. The shortage of sunflower oil does not adversely affect the British housewife, but it is a vital ingredient in sunflower meal for animal feed. In 2019, Russia was the world’s biggest exporter of wheat and Ukraine the fourth biggest. The conflict is hitting hard and is not likely to be resolved quickly. AHDB figures show that UK pelleted wheat feed prices rose by 60% in the 12 months to May this year. Our farmers accommodating or budgeting for this into the future is unsustainable.

The other side of this equation is the effect on countries in north Africa and the Middle East which rely heavily on grain from Ukraine. We are aware of severe food shortages in Eritrea, Kenya, Somalia and Sudan—countries which may face starvation as a direct result of the Russian invasion. It is therefore imperative that the Government do not allow our own production of climate-friendly food to drop, but put in place measures to ensure that neither escalating energy prices nor fertiliser shortages affects crop yields where this can be avoided.

There is another method of producing fertiliser, in the form of green ammonia using CO₂ from renewable resources. This has a minimal impact on the environment and is produced with little waste. In the normal course of events this method of production would be ruled out due to the cost, but with the exponential rise in cost of traditional fertilisers, this could come into its own. We do not have a plant in the UK that is currently capable of producing green ammonia, but there is one in Germany. Green ammonia production makes use of renewable energy sources such as hydro-electricity, solar power or wind turbines, through the Haber-Bosch process. Are the Government having discussions with those producing green ammonia and seriously considering this more environmentally friendly method of producing fertiliser to help our farmers?

The Minister could commit to establishing a gas fertiliser price index to increase transparency in the market, as the NFU has requested. Are the Government considering this? Despite the difficulties being well-trailed, Defra has yet to announce whether it is likely to respond to rising animal feed prices. On 26 May, responding to a Written Question from Daniel Zeichner MP on action to tackle animal feed inflation, Minister Prentis said that she had

“already set out measures to support farmers and growers in England ahead of the coming growing season”

and that the UK was

“largely self-sufficient in cereal production, growing 88% of all the cereals that we need”.

The debate this evening demonstrates that this statement is not correct. Not only are we not able to grow sufficient cereals for our needs, but the cost of producing them far outweighs the price paid for the end product. What are the Government now going to do to make a positive contribution to tackling the current crisis?

Pig Farming

Baroness Bakewell of Hardington Mandeville Excerpts

Thursday 16th June 2022 Lords Chamber

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, I congratulate my noble friend Lady Harris of Richmond on securing this very important debate and on her excellent and detailed speech. I also thank the National Pig Association and the House of Lords Library for their very helpful briefings.

Farming is not a profession or way of life for the faint-hearted, or those looking for an easy life. It is gruelling, has unsocial hours and is conducted mainly outside in all weathers. The beef and milk farmer knows when calves are to be born and that this will be an annual event. Similarly, the shepherd knows that in the spring, during the lambing season, there will be little sleep. Not so the pig farmer, who has no specific season, with sows producing more than one litter of pigs a year. The supply of pigs for slaughter is pretty constant throughout the year, so when there are severe shortages of staff at abattoirs it is not possible to “turn the tap off”.

Many years ago, when my children were small, we lived in a village and had an allotment on a pig farm, which was kindly provided by a friend. We grew amazing vegetables there and were able to see at first hand just what is involved in being a pig farmer. My goodness me, it was hard. The margins were small and often piglets were taken by foxes. At that time, the market was overrun with imports of Danish pork and bacon. The outbreak of foot and mouth in 2000 and 2001 added further stress. The countryside surrounding outbreaks was shut down, with minimal movement of animals. The banks were unrelenting in their approach to debts which farmers had incurred in efforts to keep their businesses going. We should not forget that farming is a business. Along with animal husbandry skills, it requires capital investment and a significant, secure cash flow. This was the last straw for our friend; he and many other pig farmers gave up under the sheer weight of the impossibility of making a living. I believe many were earning so little from their farms that they would have qualified for social security benefits had they chosen to claim.

Here we are again, some 20 years later, in a similar situation, with the pig production industry once again on its knees through no fault of the farmer. The reasons for how this has occurred are different this time. The unwarranted attack by Russia on Ukraine and the ensuing devastating war has led to a doubling in the cost of energy, fuel and feed prices—the noble Lord, Lord Trees, raised important issues about heat-treated swill feed—and there have been unprecedented labour shortages for over 18 months. Covid disruption in processing plants has led to backlogs of 100,000 pigs on farms, leading to tens of thousands of healthy pigs being culled and therefore unable to enter the food chain. Those pigs that were kept on the farm are now over their contract weight and size, meaning that the supermarkets and abattoirs are refusing to take them.

The NPA has requested supermarkets to pay a fair price for pork; most have offered support, but not enough. Waitrose and the Co-op have increased their payments to £16 million and £19 million respectively. However, Tesco—the largest supermarket chain in the country—has offered only an additional £6.6 million by August 2022.

My noble friend Lady Harris and the noble Lord, Lord Trees, have given detailed figures on the value of the pig industry both here and abroad, so I will not repeat them. Our sows are not confined in farrowing pens, and our animal welfare is second to none, making our pork sought after across the world. The average cost of pig production reached 240p per kilo in May, which was up 10p per kilo from April. The Agriculture and Horticulture Development Board estimates the cost of feed, energy and fuel prices in April to be 107p per kilogram, with prices increasing significantly since then. There is a widening gap between the cost of getting a pig to the contract size and weight for the market and what is being paid for the carcass. As we have heard, there is currently a £58 loss on each pig for the farmer.

There are half a million vacancies across the sector, and labour shortages are not being addressed. Other noble Lords have referred to this. There is a lack of skilled butchers in pork processing plants, with an average vacancy rate of 10% to 15%. During the protracted period of preparing for Brexit, opposition Members of this House expressed concern at the loss of skilled butchers and vets from EU countries. The uncertainty in employment prospects resulted in many returning home, leaving a significant gap in the workforce; the right reverend Prelate the Bishop of St Albans has referred to the Polish workforce. British vets are trained to preserve animal life and are reluctant to oversee the humane killing of healthy animals to enter the food chain. Vets from EU countries are needed in order to carry out this work.

The noble Baroness, Lady McIntosh of Pickering, referred to the damning report on labour shortages in the food and farming sector. The Environment, Food and Rural Affairs Committee has noted that, while the whole industry has suffered, the impact on the pig sector has been “particularly severe”, with 35,000 pigs being culled due to a lack of butchers to process them. However, the report stresses that a reliance on overseas labour must be reduced in preference for a long-term labour strategy that grows and develops homegrown talent, combining attractive education and vocational training packages with the deployment of new technology. We would agree with this long-term strategy, but urgent action is needed now. Can the Minister now press the Secretary of State and the Home Secretary to add these vital roles to the list of those protected professions which can gain visas in order to work in the UK? Without them, the pig industry will be further disadvantaged. The level of fluency in the English language needed has also been a barrier. Surely abattoir workers do not need to have the same level of fluency as a GP or nurse might need.

The same committee in the other place estimated in January this year that 27,500 sows have gone out of production, which is around 7% of the UK female breeding herd. This is extremely worrying. At the same time, we are seeing illegal imports of pigmeat from countries where African swine fever is prevalent and spreading at an alarming rate through the wild boar population, as referred to by the noble Lord, Lord Trees. Can the Minister say what the Government are doing about border checks to prevent this happening?

What is needed without delay are a whole range of measures to support the pig industry. The Minister will be aware of these if he has had consultations with the NPA. The Food Resilience Industry Forum should meet at least monthly throughout 2022 and 2023, with a senior Home Office official in attendance. Powers under the Agriculture Act 2020 should be implemented to provide support for pig farmers rather than pork processors, as referred to by the noble Lord, Lord Carrington. Without a supply of pigs, there will be no pork processing industry. The Government’s review of fairness in the pig supply chain should be dealt with immediately, with the final report published before the end of July this year.

As referred to above, the level of English language fluency requirement should be lowered immediately to a basic user level for those skilled worker visa roles in the food and farming sector. The Government must urgently consult with the sector to establish what additional costs businesses face when applying for visas for vital overseas labour and develop an action plan to minimise bureaucratic barriers and process costs. The Government should immediately add the food and farming roles contained in the MAC’s September 2020 recommendations to the shortage occupation list.

Finally, the Government must produce a long-term strategy setting out how technology and labour will together meet the evolving needs. The noble Baroness, Lady McIntosh of Pickering, referred to the short-term measures which the Government have already introduced. What about the long-term picture? Will these measures be renewed?

The pig industry is a vital part of our rural and agricultural community. It is highly valued by consumers in this and other countries. This is the second time the industry has been on the verge of annihilation. Surely now is the time for the Government to take positive, urgent steps to support the industry through the current crisis. I look forward to the Minister’s—hopefully—positive response.

Food Security

Baroness Bakewell of Hardington Mandeville Excerpts

Monday 13th June 2022 Lords Chamber

[Lord Benyon (Con)]

Yes, I agree with the right reverend Prelate that the wrong kind of trees planted in the wrong place under the wrong management style will be a loss for both the environment and the social element we want in our countryside. That is why there are very clear rules under the woodland carbon code which corporates would have to abide by, and why the Forestry Commission, if applying through grant aid schemes, will require standards to be maintained. For example, planting will not be permitted on deep peat; it will be concentrated on poor land.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, it is a nonsense to allow private companies to acquire vast hectares of arable land, often removing generations of farming families, in order to offset their carbon emissions and carry on with business as usual. British farmers are essential to the country’s ability to produce food. Does the Minister agree that importing food which is not produced to the same high animal welfare standards as we enjoy in the UK, to replace that which we might have grown ourselves, is a backwards step?

[Lord Benyon (Con)]

I suggest that we look at this as the glass half full: there are plenty of examples where private sector finance can be a massive boost towards the environment by working with farmers and seeing tree planting on poor-quality land, for example. Some 57% of agricultural produce is produced on 33% of agricultural land. This shows that, if we favour the productive land to produce food—every single farm has corners of it that can be planted with trees or for other ecological benefits—this will benefit the farmer and is in accordance with the food production targets and ambitions of this Government. It can work; we want to root out the bad behaviour which the noble Baroness rightly points out.

Farmers

Baroness Bakewell of Hardington Mandeville Excerpts

Wednesday 8th June 2022 Lords Chamber

[Lord Benyon (Con)]

My Lords, I have already outlined one area in which we are helping. I am glad to say that the fertiliser production plants in this country that were either mothballed or operating at half-rate are producing again. We want to make sure that we are doing all we can to reflect the global issues here. The truth is that we are almost self-sufficient in wheat; we get very little from Ukraine and Russia. What is happening is a human tragedy in those countries, but it is also a tragedy in countries that depend on them for wheat. The perverse result is a very high spot price for wheat of £318.75 in November, which will be of huge benefit to farmers as they plan for future years. But we have to understand that the Ukraine crisis is causing global uncertainty, and Britain has to be a part of resolving that.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, the removal of the CAP should be liberating, but only when farmers are sure that the replacement will not lead to drastically falling incomes, making food production uneconomic. The rush for carbon offsetting is leading to the sell-off of farms for tree plantations so that air travel can continue unhindered. Does the Minister agree that, if farmers feel it is more economic to sell off their land rather than continue to use it for agriculture, surely there is something wrong with how the Government are implementing the changeover?

[Lord Benyon (Con)]

The Government want more trees planted, but we want the right trees planted in the right way. Many of these plantings are under the headline of environmental social governance. To me and the Government, the “S” matters as well as the “E”. If an airline—the noble Baroness used this as an example—is buying land and kicking off the farmers, that may be quite “E” in terms of what they are planting, but it is not very “S”. That is why we are taking action to make sure that private sector investment in our natural environment is done properly, with the proper social underpinning.

Zoonoses Research Centre

Baroness Bakewell of Hardington Mandeville Excerpts

Tuesday 24th May 2022 Lords Chamber

[Lord Benyon (Con)]

There is a very large number of pets in Ukraine; it has one of the highest pets to human population percentages anywhere in the world. Rabies is an endemic disease there, but the good news is that over 95% of the many pets that have been brought with migrant families showed immunity to rabies when we applied the ELISA test, which indicates that they have been inoculated. We are trying to fast-track a means of quarantining them which is kind to the migrant but also protects our rabies-free status.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, the GB Wildlife Disease Surveillance Partnership focuses on detecting known and emerging diseases in wild animals, such as rabies-like viruses in bats and bovine tuberculosis in badgers. When cases are confirmed, controlled methods can be implemented. There is a need to broaden this surveillance to pathogens found in wild and domestic species. There is currently no funding for non-notifiable pathogens in UK wildlife. Is it not time that the Government took a more holistic view to prevent future outbreaks and provided such funding?

[Lord Benyon (Con)]

We are providing funding for diseases that can come from wildlife. One of the worst ones to hit us in recent months and over the last two years has been avian influenza, which is brought by migrating birds. We are putting a huge amount of effort into learning the lessons from both last year’s and this year’s outbreaks to make sure that we are supporting the industry with as much biosecurity as possible to prevent future outbreaks.

Food Security: Climate Change and Biodiversity Loss

Baroness Bakewell of Hardington Mandeville Excerpts

Tuesday 17th May 2022 Lords Chamber

[Lord Benyon (Con)]

It is precisely those people who will be the greatest victims of climate change. In the short term we are working with the World Bank to lever the largest ever financial commitment, $170 billion, to support countries faced with economic hardship, both in the short term as a result of insecurity and the war in Ukraine and in the long term, working with international bodies to address these very problems for the most vulnerable people in our society.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, we are a trading nation and always have been. It is essential to ensure that harmful practices are not offshored, as environmentally degrading practices are making the biodiversity crisis we face worse. In turn, this makes growing crops on much of the planet harder. Can the Minister assure the House that the new trade Bill will not allow the import of goods produced to lower standards than ours? In the long run it would be utterly pointless and self-defeating for us and our allies to do so.

[Lord Benyon (Con)]

The noble Baroness is absolutely right. We have to make sure that we are not, through our environmental policies, just pushing carbon emissions and biodiversity practices that we do not allow here to other countries. We are part of a global community. Our food supply chains are very complex and we want to manage them with our international relations and make sure that we are protecting our environment at home, continuing to produce good food and playing our part abroad as well.

Agriculture and Horticulture Development Board (Amendment) Order 2022

Baroness Bakewell of Hardington Mandeville Excerpts

Tuesday 17th May 2022 Grand Committee

[The Parliamentary Under-Secretary 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.

This instrument delivers changes for a reformed and more accountable Agriculture and Horticulture Development Board that will play an important role in supporting farmers through a time of significant transition. While it marks an end to the AHDB’s levy work in horticulture and potatoes, it also marks an important new beginning for how the AHDB engages with and delivers for other sectors, including cereals, oilseeds, beef, sheep, pork and dairy. It respects the outcome of the ballots in the horticulture and potato sectors to end the AHDB statutory levy in their sectors; it is clear from the ballots and industry feedback that the statutory levy mechanism does not meet the very diverse needs of horticulture and potato businesses and that a different approach is needed going forward.

However, we must recognise that, while the overall result of the horticulture ballot supports an end to the statutory levy—with 61% voting against it continuing—there are a diverse range of views, with some subsectors such as soft fruit, tree fruit and mushrooms voting to keep a levy. I recognise the concerns of those subsectors at losing levy investment in important research and crop protection activities that the AHDB has traditionally funded and delivered. Therefore, while this instrument respects the ballot by repealing the statutory levy provisions, it also ensures that the horticulture and potato sectors can remain in scope of the AHDB order. This means that any parts of the industry that want to continue to work with the AHDB can do so on a voluntary levy or commercial basis in future. This will also enable the AHDB to continue to deliver legacy research and plant protection services to these sectors during a transition period.

I can also assure noble Lords that the Government continue to engage proactively with the horticulture industry to develop alternative industry-led funding models, such as syndicate funding for specific crop research and voluntary levies, that will better suit the diverse needs of the sector going forward.

I also highlight that this instrument marks the beginning of a new direction for the AHDB—an AHDB that is more accountable to levy payers in other sectors, including beef, sheep, pork, dairy, cereals and oilseeds. It delivers a new duty on the AHDB giving levy payers a regular vote on sector priorities. This will ensure that levy payers have more influence over the AHDB’s sector programmes, how much levy will be raised and what it is spent on in future.

The AHDB has been working hard to deliver this already through its “Shape the Future” campaign, where levy payers have recently voted on the priorities they want to see the AHDB deliver over the coming months and years. This could be such things as the work the AHDB does to open new export markets, its consumer marketing campaigns to promote UK produce and defend the industry’s reputation, or the market intelligence it delivers to inform farmers’ decisions. This is a momentous step forward for the organisation and marks a turning point in putting levy payers right at the heart of everything it does.

I also draw your Lordships’ attention to a technical drafting point. As a consequence of removing the horticulture levy provisions, this instrument will broaden the definition of the horticulture industry in the AHDB order. The definition will now include the growing of a wider range of horticulture products by way of business. This will deliver more flexibility in future, as it will enable more businesses in the horticulture sector to work with the AHDB on a voluntary levy or commercial basis if they wish to.

To support this flexibility, this instrument also includes provisions to clarify that the AHDB can charge to cover the costs of any services it may deliver in future to any agriculture or horticulture business in scope of the AHDB order. It also ensures that, where a sector is paying a levy, any additional charges can only be made for the cost of services not already covered by the levy.

In conclusion, these legislative changes sit alongside significant governance and cultural changes which the AHDB has already put in place to deliver a more inclusive, democratic organisation that is in a stronger position to meet the needs of farmers. I hope I have assured noble Lords on the need for this instrument, which establishes a reformed AHDB that will help farmers improve their productivity, reduce carbon emissions, engage in environmental land management and access new markets at home and internationally. I beg to move.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, I thank the Minister for his introduction and for his time—and that of his officials—in providing a briefing for this afternoon’s statutory instruments. It is important that those engaged in both the horticulture and potato industries know when the levy that they pay is to be removed, in order that they can plan. I assume that the consultation carried out has provided some indication of timetables.

The levy was first implemented in 2008 under powers in the NERC Act. In January and February, the potato growers triggered a call for a ballot. Only 5% of the membership is required to call a ballot, which seems a very low threshold. In the horticultural sector, there was a 69% turnout and, as the Minister has said, of those who voted, 61% voted to abandon the levy. In the potato sector, there was a 64% turnout, with 66% voting no to continuing with the levy—overwhelming figures. As a result, the Government have abandoned the levy for future years.

However, there is still the issue of how the money accumulated in the past and in future will be spent. A five-yearly vote on how the money is spent seems a long gap between decisions on spending priorities. Are the results of the vote on spending plans monitored against sector planned priorities? Paragraph 7.6 of the Explanatory Memorandum indicates that levy payers have a say in how the levy is spent. Can the Minister say whether this happens in practice?

With the abolition of the levy, there is a fear that the research and development work of the AHDB will be restricted. However, as the Minister has said, there is an opportunity for the AHDB to charge for services provided. I could not find any reference in the EM or in the statutory instrument itself to the scale of the charges. Paragraph 12.2 of the Explanatory Memorandum states:

“The impact on the public sector is the loss of levy funding for AHDB horticulture and potato services.”


Does this mean that the AHDB will be financially unviable for these sectors, or will the charges they can impose cover the loss of the levy?

There are 10 other sectors covered by this SI within the overarching definition of the horticulture industry—from protected vegetables grown in glasshouses and indoors to trees and saplings in tree and forest nurseries. It is important that research and development continue to provide protection for all categories, especially as many diseases are airborne and difficult to control.

The current levy produces an income of £5.6 million from the potato industry and £5.7 million from horticulture. This is a large sum to be replaced by charges, which appear to be ad hoc but I hope have some rational basis. All other sectors, including pork, beef, dairy and sheep, produce an income of £70 million. At this time of uncertainty in both the EU and other trading markets, it is vital that R&D capacity is not weakened across any sector. There is ongoing consultation with sheep producers on the levy. I look forward to the results of this consultation.

I am encouraged that the Government are listening to industry growers in abolishing the levy for potatoes and horticulture, but I am concerned about the effect on R&D. I look forward to the Minister’s reassurance but generally welcome this SI as a step forward.

[Baroness Jones of Whitchurch (Lab)]

I thank the Minister for his introduction and for the helpful briefing beforehand. I should declare an interest through my involvement at the Rothamsted agricultural institute. The Minister will be pleased to hear that we will not oppose this SI. The issue seems to be straightforward, particularly given the democratic ballots that have taken place in the horticulture and potato sectors. However, the fact that these changes have been felt to be necessary raises some wider questions, which I hope the Minister will feel able to address.

First, can the Minister explain when Defra and the AHDB became aware that there was such disillusionment among those sectors under the previous levy regime, and why was no action taken to change the levy system at that time? It seems rather extreme, if I may say so, that the two sectors had to organise themselves to demand a ballot when, had there been ongoing consultations, there might have been a bit more sensitivity to their disillusionment. I would be grateful if the Minister could say a little more about what happened in the run-up to the two groups organising a ballot.

Can the Minister also say something more about the underlying concerns that the sectors had about the levy? Was it just about the cost, or did they feel that they were not getting value for money in a broader sense from the payments that were being made? For example, was there a problem with the quality of the research and advice that they were getting for their money? If so, are we confident that that is now being addressed? And, if that is the case, why were those concerns not addressed at the time that we first became aware of them?

Secondly, as the Minister has explained, arrangements are now being made for the other sectors covered by the levy to have regular ballots, which is to be welcomed. Is he confident that those new consultations will prevent the other sectors from triggering unilateral ballots, now that they have seen the success of the potato and horticultural action? Is he confident that those arrangements are now settled and that people are now happy with the new proposals?

In addition, the Explanatory Memorandum makes it clear that the devolved nations also considered a

“proposal to extend the scope of the Order to other agricultural industries on a UK-wide basis”.

Can the Minister explain what is happening with the devolved nations? Are they all doing the same thing at the same time now—in other words, will the AHDB equivalents in the devolved nations all have these regular ballots? Is that what the proposal is? And how does that fit with the proposals before us today?

Thirdly, and most importantly—this echoes the point made by the noble Baroness, Lady Bakewell—what will be the impact of the loss of the levy on the work of the AHDB? Is there a danger that vital research capacity will be lost, which might have a wider impact on future disease control and climate mitigation techniques, for example, as well as investment in better techniques for cultivation in the future? Are there wider implications that the Government should have a concern about rather than just greater productivity? Are we sure that that ongoing research will still be addressed when the levy is no longer here?

Paragraph 7.2 of the Explanatory Memorandum also makes mention of delivering

“legacy research and plant protection services”

on a transitional basis. That is great, but what will happen when that research comes to an end? Presumably, it was felt to be necessary in the past, so what will be the future of that research and plant protection services? Are we confident that it will still be covered? Otherwise, given the UK’s ambitions for the agriculture sector, we might find that we are losing out if we do not have the research base in the future.

Fourthly and lastly, the EM makes it clear that, as the Minister said, sectors can continue to work with the AHDB on a voluntary or a commercial basis if they wish to. Can the Minister say something more about how that cost basis will be different to the old levy structure? Is there a danger that only the larger producers will pay the levy in the future? In other words, are we in danger of having a two-tier system where the big producers have the money to invest with the AHDB but the smaller producers do not and therefore fall further behind, when we would want to make sure that smaller producers have the research capacity as well? I am just a bit worried about how that cost basis will work.