Baroness Bloomfield of Hinton Waldrist (Con)

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That was not the Bell—it was the noble Lord’s phone.

Baroness Bloomfield of Hinton Waldrist (Con)

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Please could the noble Lord draw his comments to a close, as there is a Division in the House?

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, noble Lords will be aware that we have worked closely with the devolved Administrations in the development of the Bill. This has led to various requests from them for additions to the Bill, many of which could otherwise have been made under their own legislation. The department’s preference is to be collaborative and constructive when working with the devolved Administrations. Given the pressure that parliamentary timetables are facing it was felt that, in this spirit of co-operation, the Government should make these changes for them. These amendments support a collaborative approach to fisheries management across the UK.

We have waited until now to make these changes as we wanted to ensure that the devolved Administrations’ legislative consent processes had been successfully completed before tabling some of these amendments. It was not until Report in the other House that all three DAs consented to the Bill, allowing for the other place to agree a package of amendments relating to the DAs. The amendments relating to the devolved Administrations’ functions can be divided into seven themes, and I shall explain what each theme does.

At the request of all three Administrations, Amendment 10 and consequential Amendments 23 and 40 will enable a sea fish licensing authority to exercise fisheries and related product movement functions on behalf of another such authority. This would facilitate arrangements for one Administration to become a single point of contact for the fishing industry, or to deliver a speedy process on behalf of the other Administrations. This could be used, for example, in relation to verifying catch certificates. Consequential Amendments 6, 15 and 16, 18 to 20, 41, 69, 71 and 75 move definitions so that they apply across the whole Bill.

Turning to technical SI extensions to foreign boats, the Scottish Government and the Department of Agriculture, Environment and Rural Affairs, or DAERA, requested that we extend technical fisheries management measures in some of their secondary legislation to foreign boats, as provided for in Amendment 39. Amendments 29 to 38 make consequential changes to Schedule 4 as a result of Amendment 39. These regulations help protect vulnerable stocks, for example by prohibiting the catching of undersized fish. This is in line with our policy of ensuring that any foreign boats given access to UK waters comply with restrictions that apply to UK boats. Similar provisions have been made in Schedule 2 for England and Wales statutory instruments. Noble Lords will understand the pressures of getting the statute book updated in readiness for the end of the transition period. It would have been very challenging for the Scottish Government and Northern Ireland Executive to have delivered these changes to secondary legislation themselves.

As for procedural changes, at the request of the Scottish Government, Amendment 43 and consequential Amendment 25 confirm that orders made under Section 22A of the Sea Fish (Conservation) Act 1967 can be made under the negative procedure, which is not clear under the current drafting. At the request of Scottish Government lawyers, and following advice from UK Government lawyers, these changes are applied retrospectively to remove any uncertainty about the effect of existing Scottish statutory instruments.

Turning to Wales, the definition change and Senedd competence, Amendments 12 and 24 reflect a change requested by the Welsh Government to the definition of “Wales” in primary legislation, consequential on the extension of Welsh competence provided by the Bill in relation to the offshore zone. Additionally, Amendments 7 and 73 clarify that where the Senedd has legislative competence, subject to the consent of a Minister of the Crown, Welsh Ministers will also have equivalent executive competence, subject to the consent of the Secretary of State. Amendment 72 clarifies that the scope of the Welsh Ministers’ powers to make regulations under Clauses 36 and 38 is specific to sea fishing.

Regarding DAERA marine powers and other technical changes to Schedule 10, Amendment 85 and consequential Amendments 86 to 88, 90, 91 and 93 to 96 provide DAERA with the power to manage fishing activity in the Northern Ireland offshore region for the purpose of conserving the marine environment. Similar provision for England and the other devolved Administrations is in Schedule 10. At their request, we are also making minor changes to the powers of the Scottish and Welsh Ministers in Schedule 10 in government Amendments 80 to 84, 89 and 92. These include changes to the parliamentary procedure for some orders and adding time limits to emergency orders made by Scottish Ministers.

In conclusion, I am pleased that the devolved Administrations have now consented to the Bill, which is an excellent example of collaborative working. I hope noble Lords will appreciate the need for this package of amendments agreed to in the other place, which supports the alignment of fisheries management across the UK. I beg to move.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, there has been much debate on the challenges posed by devolution in previous stages of the Bill, and the amendments made for the devolved Administrations in the other place demonstrate opportunities that will be open to us in the future to work positively across the four nations of the UK. I acknowledge the concerns of the noble Baroness, Lady Jones of Whitchurch, but genuinely feel that this was a timing issue. As the Fisheries Bill was introduced in this House, it gave us more time to introduce them at this stage, when it came back to us, once conversations had concluded and after it became clear that there would be no time for the devolved Administrations to pass their own legislation, and we would therefore be in a position to do so on their behalf.

I am grateful for the comments from the noble Baroness, Lady Bakewell of Hardington Mandeville, and for her support. I am particularly grateful for her comments on Amendment 39. The whole intention of extending this list is for us to preserve stocks from an extensive list of species. I am glad that, through constructive and collaborative working with the devolved Administrations, we have been able to deliver a Bill that is truly for the whole UK. I beg to move.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, on behalf of my noble friend Lord Goldsmith of Richmond Park, and with the leave of the House, I beg to move the three Motions standing in his name on the Order Paper en bloc.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, the House will now adjourn until 7.30 pm when we will return to hear my noble friend Lord Bethell answer questions on the Covid-19 update.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, we can be rightly proud that the UK already has world-class animal welfare standards, but this Government are committed to strengthening these further.

We have introduced a ban on the commercial third-party sale of puppies and kittens, known as Lucy’s Law, to clamp down on puppy farming. Through the Wild Animals in Circuses Act 2019, we have legislated to ensure that wild animals can no longer perform in travelling circuses. We supported the Animal Welfare (Service Animals) Act 2019, commonly known as Finn’s Law, to increase protections for police animals, and CCTV is now mandatory in all slaughterhouses in England; this will help maintain and improve welfare standards. We are committed to banning the keeping of primates as pets. We published a call for evidence in October 2019 that ended in January this year. This exercise has informed proposals on which we will shortly be consulting. On Thursday, we reiterated our manifesto commitment to end excessively long journeys for slaughter and fattening.

I agree with the noble Lord, Lord Inglewood, that legal obligations towards animals should be enforced. That is why the Government are also supporting the Animal Welfare (Sentencing) Bill, which will increase the maximum custodial penalty for animal cruelty offences from six months’ imprisonment to five years. The new maximum sentence will send a clear signal to any potential offenders that animal cruelty will not be tolerated in this country and provide one of the toughest sanctions in Europe.

I place it on record that it has never been in dispute that animals are sentient beings, capable of experiencing pain or suffering, and this fact is central to our commitment to strengthening animal welfare standards. As the noble Baroness, Lady Parminter, should know, this Government have a manifesto commitment to introduce new laws on animal sentience, which we will do as soon as parliamentary time allows. However, this Bill is not the appropriate vehicle to legislate for animal sentience. As the noble Baroness recognises, the Agriculture Bill limits the scope of this amendment to agricultural, horticultural and forestry policy.

The noble Baroness’s amendment also extends the definition of “animal” to include decapod crustaceans and cephalopod molluscs, alongside non-human vertebrates. This is an important step that we should not take lightly. The current science is clear that vertebrate animals can experience pain and suffering. It is on that basis that the definition of “animal” in the Animal Welfare Act 2006 is limited only to vertebrate animals. However, this Act also contains an important power to extend the definition to cover invertebrates where we are satisfied on the basis of scientific evidence that these too are capable of experiencing pain or suffering. Defra recently commissioned an independent external review of the available scientific evidence on sentience in decapods and cephalopods. The outcome of this review will be vital in determining whether our new sentience provisions and other laws should be extended to decapods and cephalopods. This review is expected to report early next year.

In line with our manifesto commitment, this Government will introduce effective, credible and proportionate proposals in due course. I recognise the strength of feeling across the House on this issue, and say to my noble friends Lady Fookes and Lady Hodgson, and to the noble Lord, Lord Judd, that it is imperative that we allow appropriate time for debate to ensure that we get these important measures right. That is why I cannot accept this amendment as an interim solution, as was suggested in last Thursday’s debate.

As noble Lords will all be aware, parliamentary time has been at a premium in recent sessions, and I am afraid that, with other pressures, it has not yet been possible to find appropriate time to introduce these measures. However, I reassure your Lordships that this issue is a priority for this Government, and I hope that that gives the noble Baroness, Lady Wilcox, some comfort. When our measures are introduced, I very much look forward to discussing these issues in detail again.

I hope that I have given enough reassurance and that my noble friend will feel able to withdraw her amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I detect a greater degree of consensus on this amendment than on some others we will debate this afternoon. I am grateful to my noble friend the Earl of Dundee for the amendment. For many years, local authorities and other smallholding estates have provided valuable opportunities for new entrant farmers, enhancing the rural economy and bringing new energy and skills into the sector.

Smallholdings, as we have heard, provide excellent opportunities for sustainably produced, locally sourced food, helping to deliver our environmental objectives and increasing food security, which a number of speakers have described as a priority. That is why this Government are committed to supporting local authorities to facilitate the development of smallholding estates. I assure my noble friend that the Government intend to use the financial assistance powers already provided under Clause 1(2) to deliver the kinds of outcomes he is seeking.

The Government’s future farming policy update, published in February, committed to offering financial assistance to local authorities, landowners and other organisations to invest in the development of small- holdings in order to create more opportunities for new entrant farmers in future. We believe this will provide greater incentives for local authorities and other landowners to invest in the development of more smallholdings than would providing planning guidance. We want to encourage investment that will not only create more smallholding opportunities but provide guidance and mentoring to new farmers in order to develop sustainable and profitable farming businesses.

In addition, local authorities can take advantage of rural exception sites to help the delivery of affordable housing, and the revised national planning policy framework includes new policies to support the building of homes in isolated locations where this supports farm businesses with succession. I say to my noble friend and to the noble Lord, Lord Rooker, who I recognise has a very relevant background in both Defra and housing, that in July 2018 the Government launched the revised national planning policy framework, which offers new support to rural areas. The rural housing chapter gives strong support for rural exception sites and the NPPF has new policies to support the building of homes in isolated locations where this supports farm succession. Indeed, the Government have increased permitted development rights for redundant farm buildings from three to five dwellings.

In April 2018, the Government amended the national permitted development right supporting rural housing and agricultural productivity. The Government recognise that work and home smallholdings are also provided by other organisations and that these require council planning approval. Guidance to councils on planning matters is led by the Ministry of Housing, Communities and Local Government, with which my department works closely and will continue to engage with on these matters. My noble friend Lady McIntosh raised this issue, which we are well aware of, particularly since my noble friend the Minister has national parks within his portfolio. We recognise the importance of balancing the protection of areas of outstanding natural beauty with enabling the businesses and communities within them to flourish. I hope I have provided all noble Lords, particularly my noble friend, with enough reassurance and I ask him to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I will start with Amendment 89A. Marketing standards establish detailed rules on the quality of agricultural products and the provision of product information to consumers. They are intended to make sure that products offered to consumers are accurately and consistently labelled and of acceptable quality, and that unsatisfactory products are kept off the market. They are overall in the interests of producers, traders and consumers. They encourage high-quality production, improve profitability and transparency and protect consumer interests. At present, certain agricultural products marketed in the EU must conform to marketing standards and associated labelling requirements set out in EU law. The marketing standards apply at all marketing stages, including import and export.

The noble Lord, Lord Holmes, asked why we could not do nothing. We all despise unnecessary bureaucracy, but VI-1 forms are needed until the end of the transition period under the terms of the withdrawal agreement. We will be looking at these rules again at the end of the transition period. I reassure him on digitalisation: the administration of maintaining marketing standards of imported wine products, including the digitalisation of VI-1 forms, is included in the current scope of Clause 35(1). These provisions do not therefore need to be explicitly added into the clause. The scope to replace VI-1 forms with an electronic document is also covered under retained EU law, specifically Article 27 of retained EU delegated regulation 2018/273. Therefore, the purpose of this amendment is already covered. The Government cannot digitalise unilaterally, but it is already an option under retained EU law, and we are looking at introducing it. It is likely that South Africa will be the first partner we seek to do this with at the end of the transition period.

I turn to Amendment 91. Clause 35 will give the Secretary of State the power to make regulations and amend existing EU and domestic legislation concerning marketing standards to ensure that they are tailored to meet the needs of domestic farmers, retailers and consumers. A full review of the marketing standards is going to be undertaken. As part of this, detailed policy thinking, stakeholder engagement and consultations will need to take place. Any changes would be made with the purpose of tailoring the marketing standards to fit the needs of the domestic farming sector.

I can confirm unequivocally that any use of the powers in Clause 35 would be covered by an existing duty to consult. As for the question about the bias towards consultation, I say that the Government’s preference is to consult the public on these matters. We would never rely solely on the views of representative bodies, and we will not bias our consultations towards one group.

Marketing standards are covered by food law, and a duty to consult is contained in Article 9 of regulation 178/2002. This regulation states that

“There shall be open and transparent public consultation, directly or through representative bodies, during the preparation, evaluation and revision of food law, except where the urgency of the matter does not allow it.”

This regulation will become retained EU law via the European Union (Withdrawal) Act 2018.

One of the principles of good law making is not to repeat law which already exists, in order to protect the coherence of the statute book. We are aware that there is an exemption for urgent situations in Article 9 of Regulation 178/2002 and I place on record that there are no plans to make any urgent amendments using the Clause 35 power. Urgent changes would usually be made under food law instead. There are specific regulations which cover food information and safety and there is no future intention to broaden the powers in Clause 35 to cover any such areas.

It is standard procedure that a summary of the responses to a consultation be published on GOV.UK within 12 weeks of it closing. Further to this, any statutory instruments made using the power will also be accompanied by an Explanatory Memorandum and a proportionate analysis or full regulatory impact assessment where the net direct cost to business is above £5 million. The Explanatory Memorandum will include details on the outcome of any consultations which have taken place. A more detailed analysis of the consultation outcome will also be published on the departmental website at the time the statutory instrument is laid before Parliament. The impact assessment will provide the rationale for government intervention, details of all the options considered and the expected cost and benefits, particularly for businesses. Clause 35 is subject to the affirmative procedure. Any statutory instruments which are introduced must be actively approved by both Houses of Parliament. This procedure ensures that Parliament can properly scrutinise the statutory instrument before it comes into force.

Turning to Amendment 92A, I assure the noble and learned Lord, Lord Wallace of Tankerness, that we fully expect all 88 geographical indications from the UK to remain protected in the EU after 31 December this year. I understand the point made by the noble and learned Lord, and the noble Lord, Lord Foulkes, about the relevance of these to the Scottish economy, particularly whisky and smoked salmon. I am not sure I got the reference to potatoes. Geographical indications do not have to originate from EU member states to be protected under the EU’s geographical indications scheme. The EU currently protects products from many non-EU countries such as Japan and China.

If the EU wanted to remove UK geographical indications from its register, it would have to go through the burdensome process of changing its rules. Of course, the Government cannot guarantee what the EU will do, but it has given no indication whatever that it is considering such changes. It would be, in the words of the noble and learned Lord, “capricious” of the EU to try to do so.

If the UK does not secure a new trade agreement with the EU, we will, under the withdrawal agreement, continue to protect EU GIs in the UK. There would therefore be no incentive for the EU not to reciprocate. The noble and learned Lord, Lord Wallace, and the noble Lord, Lord Foulkes, asked me to be more specific on that point. I cannot, because we are in the process of negotiating these issues. The UK is definitely not seeking to loosen its GI rules. GIs are very important to the UK and the Government will establish robust GI schemes at the end of the transition period. All UK GIs will continue to be protected in the UK from 1 January 2021. The Government’s objective in trade negotiations with the EU will be to secure the best outcome for UK GIs and, obviously, the UK economy as a whole.

I hope that I have given enough reassurance, and that the noble Lord, Lord Holmes of Richmond, will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, as we said in Committee:

“Part 6 of the Bill allows regulations to be made to ensure compliance with the United Kingdom’s obligations under the WTO Agreement on Agriculture”,—[Official Report, 28/7/20; col. 130.]

particularly those related to domestic support. The regulations will set out procedures and arrangements to ensure that the whole of the UK continues to comply with existing obligations under this international treaty.

Amendment 92B seeks to impose a duty on the Secretary of State to consult relevant stakeholders when making regulations under Clause 40. Relevant stakeholders in this instance are the devolved Administrations, since it is they who will be required to abide by spending limits and work together with the UK Government to classify and notify domestic support at the WTO.

We do not anticipate any direct impact on farmers because the devolved Administrations will retain the freedom to design and implement their own domestic support policies within the overall spending limits. As I outlined in Committee, consultation is already well advanced. In answer to the question from the noble Lord, Lord Foulkes, Defra Ministries work very closely with their DA counterparts through a regular interim ministerial group on agriculture, which I believe is the same body that he referred to earlier. Government officials work closely with all their counterparts from all Administrations to draft the regulations under these powers. I can again report that good progress has been made and that the views of officials from the devolved Administrations have been taken into consideration throughout the whole of the drafting process. In terms of Scottish consent, we have received confirmation that the Scottish Parliament has recommended consent for provisions in the scope of the LCM procedure.

The Government fully recognise the devolved status of agriculture. Indeed, Clause 40(1) is drafted in such a way as to specify that regulations can be made only for the purpose of ensuring compliance with the WTO Agreement on Agriculture. It is this narrow function of ensuring overall UK compliance with an international treaty that remains reserved for the UK Government and that Part 6 addresses. The UK Government consult the devolved Administrations and all relevant stakeholders appropriately, but it is not efficient or constitutionally proper for the UK Government to be bound to consult on all matters that are reserved.

The noble Baroness, Lady Wilcox, asked what functions are envisaged under these powers. In order to ensure that the UK remains in compliance with obligations under the WTO Agreement on Agriculture, it will be necessary to collect data on agricultural support schemes from the four nations of the UK in order to classify and report this information at the WTO. Additionally, spending limits will be placed on each country of the UK to ensure that the UK as a whole honours a commitment to limit spending on certain types of trade-distorting support.

Where reserved matters overlap or intercept with devolved areas of competence, the UK Government of course recognise that the devolved Administrations will have an interest. The Government therefore work with those Administrations, as we are currently doing, to accommodate their comments and concerns when we can, to the satisfaction of all those involved. I am pleased that Defra officials have particularly good relations with their counterparts in the devolved Administrations.

We already have a bilateral agreement in place with the Welsh Government on the making and operation of regulations under Part 6, and we have offered to extend this agreement to the Scottish Government and DAERA ministers in Northern Ireland. Additionally, my honourable friend the farming Minister, Victoria Prentis, placed on record in the other place a commitment to consult with the devolved Administrations on the making of regulations under these powers.

Lastly, I understood that the noble Baroness, Lady Scott, was concerned about how these regulations impacted directly on farmers. These powers allow for a framework of regulations to be made for ensuring UK-wide compliance with existing international obligations. Within this framework and within the boundaries of existing WTO agreements that seek to limit the use of trade-distorting financial support to agriculture, each Administration will still be able to design their own schemes to deliver their policies on supporting farmers and managing the farmed environment.

I hope that I have given sufficient reassurance and that the noble Lord, Lord Foulkes, will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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I thank the noble Lord, Lord Holmes, for tabling this amendment which seeks to use the Agriculture Bill to provide for new socioeconomic support programmes to help fund improved broadband connectivity and digital skills in rural areas beyond the end of the current rural development programme. He is indeed a champion of addressing the very real digital divide.

I reassure this House that we recognise the importance of the issue that this amendment raises. This Government are determined to connect every home and business to the fastest broadband speeds available. As the noble Baroness, Lady Jones, has just said, access to digital is key to helping all rural communities build resilient modern businesses, as well as supporting them in their daily lives. Indeed, the Covid-19 pandemic has shown the integral role that digital connectivity plays in our daily lives, economically, socially and in continuing to deliver essential public services. The Government are investing record amounts to level up digital infrastructure across the UK. We are already connecting some of the hardest-to-reach places in the country, including through the superfast broadband programme and the £200 million rural gigabit connectivity programme. The Government want nationwide coverage of gigabit-capable broadband as soon as possible.

We have also announced £5 billion of public funding—not just in principle; it has been announced—to close the digital divide and ensure that rural areas are not left behind. Only last week, we announced that more than £22 million of additional funding is being invested in the UK Government’s broadband voucher scheme, which subsidises the cost of building gigabit-capable broadband networks to hard-to-reach areas. The Government are working with mobile network operators to deliver mobile connectivity improvements through a shared rural network. Much is therefore already in place to improve connectivity in rural areas, and we have already started the 5G rollout.

We also recognise the importance of improving digital skills in rural areas. There is a wide number of initiatives to support this, including the digital skills partnership launched by the Department for Digital, Culture, Media and Sport in 2017, to bring together organisations from across the public, private and charity sectors to work together to close the digital skills gap at a local level. Although the current rural development programme allows for support for broadband and digital skills, these wider government initiatives are the key funding mechanisms for broadband connectivity and digital skills. However, we are also committed to supporting rural communities through post-EU exit funding and the UK shared prosperity fund, which will play a vital role in supporting rural and coastal communities in recovery and renewal from Covid-19.

As set out in the manifesto, the Government intend to introduce the UK shared prosperity fund to replace EU structural funds. Defra officials are working closely with the Ministry of Housing, Communities and Local Government, which leads on its development, to ensure that its design takes account of the dynamics of rural economies and the challenges faced by rural communities. The final decisions about the quantum and design of future socioeconomic funding will take place after the upcoming cross-government spending review.

With these assurances, I hope that the noble Lord, Lord Holmes, will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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I thank noble Lords for their contributions to this short debate.

I recognise the concern to ensure that farmers in England and Wales are protected against acute and chronic disturbances, including those caused by natural phenomena. The exceptional market conditions powers could be used to address acute and severe market disturbances caused by natural phenomena, such as extreme weather, so long as there is an adverse effect on the price achievable for one or more agricultural products. I hope that that reassures my noble friend Lord Northbrook.

The UK Government and Welsh Ministers are confident that the existing powers are sufficiently broad to ensure that agricultural producers will be covered should they need financial assistance due to exceptional market conditions caused by economic, environmental or other factors. The current Covid-19 pandemic is a disturbance caused by environmental factors and is exactly the type of exceptional circumstance that these new powers are intended to address. We could not have foreseen that this pandemic would be as wide-ranging or prolonged as it has been, and farmers could not have been expected to prepare for the disturbances in daily life that it has caused. I feel confident in saying that if these exceptional market conditions powers were at our disposal now, the Government could have used them to support farmers during these difficult times.

The particular powers in respect to England, in Clauses 18 and 19, and in respect to Wales, in paragraphs 6 and 7 of Schedule 5, are framed to deal with unforeseen short-term shocks to agricultural markets rather than chronic conditions. These powers allow Ministers to act swiftly to deal with a crisis situation. These amendments would lower that bar and risk creating open-ended powers that allow the Secretary of State to make payments to farmers in much wider and undefined circumstances.

In most cases, farmers already manage the effects of fluctuating weather conditions. There are also powers in existing legislation that allow the Government to act in exceptional circumstances to support farmers in the event of extreme weather conditions. For example, the Natural Environment and Rural Communities Act 2006 could be used to make one-off payments to farmers affected by extreme weather. In response to recent flooding, as my noble friend Lady McIntosh acknowledged, the UK Government launched a new farming recovery fund for England, using powers under the NERC Act.

I have some details about the fund because I was interested to find out why some claims were not being met. I am afraid that I do not have the numbers here for my noble friend but I commit to writing to her with the details of the scheme, which are quite complex, and to furnish the numbers on how many grants have been made available. When I write, I will of course let noble Lords have a copy.

The Government want to encourage farmers to manage their own risk and become more resilient to foreseeable and longer-term disturbances. Elsewhere in the Bill, there are provisions to support farmers to improve their productivity, as well as to provide financial assistance for the delivery of public goods. For example, the Government will help farmers to invest in equipment, technology and infrastructure, and will support high-quality research to promote innovation and productivity in agriculture, horticulture and forestry. Part 3 also sets out powers to strengthen fairness and transparency in the supply chain. This will enable food producers to respond more effectively to market signals, strengthen their negotiating position at the farm gate and seek a fairer return.

I hope that I have given sufficient reassurance and that the noble Lord will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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I assure the noble Lord that this Bill will cover those situations.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I am grateful to my noble friend Lady McIntosh for introducing this amendment on behalf of the noble Lord, Lord Empey. I confirm that my noble friend Lord Gardiner has agreed to meet the noble Lord, Lord Empey, at the earliest opportunity.

There is no doubt that the Government will use these powers. The introduction of fair dealing obligations is vital in the creation of a more equitable supply chain. This is a point on which there is wide agreement. However, the Government believe it is equally important that these obligations are appropriate and proportionate and produce the right outcomes.

To ensure this, the Government intend to consult industry before regulations are made, to ensure that they are properly tailored for the issues at hand. In this regard, a UK-wide consultation exploring contractual issues in the dairy sector has recently been concluded. The consultation invited a broad range of views about future regulations, asking specific questions about various issues. Some of these issues, such as contractual exclusivity, are almost unique to the dairy sector. The Government intend to repeat this approach for any future exercise of the powers in Clause 27, allowing the views from industry and other stakeholders, often about very detailed sector-specific issues, to inform final decisions.

The introduction of blanket obligations across the whole of UK agriculture would hinder the ability to reflect the specific nuances of each sector and potentially fail to address the specific problems experienced by particular types of producer. Also, given that certain agricultural sectors are far better integrated than others, comprehensive obligations could ultimately lead to provisions being introduced into sectors where they are simply not required.

I hope I have given sufficient reassurance and ask my noble friend to withdraw the amendment on behalf of the noble Lord, Lord Empey.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I thank the noble Lord, Lord Wigley, for his amendment, and I am very grateful to him for his advance notice of the points that he made. I will deal with Amendment 68A, in the name of my noble friend the Duke of Montrose, at the same time.

As the noble Lord, Lord Wigley, rightly observed, Clause 32 provides that the Secretary of State may assign functions to a body relating to, first, collecting, managing and making available information regarding the identification, movement and health of animals, and, secondly, the means of identifying animals. These functions are vital for the purposes of disease control, for complete movement traceability of all animals across UK borders and for UK trade negotiations with international partners. The meat and livestock sectors have championed this new service and are strongly supportive of it.

In Committee, we introduced a government amendment providing that the Secretary of State secure approval from the devolved Administrations for orders assigning functions exercisable in relation to Wales, Northern Ireland or Scotland to the AHDB, such as the handling of movement data shared with the AHDB by those Administrations. We have always said that we would engage intensively with the devolved Administrations prior to making any UK-wide orders.

The wording in Section 89A(2) of the Natural Environment and Rural Communities Act 2006, as inserted by Clause 32, requires the Secretary of State to seek approval from the devolved Administrations for making orders assigning functions exercisable in those Administrations. Where any such function is assigned, it will be following full discussion with, and approval from, the devolved Administrations. These discussions will give the opportunity for any further concerns to be raised. Therefore, any appropriate limitations on species covered or geographical extent for any function relating to identification and traceability of livestock will be specified in the order and, I repeat, subject to approval from the devolved Administrations.

Regarding how livestock traceability will work between UK Administrations, each Administration will run its own multi-species traceability service. Currently, there is a GB-wide service for cattle and a service for pigs in England and Wales, but in the future, traceability will be fully distributed. The Agriculture and Horticulture Development Board needs to be able to process movement data on animals that are not in England, or that have crossed borders within the UK, to provide a complete picture of an animal’s lifetime traceability in disease-control situations. This is termed “the UK view”. It will enable livestock identification and movement data collected by each Administration to be seen by others and to be available to veterinary officials in all UK Administrations. I hope that this reassures my noble friend the Duke of Montrose.

I take issue with the assertation by the noble Lord, Lord Rooker, that this Government do not do devolution. As the Lords’ spokesperson for Wales and someone who is proudly Welsh, I assure him, and the noble Baroness, Lady Wilcox, that we pay careful attention to preserving the devolution settlement in all three departments of which I am Whip.

The AHDB will also run the livestock unique identification service on behalf of England and Wales. This controls the issuing of official individual identification numbers to animals. All data will be handled in accordance with data sharing agreements and protocols agreed by all UK Administrations. No Administration will be able to use data outside the terms of that agreement.

My noble friend Lady McIntosh of Pickering asked about the status of the negotiations on the common framework. In the last debate, my noble friend the Minister said that the UK Government have been working closely with the Welsh Government, the Department of Agriculture, Environment and Rural Affairs in Northern Ireland, and the Scottish Government, to develop a UK agriculture support framework. We expect to be able to agree this soon and we will update the House shortly.

I believe that this provides the assurance that the assignment of functions by the Secretary of State under this clause will be fully accountable to the devolved Administrations. With these assurances, and my belief that there is genuinely no clearing up necessary, I ask the noble Lord, Lord Wigley, to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I beg to move that the debate on Amendment 74 be adjourned.

Baroness Bloomfield of Hinton Waldrist (Con)

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The primary effect of this amendment would be to provide a new lever to oblige recipients of financial assistance under Clause 1 to meet cross-compliance requirements. This includes parts of the cross-compliance regime where there is no backing in domestic legislation.

A large proportion of the rules currently contained in the cross-compliance regime are replicated in domestic legislation. Rules such as those in the Wildlife and Countryside Act, the Control of Pesticides Regulations and the Reduction and Prevention of Agricultural Diffuse Pollution (England) Regulations will continue to provide protection for our valuable wildlife, soils and watercourses. It will remain mandatory for individuals to continue to comply with all domestic regulation, irrespective of whether they qualify for financial assistance.

We understand the important role that regulatory standards play in trade, in protecting our environment and in protecting the health and welfare of animals. That is why the Government will take a proactive approach to engaging with industry. Responses to our landmark Health and Harmony consultation, our wide-reaching review led by Dame Glenys Stacey, and our discussion document on the ELM scheme have informed, and will continue to inform, our regulatory framework. This autumn, we intend to launch an engagement package—the intensive consultation to which the noble Baroness referred—which will provide an update on the thinking around the future regulatory system. We want to use this to start a co-design process with industry, opening the conversation with stakeholders on the best approaches to designing a future regulatory system.

The Government are exploring other possible levers that we could use to encourage more effectively industry compliance, which would deliver improved environmental outcomes. The ELM scheme will cover a range of environmental outcomes to ensure that farmers and land managers improve their practices and are rewarded for doing so. We are considering a range of measures to ensure that we deliver these outcomes, including, for example, requiring individuals to meet certain requirements as a condition of entry within the scheme itself.

Finally, I assure noble Lords and emphasise that we should take the time to get this right—and we have the opportunity to do so. Individuals will be expected to continue to comply with all current cross-compliance regulations until we delink payments from the land or direct payments end, and until not before 2022. The noble Baronesses, Lady Jones of Whitchurch and Lady Bakewell, and the noble Earl, Lord Devon, worried about the regulatory gap, but we are striving hard to ensure that this does not occur. Through our engagement process and the development of our ELM policy, we will ensure that our high environmental and animal health and welfare standards continue to remain world-leading.

I hope that I have given sufficient reassurance on this important matter, and that the noble Baroness, Lady Young, will feel able to withdraw her amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I am grateful to noble Lords for their almost universal acknowledgement tonight of the importance of advice in a time of significant change to the industry. The rules of engagement have, indeed, changed fundamentally.

I reiterate the Government’s view that expert advice and guidance is critical to the successful delivery of future schemes. As currently drafted, the Bill already gives the Secretary of State the necessary powers to fund the provision of advice, guidance and other means of support to recipients of financial assistance under Clause 1. The Government certainly intend to use this ability; advice and guidance is one of the priority areas in the 40 live tests and trials that are feeding into this theme.

I will give some examples of how this could be done. For future tree health schemes, we are looking to refresh and improve our offer of plant health advice to ensure that land managers have the information they need to manage and respond to tree health issues. For animal welfare grants, these one-off payments could cover investment in equipment, infrastructure, technology and training. For animal health schemes, we are also looking at ways to increase advice given to farmers, both from vets and other agricultural advisors, to help them improve animal health. We also want to increase peer learning between farmers through, for example, facilitated farmer groups. The Government have also stated their intention to offer advice to those applying for productivity grants to help them decide which investments would achieve the greatest improvements in business performance.

In Committee, reference was made to the ongoing ELM scheme tests and trials. We are using these to identify the most effective means of providing advice and guidance to farmers and land managers, which will enable them to deliver on their funding agreements with confidence. Since then, the number of ELM tests and trials looking at the provision of advice and guidance has increased to 40, demonstrating the Government’s commitment to designing a scheme that works for farmers and land managers. Evidence shows that, for advice to be effective, it must be trusted, consistent, credible and cost effective. The Government are considering how these principles can be embedded into advice for all schemes and working with farmers and other land managers to do so.

The noble Lord, Lord Cameron of Dillington, asked specifically about the availability of training schemes. The ELM trials are exploring ways in which skills and qualifications for environmental land management can be improved.

The noble Lord, Lord Grantchester, also asked how agricultural colleges could be drawn upon to provide advice and dispense information. The Government are supporting the work of the skills leadership group in exploring ways to address the fragmented nature of the existing skills, education and advice landscape. Representatives of the agricultural colleges have been involved in these conversations.

Defra is currently running a £1 million grant funding project to explore how it could provide resilience support to farmers and land managers in England to help them prepare for reductions in direct payments in the transition period. The project, which is targeting some 1,700 farmers and land managers, aims to identify how, where and when they may need to adapt their business models and resilience as a result. Evidence coming from this project will help inform the design of a national scheme, which is currently in development for launch in early 2022.

I was asked about the availability of broadband in some areas. We are connecting some of the hardest-to reach places in the country, including through the SFB programme and the £200 million rural gigabit connectivity programme. We have also announced £5 billion of funding to close the digital divide.

I hope that I have managed to give some reassurance that advice and guidance are already considered in the scheme design, that the Government are committed to their provision and that we have the powers we need to deliver in this area. I hope the noble Lord, Lord Grantchester, will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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On Amendment 31, I reassure the noble Baroness that the Government will fully take into account the proposed steps and goals of environmental improvement plans, including the 25-year environment plan, when they determine the strategic priorities that will sit within the multiannual financial assistance plans, so the amendment is simply not necessary.

The Government are absolutely committed to achieving their aim of leaving the environment in a better state than when they found it. That is why they are seeking to legislate for environmental improvement plans in the Environment Bill that is currently in the other place in order to drive forward long-term improvements to our natural environment. The 25-year environment plan will be adopted as the first statutory environmental improvement plan and the Government expect it to set the benchmark for future EIPs.

The noble Lord, Lord Krebs, asked a characteristically cogent question about the lack of a proper system of measurement, as identified by the Natural Capital Committee. We are engaging with stakeholders, scientists, economists and environmentalists, including the Natural Capital Committee, to develop comprehensive indicators to measure progress towards the goals set out in the 25-year environment plan.

The planned introduction of the ELM scheme under Clause 1 of the Bill clearly demonstrates the Government’s commitment to look at wider environmental objectives when setting their strategic priorities for funding under their multiannual financial assistance plans. Indeed, the ELM scheme will be a key mechanism for delivering the environmental goal set out in the 25-year environment plan by providing farmers and other land managers with public money for the delivery of multiple public goods.

There are six key public goods that the ELM will help to deliver that correspond directly with goals set out in the 25-year environment plan: namely, clean air, clean and plentiful water, thriving plants and wildlife, a reduction in and protection from environmental hazards, mitigation of and adaptation to climate change, beauty, heritage and engagement with the environment. Defra’s ELM team is currently working on understanding the full range of actions that the scheme could pay for in order to deliver across all the goals in the 25-year environment plan.

Should there be any changes to the plan or a future environmental improvement plan, the Government will review the ELM scheme to ensure that the public goods that it is funding remain in line with delivering the priority goals and commitments that the Government have set out in the plan. The Government will be publicly accountable for the delivery of the strategic priorities in both its multiannual financial assistance plan and the environmental improvement plans. This House will of course have the opportunity to scrutinise the drafting of provisions for the environmental improvement plans when the Environment Bill reaches this House.

I had hoped that with this reassurance I would be able to persuade the noble Baroness, Lady Jones of Whitchurch, to withdraw her amendment. However, I cannot make the commitment that she seeks to table a government amendment at Third Reading.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I beg to move that we adjourn the debate on Amendment 43.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I thank the noble Baroness, Lady Jones of Moulsecoomb, for Amendments 211, 213, 214 and 216. Perhaps I could tell her at the outset that we have the red meat levy; it was established in 1967 under the Agriculture Act.

The term “red meat”, or “cig coch”, is written into Welsh legislation to describe the cattle, sheep and pig industries and has been used regarding the levy for those sectors for many years. Changing the name of the red meat levy in the Bill would necessitate amendments to related legislation across the UK and risk confusion and complications with the existing provisions. A further levy extending to all meats and carcasses of animals slaughtered in the UK would probably require a new levy body to be established, or the scope of the existing levy bodies to be broadened, to cover the additional species, such as goats and deer, that do not fall within the remit of the existing levy bodies. Consultation to determine the need for, and the benefit of, such a levy would also be required. This is set out in the Natural Environment and Rural Communities Act 2006. More importantly, agriculture is a devolved matter, as are these industry levies. It would therefore be for the devolved Administrations to choose to take forward their own regulations in this area, should they wish to do so.

Turning to Amendment 215, plant-based food production already benefits significantly from the UK levy system. The Agriculture and Horticulture Development Board collects levies that are used to fund activities in this area, valued at approximately £27 million. Legislation providing for our levy bodies clearly sets out the collection of these levies and that they are to be spent to benefit the industry from which they are collected.

My noble friend Lady McIntosh of Pickering also asked some questions about how they are collected, and I should say that the red meat levy collected in one country can be spent only to benefit the contributing industry in that country. For example, any pig levy that is collected in England must be spent to the benefit of the pigmeat industry in England. Currently, levy cannot be spent for the sole benefit of producers in another jurisdiction.

Clause 33 addresses an acknowledged unfairness in the GB red-meat levy system that has existed for a number of years. It is not intended to change the way these levies are collected or spent. The Government wish simply to right the wrong that has been identified in the red-meat levy system. My noble friend Lady McIntosh of Pickering also asked when we would have the government response to the AHDB consultation. The government response to the request for views on this was published in April 2020.

Turning to Amendment 212, tabled by the noble Lord, Lord Hain, Clause 33 was introduced to provide for a scheme that allows for the redistribution of red-meat levy between the levy bodies of Great Britain. It will provide a fair approach to resolving an inequity that has been acknowledged by the Governments of these Administrations for several years. The provision in this amendment is based purely on the origin of the animal, rather than where it has gained economic value. It will allow for the repatriation of levy to the devolved Administrations themselves, whereas the scheme established using the provisions in Clause 33 would allow for the redistribution of levy between levy bodies in the three Administrations. By widening the provision of the scheme from that of Great Britain to that of the United Kingdom, the amendment extends the repatriation of red-meat levy to Northern Ireland. However, the scheme is to be made jointly by Ministers of England, Scotland and Wales, and is not needed by Northern Ireland.

In addition, the repatriation of levy is restricted by this amendment to the devolved Administrations. This could create a disparity between the devolved Administrations and England, as the devolved Administrations will be allowed to repatriate levy dependent upon origin, but England will not.

The noble Lords, Lord Blunkett and Lord Wigley, also brought up the question of small abattoirs, and the noble Lord, Lord Wigley, made the point that slaughtering animals close to the point of production is an important consideration in animal welfare. I am delighted to say, since they may not have heard my earlier response to this issue, that they are included in Clause 1(5) of the Bill, which provides for small abattoirs, under “preparing” and “processing”.

With this reassurance, I ask that the noble Baroness, Lady Jones of Moulsecoomb, withdraw her amendment.

Baroness Bloomfield of Hinton Waldrist

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I thank the noble Lord, Lord Whitty, for Amendment 221, which I will take together with Amendment 226 in the name of the noble Baroness, Lady Jones. The Committee has heard a number of heartfelt speeches, most notably from the noble Lord, Lord Whitty, when he moved his amendment. A number of noble Lords also mentioned the thoughtful and considered contribution of the noble Baroness, Lady Finlay of Llandaff, on day three of Committee, when soils, pesticides and nature-friendly farming were debated in the first group of amendments. The Government understand these concerns and recognise the importance of ensuring that the use of pesticides is minimised, that alternatives are developed and that there is monitoring of pesticide use and its effects.

The Government agree that pesticides should not be used where they may harm human health. A robust regulatory system is already in place to deliver that objective. Pesticides are authorised only if scientific assessment shows that their use will not harm human health and will not have unacceptable impacts on the environment. The assessment is carried out by experts at the Health and Safety Executive, with independent input from the UK Expert Committee on Pesticides. The assessment of risks is therefore rigorous, and authorisation is frequently refused—but at this stage I take on board the suggestion from the noble Lord, Lord Greaves, about sensible signage.

Monitoring schemes report on the level of usage of each pesticide and on residue levels in food. They also collect and consider reports of possible harm to people or to the environment. These controls ensure that people are properly protected, and they are based on risks. They allow pesticides to be used where this is safe and will help UK farmers to provide high-quality, affordable food.

Baroness Bloomfield of Hinton Waldrist

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I acknowledge the noble Baroness’s comments and know that they come from a deep knowledge and understanding of the issues surrounding this sector. We have our own experts in the HSE who are undertaking ongoing research. I am aware of the settlement in the States relating to the use of glyphosates and its potential connection with non-Hodgkin lymphoma. Her concerns are being addressed in ongoing research programmes within government.

Baroness Bloomfield of Hinton Waldrist

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I remind the noble Lord of the pressure on time. This is the Government Whip speaking.

Baroness Bloomfield of Hinton Waldrist

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My Lords, I beg to move that the debate on this amendment be adjourned.

Baroness Bloomfield of Hinton Waldrist (Con)

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I thank the noble Lord, Lord Greaves, for his Amendment 140. Our new “public money for public goods” policy aims to reward farmers and land managers for goods and services that benefit society but are not currently traded on the market. The financial assistance powers in Clause 1(1) provide the Secretary of State with the power to spend money for furthering certain purposes, which in turn can help to deliver these public goods. The amendment would require the Secretary of State to define the “public funds for public goods” rule. This Bill does not include a definition of “public goods” because it provides powers to the Secretary of State to pay financial assistance for a number of purposes that will enable Defra to introduce its future policies, including productivity grants, as set out in Clause 1(2).

Perhaps I may go further. In terms of this Bill, public goods are goods and services that are valued by society but not provided by the market, including things such as clean water and air, thriving plants and wildlife, a reduction in and protection from environmental hazards, adaptation to and mitigation of climate change, the beauty and heritage of the environment and engagement with it.

The noble Lord asked whether productivity was a public good. The more productive the method of farming, often the more environmentally sound that farming method is. Our priority is a productive farming sector—one that will support farmers to provide more home-grown healthy produce made to high environmental and animal welfare standards. More efficient production has the benefits of lower costs and higher yields and, in many cases, a reduced impact on the environment.

The Government believe that by moving to a new system based on public money for public goods, and by supporting farming through productivity schemes and grants, we will put English farmers in the best position possible to boost sustainable food production. Defining “public good” in the Bill and requiring every pound spent under Clause 1 to meet this rule would unnecessarily restrict the Government’s ability to deliver their goal of a more sustainable, productive sector. Perhaps I may reiterate what Clause 1(4) says:

“In framing any financial assistance scheme, the Secretary of State must have regard to the need to encourage the production of food by producers in England and its production by them in an environmentally sustainable way.”

Amendment 141 seeks to provide powers for the Secretary of State to require landowners or managers to participate in landscape-scale land-use change projects. The Government recognise that the ELM scheme will be most successful if it has very high levels of participation. This could be particularly important when considering locally targeted or landscape-scale projects under tiers 2 and 3 of ELMS, especially where any such projects require collaboration. The Government are therefore working closely with stakeholders, including landowners, to ensure that the scheme is attractive and offers appropriate and sufficient incentives to secure the necessary voluntary participation in projects. Indeed, the noble Baroness, Lady Bakewell of Hardington Mandeville, was correct in saying that the use of coercion in these larger projects is very much against the spirit of the entire Bill.

With that, I ask the noble Lord, Lord Greaves, to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist

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I thank the noble Lord, Lord Greaves for his amendment. He is absolutely right: our commons frequently provide some of the richest opportunities for the provision of environmental public goods and they are an important part of our cultural landscape. The Government are designing future financial assistance schemes to be accessible to as many farmers and land managers as possible. This includes tenant farmers and those who work on common land.

As part of the planned three-year pilot for ELM, the Government will be ensuring that it tests how best to enable commoners to participate and to provide those environmental benefits. To support the development of ELM, we are undertaking a number of tests and trials, working with farmers and land managers to co-design the new schemes. They will help us understand how the scheme could work in a real-life environment. Two of our tests and trials, on Dartmoor and in Cumbria, are looking at issues concerning common land.

The noble Lord, Lord Greaves was correct to identify the particular difficulties that can arise when administering payment schemes on common land. The general powers given by the Bill in Clause 1(1) and (2) will enable us to develop agreement terms which work for common land. I can add a bit more detail. The Federation of Cumbria Commoners, and partners, aims to develop and trial a delivery model for creating common-specific land management plans. These plans will support the pastoral economy and maintain the balance of the delicate ecosystems found on commons. The delivery model will encompass a commons toolkit, including baseline data gathering, producing maps, health checks for agreeing and enabling public good delivery, developing commons management plans and commons-proof recommendations for ELM.

If I can add any more detail to that brief answer, I will write to the noble Lord and put a copy in the Library. With that, I ask him to withdraw the amendment.

Baroness Bloomfield of Hinton Waldrist

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My Lords, I begin with Amendments 174 and 285, in the name of my noble friend Lady McIntosh. I recognise my noble friend’s desire to ensure that farmers are protected against chronic disturbances such as structural market changes and disturbances caused by environmental factors such as severe weather or the Covid-19 pandemic. Indeed, a number of other noble Lords mentioned their concerns. The existing powers are sufficiently broad to ensure that agricultural producers will be covered should they need financial assistance due to exceptional market conditions caused by economic, environmental or other factors. In most cases, farmers already manage the effects of fluctuating weather conditions.

There are also powers in existing legislation that allow the Government to act in exceptional circumstances to support farmers in the event of extreme weather conditions. For example, the National Environment and Rural Communities Act 2006 could be used to make one-off payments to farmers affected by extreme weather conditions. As we saw in response to recent flooding, the Government successfully launched a new farming recovery fund for England using powers under this NERC Act.

The particular powers in Clauses 18 and 19 are framed to deal with unforeseen short-term shocks to agricultural markets rather than chronic conditions. The Covid-19 situation is exactly the type of exceptional circumstance that these new powers are intended to address. Another example would be the dairy crisis in 2015, when the ending of EU dairy production quotas led to increased production, global dairy prices being low and rationed sanctions on imports of dairy products from the EU significantly reducing demand. This caused a sudden and significant drop in the price of dairy products across the EU. This event was unpredictable and caused a severe market disturbance, which had an effect on prices, and future circumstances such as these could be considered exceptional market circumstances.

The noble Lord, Lord Carrington, asked what we could do to support farmers when more long-lasting difficulties appear, including the after-effects of flooding. The Government want to encourage farmers to manage their own risk and become resilient to foreseeable disturbances. The Government will help farmers to invest in equipment, technology and infrastructure, which will support high-quality research to promote innovation and productivity in agriculture, horticulture and forestry to make farms more resilient. The Bill also sets out powers to strengthen fairness and transparency in the supply chain, enabling food producers to respond more effectively to market signals, strengthen their negotiating position at the farm gate and receive a fairer return.

The second aspect of the amendment seeks to ensure that disturbances caused by environmental factors will be covered by this clause. These powers are triggered by the effects of disturbances rather than by what has caused them. The exceptional market conditions powers could be used to address severe market disturbances caused by economic or environmental factors, so long as there is an adverse effect on the price achievable for one or more agricultural products.

The noble Lord, Lord Carrington, asked what is meant by “prices achievable” under Clause 2(b). The price achievable is to be given its ordinary meaning, and includes not having a product available to sell; in that case, the price achievable on the market would obviously be zero. The current Covid-19 pandemic is a disturbance caused by environmental factors and is exactly the type of exceptional circumstance that these new powers are intended to address. We could not have foreseen that this pandemic would be as wide-reaching or prolonged as it has been, and farmers could not have been expected to prepare for the disturbances in daily life it has caused. I understand that Welsh Ministers are content that the existing powers are sufficiently broad to ensure that agriculture producers in Wales will be covered should they need financial assistance due to market conditions.

Baroness Bloomfield of Hinton Waldrist (Con)

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I thank my noble friend Lord Caithness for Amendment 73, with which I will take Amendment 144A from the noble Earl, Lord Devon, Amendment 272 from the noble Baroness, Lady Jones of Whitchurch, and Amendment 274 from the noble Baroness, Lady Jones of Moulsecoomb. I thank all noble Lords who contributed to the debate.

From listening to many of the contributions, one would hardly think that, last June, the UK became the first major economy in the world to set a legally binding target to achieve net-zero greenhouse gas emissions from across the UK economy by 2050. The UK already has a very strong foundation of action and leadership to build from, having cut our emissions by 42% since 1990, while growing the economy by 72%.

Climate change is a global challenge, requiring action across the whole economy. Unlike the noble Baroness, Lady Young of Old Scone, I believe that urgency is felt across government. Defra has worked with the industry to reduce emissions through improved productivity. Since 1990, we are producing a litre of milk with 20% less greenhouse gas emissions, and a kilogram of pork with 37% less. Efficiency gains in dairy farming mean that we now produce 9% more milk than we did in 2000 with 23% fewer cows and 9% less greenhouse gas emissions.

Targets are set under the Climate Change Act, but we do not have sector-specific targets under that Act. Indeed, we are following the whole-economy approach advocated so eloquently by the noble Baroness, Lady Worthington. This is to ensure that we meet our climate change commitments at the lowest possible net cost to UK taxpayers, consumers and businesses, while maximising the social and economic benefits to the UK of the transition. To take up the points made by the noble Baroness, we think that the whole purpose of Clause 1 is clear, as expressed in subsection (4). In framing financial assistance schemes, we will have regard to the need to encourage environmentally sustainable food production, which will align the agriculture and food sectors.

However, I note with interest that the Committee on Climate Change’s Net Zero report from 2019 says:

“It is difficult to reduce agriculture emissions to near-zero given the inherent biological processes and chemical reactions arising from crops, soils and livestock.”

Therefore, I cannot reassure the noble Baroness, Lady Jones of Moulsecoomb, that net zero will be achieved by 2050, but we are doing everything we can to let it happen.

In its June 2020 report to Parliament on reducing emissions, the Committee on Climate Change provided recommendations for government departments, including Defra, on policy priorities to address net-zero climate mitigation and adaptation. We will consider this advice and provide a response before 15 October. I believe that the Bill addresses these targets in a very coherent way.

The Government recognise the contribution to greenhouse gas emissions made by the livestock and dairy sectors, while valuing the importance of our farmers in feeding the nation and managing our rural environment. Agricultural greenhouse gas emissions have reduced by 16% since 1990, as I said, with many farms using more efficient agricultural practices. Land use, land use change and forestry continue to provide benefits in carbon sequestration.

The Government recognise the importance of reducing emissions further in these sectors. The clean growth strategy and the 25-year environment plan should reassure the noble Lord, Lord Foulkes, since they set out a range of specific commitments further to reduce emissions from agriculture, including through environmental land management, by strengthening biosecurity and control of endemic diseases in livestock, and by encouraging the use of low-emission fertilisers. The Government welcome the National Farmers Union’s ambition on this—indeed, its target is to reduce emissions by 2040—and the fact that the industry is taking this strong lead. Climate change represents a significant challenge, but also opportunities. We work closely on this issue with the NFU and other leading stakeholders, including the greenhouse gas action plan partners.

Clause 1(1)(d) enables the Secretary of State to give financial assistance for the purpose of

“managing land, water or livestock in a way that mitigates or adapts to climate change”,

which provides coverage for the reduction and sequestration of carbon emissions. I believe that that statement is very clear. With particular reference to my noble friend Lord Caithness’s Amendment 73, I note that all agricultural or horticultural activities that contribute towards this purpose would already be in scope of funding support under Clause 1(1)(d). For example, financial assistance could be used to incentivise farmers to manage their livestock in a way that reduces their greenhouse gas emissions by adjusting animal feed practices, or to incentivise crop rotation. This provides a foundation for continued improvements, which the Government will drive forward through giving productivity grants alongside introducing the new environmental land management scheme. ELM will ensure that farmers and other land managers are rewarded for delivering environmental outcomes that benefit us all. This new scheme will aim to deliver a range of environmental benefits, including the mitigation of, and adaption to, climate change. Land management activities that could be funded under ELM to reduce greenhouse gas emissions and sequester carbon include tree planting and peatland restoration.

At present, UK forests capture about 4% of our greenhouse gas emissions. We need those trees and forests to grow to capture more carbon. Defra is taking necessary steps to deliver a step change from current planting rates. I hope that reassures the noble Baroness, Lady Jones. Having announced the Nature4Climate fund, the Government are now consulting on a new England tree strategy. We invite input to shape our proposals to plant more trees, protect those we have and support the economy. I will certainly take on board the comments of the noble Lord, Lord Clark of Windermere, which the noble Lord, Lord Foulkes, endorsed, regarding licences for the destruction of trees.

On Amendment 144A from the noble Earl, Lord Devon, the sooner the Government introduce these new schemes, the better for the environment. Reducing direct payments from 2021, as planned, will allow us to do so. Direct payments are untargeted and poor value for money, and deliver little for the environment. All ELMS will come into effect in 2024. Reductions to direct payments will free up money so that the Government can introduce pilots of the ELMS. It can also work to increase the number of farmers who are in new countryside stewardship scheme agreements.

The noble Lords, Lord Foulkes and Lord McConnell, and the noble Baroness, Lady Jones of Whitchurch, also mentioned financial assistance for the devolved authorities. While agriculture is, as they all know, a devolved matter, I would like to reassure them that we are working very closely with officials in all the devolved authorities to establish common frameworks on agriculture. With these explanations, I ask my noble friend Lord Caithness to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist

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I note my noble friend’s comments. I think she probably meant to refer to Amendment 73, which is in this group. I thank her for her comments.

Baroness Bloomfield of Hinton Waldrist

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I acknowledge the support from all sides of the House for all that we can do to encourage climate change mitigation, but I believe that that intention is already fully provided in Bill.

Baroness Bloomfield of Hinton Waldrist

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I agree with everything the noble Baroness has said about healthy land meaning healthy food. The Bill is designed to do all that we can to encourage farmers to produce healthy land. We do not have a sector-specific target for agriculture because the Committee on Climate Change advised that emissions reductions would be needed in all sectors. We know that to achieve net zero more is needed from this sector, and we are looking to reduce agricultural emissions controlled directly within the farm boundary with a broad range of cost-effective measures, primarily through improvements in on-farm efficiency and land use change.

Baroness Bloomfield of Hinton Waldrist

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I can confirm that we are absolutely confident that we are doing everything in legislation and encouragement in order to achieve that end.

Baroness Bloomfield of Hinton Waldrist

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We are not accepting these amendments. I take my noble friend’s point. We should always have absolute zero as our goal because it will enable us to move as far towards that goal as possible.

Baroness Bloomfield of Hinton Waldrist

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As I have said already, from next year we will bring forward grants and new countryside stewardship and productivity schemes that will prevent the backsliding that we all want to prevent.

Baroness Bloomfield of Hinton Waldrist

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I thank the noble Lord, Lord Trees, for his amendment, which highlights the many activities associated with the production of food along the supply chain. In doing so, I acknowledge the fine work of the APPG for Animal Welfare, which he chairs so ably. The Government are committed to addressing the issues raised by its recent report on small abattoirs.

Given his detailed work as chair of that group, I am sure that the noble Lord will agree that the issues faced by small abattoirs are complex and unlikely to be resolved through intervention alone. I know at first hand the advantages of small local abattoirs from the days when I used to deliver my Black Welsh Mountain sheep to the Witney abattoir on the school run—actually, it was on the return from the school run, as I was a little squeamish for the children.

I am delighted to say that we have had it confirmed that the definition of ancillary activities in Clause 1(5) covers slaughtering under either “preparing” or “processing”.

Noble Lords asked a number of questions, which I would like to address. The noble Baroness, Lady Mallalieu, asked why micro-abattoirs are not listed as a public good. They are an important part of the agricultural supply chain, but they operate on a commercial basis and therefore do not directly meet the principles of public good. Public goods that may be derived from small abattoirs, such as improved animal welfare or environmental impact, are obviously already covered by Clause 1.

The noble Baroness, Lady Hodgson of Abinger, ably asked many questions about religious slaughter. The Government encourage the highest standards of animal welfare. Although our policy is to prefer that animals are stunned prior to slaughter, we accept the rights of Jewish and Muslim communities to eat meat killed in accordance with their religious beliefs. No regulations require the labelling of halal or kosher meat, but where any information of this nature is provided voluntarily, it must be accurate and must not be misleading to the consumer. The Government expect the industry, whether food producer or outlet, to provide consumers with all the information they need to make informed choices. The Government have committed to a serious and rapid examination of the role of labelling in promoting high standards and high welfare across the UK market and will consult on this at the end of the transition period. I should also say that farm assurance schemes apply standards of production that include slaughter requirements; for example, Red Tractor and RSPCA-assured schemes require stunned slaughter.

I hope that I have given noble Lords sufficient assurance that this issue has already been dealt with. With that, I ask the noble Lord, Lord Trees, to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist

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I thank the noble Lord, Lord Grantchester, for tabling Amendment 105, with which I will also address Amendments 107 and 104, tabled by the noble Lord, Lord Addington, and Amendment 127, tabled by my noble friend Lady McIntosh. The Government’s 2019 manifesto guarantees the current annual budget in every year of the new Parliament, which gives significant certainty on funding for the coming years. We demonstrated our commitment to this further when, in December 2019, the Chancellor announced £2.852 billion of funding for direct payments in the UK for 2020.

The noble Lord, Lord Grantchester, mentioned the cut in financial support. The maximum reduction of £150 million will immediately be ploughed back into the new countryside stewardship scheme and the productivity grant, which will be brought in next year. I hope that this also reassures the noble Baronesses, Lady Bennett of Manor Castle, Lady Ritchie of Downpatrick and Lady Northover.

The Government have reflected carefully on the scrutiny by the other place during the passage of the previous Agriculture Bill, and we introduced Clause 4 to address the concerns raised about funding. The clause requires the Government to publish a multi-annual financial assistance plan before the start of the agricultural transition. This will set out the strategic priorities for the transition and describe the financial assistance schemes expected to be in operation during the transition. As part of our commitment under Clause 4, and to ensure that we keep stakeholders aware of the latest developments, I can confirm that the Government intend to set out our plans for financial assistance during the first years of the transition in the early autumn.

Clause 4(2)(b) already places a duty on the Secretary of State to have regard to the strategic priorities established when making any decisions regarding what financial assistance schemes are to be supported under Clause 1. The noble Lord, Lord Addington, asked about the Government’s requirements to report. This is covered in detail in Clause 6. In addition, Clause 5 commits the Government to publish annual reports on the total amount spent on financial assistance, as well as the total spent on each financial assistance scheme. Clause 6 requires periodic reports on the impact and effectiveness of spending on financial assistance schemes.

There are existing processes for determining funding arrangements. These will apply to domestic spending when we leave the EU. Parliament has the opportunity to vote on Defra’s budget each year through the estimates process, and of course the EFRA Committee takes a close interest in scrutinising Defra’s accounts.

The noble Baroness, Lady Scott, also asked about the link between public access and the Government’s strategic priorities. I believe that Clause 1(1)(b) embodies this link. Clause 1(1) also covers access. The multiannual financial assistance plan will require the Government to publish information about their strategic priorities and how the financial assistance powers in Clause 1 will be used in future years. The Government make decisions through a structured and comprehensive process, which allows us to assess spending in the round.

On Amendment 123, in the name of the noble Lord, Lord Grantchester, the running costs for Defra and the Defra group are considered separately from the payments being made to beneficiaries. As the Government continue to develop their future schemes, they may find that they need to include some administration costs for third parties, such as those potentially incurred to run farm clusters or other groups that bring multiple farmers and land managers together to work in partnership. There may be very valid reasons why administration or consultancy costs may be higher than 5%. For example, investing in the early years of a scheme, when development and testing are critical, could lead to greater efficiencies and refinements later.

On Amendment 112, in the name of the noble Lord, Lord Grantchester, and Amendment 128, in the name of my noble friend Lady Rock, the Government are determined that farming in the UK should not see a reduction in government support at this very important time. That is why they have pledged to guarantee the current annual budget in every year of the new Parliament. The Government recognise that even with the best financial planning, underspends can happen. The concept the amendments raise would, in principle, be beneficial. However, legislation is not the best route to pursue this. Instead, it is more appropriate that the Government first discuss such an arrangement as part of the spending review process, when they will look at spending priorities across government. We should not legislate now for such flexibility without going through the proper process to ensure that spending can be considered in the round.

I will address Amendments 131 and 133, in the name of the noble Earl, Lord Devon, alongside Amendment 132, in the name of my noble friend Lord Lucas. Clause 4 replicates existing multiyear funding cycles, but provides for some flexibility as necessary around the length of individual plans. As the clause stands, it states that future plans must be for at least five years. The Secretary of State has discretion to design a longer plan, which I hope will reassure the noble Lords, Lord Cameron and Lord Wigley. The first plan was designed to cover the whole seven-year transition, to provide certainty to farmers while they adapt to the significant changes that the transition will bring. Although plans must run for at least five years, the Secretary of State has discretion to design a longer plan. The first plan will span the length of the agricultural transition and run for the seven years. This is an example of the Government’s commitment to designing plans appropriately with regard to farmers’ needs.

I was asked by the noble Earl, Lord Devon, why we could not confirm the budget for the length of the agricultural transition. Future funding allocations will be determined through future fiscal events, as is right and proper, to ensure that government spending is considered in the round. The regular cycle of spending reviews, single departmental plans and supply estimates at departmental level is well established. Parliament can vote on Defra’s budget each year through the estimates process.

The clause also states that the first plan period will run for the seven years. It will expire at the end of 2027 and the next plan must be in place by 1 January 2028. Therefore, it is likely that the renewal of plans will happen at a different time from elections, although of course that cannot be guaranteed. I assure noble Lords that there will always be a multiannual financial assistance plan in place, with no gaps.

The agriculture transition will be a key time for the development of government policy. Schemes will be tested and piloted, and the findings from those experiences will inform the development of future schemes and strategic objectives. Accelerating the production of future plans during the agriculture transition period would be counterproductive to our aim of assessing schemes and taking a considered view of what works and what does not.

Clause 4 requires that a multiannual plan be updated and put before Parliament as soon as it is practicable to do so. This requirement will ensure that the plan is a live document that can respond to any necessary changes to financial assistance schemes or strategic objectives.

On Amendment 126, tabled by my noble friend Lord Northbrook, Clause 4 already places a requirement on the Secretary of State to consider in as much detail as considered appropriate each financial assistance scheme that is in or will be in operation during the plan period. If deemed appropriate, this could include how the scheme is to give regard to the production of food in an environmentally sustainable way.

Amendment 138 concerns reports on financial assistance and is in the name of the noble Lord, Lord Addington. Clause 5 as drafted already commits to providing an appropriate level of detail and clarity on the delivery of public goods through each scheme. Furthermore, it is important to note that many of the schemes that the Government are developing, and the individual actions within those schemes, cover multiple purposes. For instance, under ELM we might pay for hedge planting to protect or improve the environment while also restoring cultural or natural heritage and at the same time protecting from or reducing environmental hazards. It would not always be possible to unpick these relationships.

I turn now to Amendment 139 on monitoring the impacts of financial assistance in the name of the noble Lord, Lord Krebs. Clause 6 already requires the Secretary of State to monitor the impact of each financial assistance scheme and make one or more reports on the impact and effectiveness of the scheme, having had regard to the monitoring effects that have taken place.

On Amendment 129 in the name of my noble friend Lady Rock and Amendments 134 and 137 tabled by my noble friend Lady McIntosh of Pickering, the Government are committed to achieving their aim of leaving the environment in a better state than they found it. That is why they seek to legislate for environment improvement plans in the Environment Bill. Environment improvement plans will have the objective of delivering significant improvement to the natural environment. Plans must set out the specific steps that the Government intend to take to improve the natural environment.

My noble friend Lady McIntosh and the noble Baroness, Lady Bakewell, also asked about the Office for Environmental Protection. Under the Environment Bill, the OEP is required to monitor progress on improving the natural environment. It must produce an annual report on its findings and could, for example, recommend that additional funding be provided to deliver the purposes set out in Clause 1 of this Bill. Where issues are identified, the OEP may engage in constructive dialogue with the Government and advise on necessary remedial measures. The OEP can also investigate alleged serious breaches of environmental law by public authorities and take legal action where necessary. The reports of the OEP must be published and laid before Parliament and the Government are specifically required to address any recommendations made. Therefore, when the Secretary of State determines the funding for the strategic priorities set out in the Government’s multiannual financial assistance plans, they will be able to consider any advice provided by the OEP under its duties as set out in the Environment Bill. The Secretary of State will also have had to respond to any advice. Both the OEP’s reports and the Secretary of State’s responses will be published and laid before Parliament.

The Government are actively engaging with many public bodies about the proposed future financial assistance schemes, for example, 17 environmental land management schemes and tests and trials projects are working with public bodies including national park authorities, Historic England, Natural England, the Environment Agency, the Forestry Commission and the National Association for Areas of Outstanding Natural Beauty to provide expert insight and input into the development of policy.

I turn now to Amendment 232 in the name of the noble Baroness, Lady Bennett of Manor Castle. The Government already produce reports that cover a number of these points. For example, Defra publishes a set of England biodiversity indicators to assist in the evaluation of progress on the outcomes and commitments of Biodiversity 2020, our strategy for England’s wildlife and ecosystems. In addition, the Government produce the Agriculture in the UK report annually, which contains a range of data including farm incomes, land use, livestock numbers, prices, the production of key commodities, overseas trade, organic farming and the environment. A new requirement to report on the state of agricultural land would replicate what is already available.

The noble Lord, Lord Greaves, asked a number of rather gloomy questions, which I will endeavour to address. There are a lot of different schemes, and a lot of advice will be provided. The environmental land management scheme is running live tests and trials to test how elements of the scheme will work ahead of the national pilot. Advice and guidance is one of the priority areas, and 34 tests and trials are feeding into that theme. Evidence shows that for advice to be effective, it must be trusted, consistent, credible and cost effective. The Government are considering how these principles can be embedded into advice for all schemes and are working with farmers and other land managers to do so.

Baroness Bloomfield of Hinton Waldrist

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I am afraid that I cannot give the noble Earl that assurance at this juncture.

Baroness Bloomfield of Hinton Waldrist

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As I think I said in my speech, we have built flexibility in to the planning stage, although it does not need to be five years, and in all cases there will be no gap between one plan and another.

Baroness Bloomfield of Hinton Waldrist (Con)

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I thank my noble friend Lord Lucas for his Amendments 29 and 217, with which I will also discuss Amendment 224 in the name of my noble friend Lord Caithness. Soil is indeed one of our greatest natural assets and the Government are committed to having sustainably managed soils by 2030, as set out in the 25-year environment plan. Providing financial incentives for protecting and improving the quality of soil will help to protect and improve all the properties that contribute to healthy soil. The 25-year environment plan sets out the Government’s ambition to have sustainably managed soils by 2030. A healthy soils indicator is being developed as part of a framework of indicators under the plan.

My noble friend Lord Caithness asked about spending commitments in the plan. This spend has been allocated to developing a robust and informative soil health indicator and monitoring scheme, and the Government are currently in the process of confirming actions for their work programme to protect and improve soil quality. The Government will develop a definition of soil health with stakeholders. To ensure that it captures the complete picture of soil health, this definition will be a balance of biological, chemical and physical characteristics, and could therefore include characteristics that help define the biodiverse nature of the soil, such as earthworms and fungi, as mentioned by my noble friend Lord Lucas.

To help achieve this target, the Government are considering the development of a soil monitoring scheme informed by natural capital approaches. As such, this scheme will recognise the relationships between soil properties and the ecosystem services that soil provides, such as clean water and carbon storage. A new soil monitoring scheme would provide a baseline national-scale picture of the state of our soils. This will enable the Government to quantify targets for improvements and then monitor progress towards these targets. These metrics could directly feed into ELM to incentivise better management approaches. Maintaining the metrics of measure across national and localised schemes will enable shared data collection, storage and analysis to further inform impacts of management actions.

There are a number of key vehicles through which the Government are working to address soil quality. These include: this Bill, which will provide financial assistance for the protection and improvement of soils; the Environment Bill, which will allow a future soils target to be set; the 25-year environment plan, through which a soil indicator is being developed; and the new ELM scheme, which could act as a lever for incentivising sustainable soil practices. Protecting and improving our soils will involve a wide variety of actions, reflecting the wide diversity in soil quality, soil types and land uses in England. This would include actions to protect our best grade 1 and 2 lands as well as actions to improve the poorer-quality grade land—in the words of the father of the noble Lord, Lord Inglewood, farming within the grain of nature, cropping not quarrying.

Baroness Bloomfield of Hinton Waldrist

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I thank the noble Lord for his question about whole-farm management. The ELM schemes are very much in trial stage; nothing has been ruled out or in. That will become clearer over the coming months.

I shall also take this opportunity to give the definition of agroecology that I was looking for earlier and floundering. Agroecology means different things to different people, but in this Bill it is based on applying ecological concepts and principles to optimise interactions between plants, animals, humans and the environment, while taking into consideration the social aspects that need to be addressed for a sustainable and fair food system.

Baroness Bloomfield of Hinton Waldrist

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I would be delighted to write to the noble Lord on the latter matter. On his former point, I believe that my speech actually gave the reassurance that it includes all matters within the soil.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I believe that we all share the concerns of my noble friend Lord Caithness about the cost to landowners, local authorities and the National Trust and other bodies of littering and fly-tipping. Indeed, the noble Earl, Lord Devon, spoke powerfully about this issue on Tuesday. He was also very generous in not seeking to prevent others enjoying his land so long as no damage is done—a positive approach also promoted by the noble Lord, Lord Rooker. As we just heard from the noble Baroness, Lady Wilcox, rights come with responsibilities. However, I point out that the provision of access to private land is still voluntary.

As we discussed on Tuesday, public access to the countryside provides a huge range of benefits, including improving physical and mental health and supporting local communities and economies. I understand that, at times, providing such public access can bring about some extra costs and risks to land managers. We will be working closely with stakeholders to understand the full costs of providing access, to make sure that the system works for land managers.

I thank my noble friend for raising this issue. It is important to make sure that the Countryside Code is as effective as possible in promoting responsible behaviour. As my noble friend the Minister said on Tuesday, and my noble friend Lord Cormack also mentioned, Natural England will soon start work on refreshing the Countryside Code to ensure that these messages are communicated effectively.

It is vital that young people are taught about the environment, and a number of noble Lords mentioned the importance of education. For that reason, related topics on the environment and the countryside are included throughout the geography and science GCSE curriculums. As part of that, the national curriculum programme of study recommends that pupils should use the local environment to support their learning in these areas.

A number of noble Lords mentioned enforcement, and a number of bits of legislation that cover littering are already in place. The main piece, which covers littering and refuse, is Part 4 of the Environmental Protection Act 1990. Crucially, Section 87 of that Act states that it is an offence for a person to drop, throw down, leave or deposit litter in a public place, and it carries a maximum fine of £2,500 and can be tried in a magistrates’ court. Furthermore, current by-law legislation allows local authorities to restrict and enforce the use of disposable barbecues in public parks and spaces. There are existing powers in legislation which can be used by authorities. I should point out that in our manifesto we committed to increasing the penalties for fly-tipping.

The Bill includes powers to provide financial assistance to promote better understanding of the environment. Better understanding of the environment could include, for example, help for land managers to communicate to visitors the types of messages which are in the Countryside Code. All these actions will help to ensure that the impact of public access is as positive as possible and that any risk of damage is kept to a minimum.

A number of noble Lords mentioned fly-tipping and the hazards it has created in the countryside. I, too, have observed hideous instances of fly-tipping in my small village where farm gateways are regularly used to deposit mattresses and fridges which then get burned out, so I share the concerns raised by my noble friends Lord Trenchard and Lord Shrewsbury and the noble Lord, Lord Rooker, but I do not agree that it is just laziness, as suggested by the noble Baroness, Lady Bakewell. This is criminal behaviour which is addressed through the criminal courts.

It would be good to think that eventually, with education, we can change the culture of whoever it is, from the dog owner in Richmond Park to the people who at the end of lockdown enjoyed the beaches but left so much litter behind. With that emphasis on education and with proper enforcement, littering will become as anti-social as drink-driving has now become.

Baroness Bloomfield of Hinton Waldrist

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I think many noble Lords will have every sympathy with the noble Baroness, Lady Mallalieu, and her experiences on her smallholding. Damage, theft, poaching and the theft of diesel are all criminal acts. If the perpetrator is caught, they can, as the noble Lord, Lord Addington, correctly suggested, be charged with trespass, which can be brought by farmers and owners for damage done while trespassing. The criminal justice system already has these things at its disposal.

My noble friend Lord Northbrook makes an interesting point about the difference between direct damage to livestock by dogs off leads and such things, but I do not believe that fly-tipping has a place in the Environment Bill. It is already covered in legislation. The key to all this, as many noble Lords have said, is better enforcement and perhaps more video cameras installed by landowners so that some of these perpetrators can be caught.

Baroness Bloomfield of Hinton Waldrist

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I thank the noble Lord, Lord Greaves, for Amendments 19, 52 and 102 on the subject of rewilding and native species. I am very grateful for his elegant elucidation of what he means by rewilding and what it does and does not include.

I can confirm that the Government are committed to providing opportunities for reintroductions where the environmental and socioeconomic benefits are clear. Perhaps at this stage I should draw noble Lords’ attention to Clause 1(1)(4). In the words of my noble friend the Minister, there is a balance to be struck. Clause 1(1)(4) says:

“In framing any financial assistance scheme, the Secretary of State must have regard to the need to encourage the production of food by producers in England and its production by them in an environmentally sustainable way.”

We understand how the reintroduction of species can play an integral role in increasing biodiversity and restoring natural processes, as well as in other environmental outcomes such as climate change mitigation and adaption. The Government have already supported the reintroduction of native species in this country, such as the pine marten, the red kite and—as I am sure my noble friend Lord Randall and the noble Baroness, Lady Bakewell, will be pleased to hear—the large blue butterfly. A number of noble Lords also mentioned other initiatives. We are keen to explore, through ELMS for example, where the reintroduction of species could be effective in delivering diversity and carbon benefits. My noble friend Lord Lucas mentioned the excellent work of Kew, with the provision of its seed bank.

However, my noble friends the Duke of Montrose and Lord Taylor of Holbeach and the noble Earl, Lord Devon, all injected a note of caution into the debate. These initiatives can often need more management than is anticipated. Beavers, mink and wild boar have all created some severe consequences for landscapes. Natural England is analysing the results of the Devon trial on the reintroduction of beavers. There are a number of other experiences of beavers across the UK and in other countries. Alongside the trials, there is a beaver management strategy framework that will help to inform decisions on the future of the Devon animals and the status of the beaver in England, including the Government’s approach for future reintroductions, management and licensing.

My noble friend Lady McIntosh of Pickering raised issues to do with importing diseased trees. She will be reassured that the importation of invasive species is now prohibited. The Government already pay for the control and management of invasive species through an agri-enhancement scheme. We are considering how to manage invasive species as part of the whole ELM design. Clause 1 would allow this.

The purposes set out in Clause 1(1) are purposely drafted broadly and could cover the reintroduction of species, should it align with our strategic priorities, as set out in the Government’s multiannual financial assistance plan. We will publish the first report by the end of this year.

Several other rewilding projects are already under way in England. For example, as my noble friend Lord Lucas, the noble Earl, Lord Devon, and others mentioned, at Knepp, in West Sussex, agri-environment funding has helped create extensive grassland and scrub habitats, resulting in significant benefits for biodiversity. At this stage, I also endorse wholeheartedly the plug from the noble Baroness, Lady Wilcox, for the opportunities for wildlife watching in Wales.

With these reassurances, I ask the noble Lord, Lord Greaves, to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist

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I can of course reassure the noble Baroness. Indeed, it is the first point of Chapter 1 that

“The Secretary of State may give financial assistance for or in connection with any one or more of the following purposes … managing land or water in a way that protects or improves the environment”.

The whole thrust of the Bill is to do just that.

I also take this opportunity to say to the noble Lord, Lord Greaves, that my noble friend the Minister is of course happy to meet him at any time.

Baroness Bloomfield of Hinton Waldrist

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I am grateful to all noble Lords who have taken part in this interesting and important debate on animal welfare. I shall say at the outset that I think we all want the same thing: we want the UK to be known for maintaining the highest possible standards in animal welfare. I am grateful to my noble friend Lord Shrewsbury for moving Amendment 26 and thus giving us the opportunity to have this debate.

The United Kingdom is already a world leader in animal welfare, and the Government are committed to retaining that status by maintaining and indeed strengthening our standards. My noble friend Lady Hodgson and the noble Baroness, Lady Ritchie, were correct about the symbiotic relationship between animal health and welfare, a point also made by my noble friend Lord Dobbs. I assure my noble friend Lord Shrewsbury that the current wording in the Bill is inclusive and provides for funding measures that support both animal health and welfare. The clause allows us to give assistance to make improvements in animal health without there also having to be a welfare benefit, or to welfare without there being a health benefit. An example of animal health without welfare improvement is enrichment through the provision of mechanical brushes for cows, while another might be the proximity of smaller slaughterhouses to reduce the number of miles that cattle have to travel, even if that does not necessarily enhance their health. The noble Lord, Lord Trees, is correct to point out that we intend to provide financial assistance in both areas. His illustration of a Venn diagram of how, when health and welfare interact, they are a smaller part of the whole was quite powerful.

The Government’s animal health and welfare pathway recognises the interconnection between animal health and welfare. It is about working in partnership with farmers, vets and their representatives to develop pragmatic actions that improve the health of livestock. Given that freedom from disease is one of the five key animal welfare freedoms, I can reassure my noble friend that in practice we will support both animal health and animal welfare. My noble friend Lord Caithness was correct to mention the need to build up greater animal resilience to disease, and I underline the credentials of my noble friend the Minister in this area.

I turn to Amendment 44 tabled by my noble friend Lord Dundee and Amendment 68 in the name of the noble Baroness, Lady Jones of Moulsecoomb. All animals, whichever system they are kept in, are protected by comprehensive and robust animal health, welfare and environmental legislation. This is further supported by species-specific welfare codes. Stockmanship and the correct application of standards of husbandry, whatever the system of production, are key to ensuring the good welfare of all farmed animals. This reflects the advice of our expert advisory body, the Animal Welfare Committee.

In the Government’s Farming for the Future: Policy and Progress Update, which was published in February, a comprehensive set of measures is set out to further improve animal welfare in England. The Government’s approach is based on working on three interrelated areas. The first area ensures that the baseline regulatory requirements will maintain our current high standards and continue their rise in future. Improvements should be sustainable for the sector and should be informed by the latest science and best practice. The second area of work aims to improve transparency for consumers so that they can make informed purchasing decisions that reflect their animal welfare preferences. Finally, using the powers in Clause 1, the Government are developing publicly funded schemes to provide animal welfare enhancements beyond the regulatory baseline that are valued by the public but are not sufficiently supported by the market. We are working closely with the Animal Welfare Committee to ensure that any future scheme is based on the best scientific evidence available. Here I am mindful of the comments made by the noble Lord, Lord Rooker. While outdoor rearing might be best for animals, land really is a scarce resource.

I turn to Amendment 95 tabled by my noble friend Lord Lucas. In other legislation such as the Agriculture Act 1947, “livestock” covers domesticated animals and birds that are raised to produce commodities such as meat, milk, eggs, leather, fur or wool. This Bill follows the existing definition of livestock, which is widely understood and relied on by those in and beyond farming.

Considering the case of farm dogs, it is difficult to draw the line between working dogs and dogs which are primarily companion animals. I reassure my noble friend that whatever the purpose of a dog’s presence on a farm, its health and welfare are still covered by the Animal Welfare Act 2006, which makes it an offence to cause unnecessary suffering to any animal and contains a duty of care to animals. That is part of the wider approach the Government have taken to the welfare of animals: for example, the ban on puppy farming, which was brought in through Lucy’s law. I do not have a line on maggot farming.

The Bill is the result of extensive consultation, including responses to the Health and Harmony Command Paper and discussions with the farming industry, vets and others. We have focused on farmed animals as the best way to drive up welfare standards, which is why the current definition is about production animals and does not include working animals such as farm dogs.

On Amendments 125 and 136 from the noble Baroness, Lady Jones of Moulsecoomb, the Farming for the Future policy update last February set out the Government’s work to develop financial assistance schemes to farmers to provide animal welfare enhancements. That work will inform the multiannual plan on these schemes, which are expected to come into operation during the seven years covered by the plan. The Government intend to set out further information on the early years of the transition in the autumn. The annual financial reports required to be published by the Secretary of State under Clause 5 will include the amount of financial assistance given through animal welfare schemes. Under Clause 6, the Government will publish reports that assess the benefits realised as a result of their animal welfare schemes.

On Amendment 225, again from the noble Baroness, Lady Jones of Moulsecoomb, I understand her concerns, but domestic legislation already protects animal welfare and environmental standards. For example, the Animal Welfare Act 2006 provides offences and penalties for those failing to meet animal welfare standards as required by law. Section 4 provides for offences connected to causing unnecessary suffering of an animal, and Section 9 provides for offences if steps are not taken to provide for an animal’s needs. Likewise, the reduction and prevention of agricultural diffuse pollution regulations makes it an offence to fail to meet environmental standards in relation to water. Section 11 makes it an offence to fail to comply with the regulations, and provides that the offence is punishable by a fine. These current rules, which I use as examples, ensure that those responsible for causing the harm, whether that be animal welfare or environmental, are those punished, and we have banned many cruel practices, such as battery chicken farms. It was interesting to hear from the noble Lord, Lord Rooker, speaking from his personal experience of looking round a broiler chicken factory farm, about how the farmer identifies his sick birds. I should also say that there has recently been a 53% fall in the use of antibiotics by farmers, which can only be welcomed.

On Amendment 77 from the noble Baroness, Lady Bennett, animal welfare is hugely important to the British public and indeed to all noble Lords who have spoken in this debate. In addition to the points already raised, I draw her attention to the aspects of the Bill which allow the Government to support plant-based production. Clause 1(2) allows the Secretary of State to give financial assistance in England for the purposes of starting or improving the productivity of a horticultural activity or for certain ancillary activities such as selling, marketing and preparing products derived from horticultural activity.

I have answers to the two other questions that did not fit into my speaking notes. My noble friend Lady McIntosh asked whether there would be funding for alternatives to antibiotics. Having already mentioned the welcome 53% reduction in the use of antibiotics, I say that Clause 1(1)(f)—I think it is paragraph (f)— covers alternatives to antibiotics. The noble Baroness, Lady Boycott, mentioned the worthwhile initiative of city farms, and Clause 1(2) could include those initiatives for support.

I hope that I have given sufficient reassurance and that my noble friend Lord Shrewsbury will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, with the leave of the House, I draw to the attention of noble Lords that there is a very large number of participants wishing to speak in this debate, particularly on the first group. If noble Lords could be concise and non-repetitive in their contributions, it would greatly aid the smooth and swift passage of the Bill.

Clause 1: Secretary of State’s powers to give financial assistance

Amendment 1

Baroness Bloomfield of Hinton Waldrist

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We have pressures on our time, so will the noble Lord draw his comments to a close?

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I am grateful to my noble friend for her amendment, which seeks to place additional requirements were the Government to introduce schemes for the sale of rights to use fishing quota in England. These include requirements that rights must not be sold to non-active fishers and are prioritised for sale to under-10 metre vessels. As noble Lords will be aware, Clause 27 relates to the sale to English boats of rights to use fishing quota for set periods of time. It provides the necessary powers for the Government to make regulations in the future allowing the auction or tender of such rights in England. It is important to note that such rights may be sold for only a fixed period and do not give rise to any long-term rights to quota, which will impact on their tradability.

The Bill as drafted provides flexibility for any scheme to be tailored to future needs. This includes broad powers for the Secretary of State to specify persons or descriptions of persons who are eligible or ineligible to buy these fishing opportunities. This includes all of the criteria set out by my noble friend in her amendment. Clause 27(3)(d) allows any scheme to specify the persons or descriptions of persons who are eligible or ineligible to buy rights. Clause 27(3)(h) allows a scheme to permit rights to be sold or not to be sold to a person who meets certain conditions. Clause 27(3)(k) and (l) allow any scheme to permit or to prohibit the transfer of rights.

In England, we will tailor any auction scheme to our marine environment and fishing industry. The criteria to be applied to any future auction or tender could address concerns raised in relation to the under-10-metre fleet. Measures could be introduced to limit the lots being tendered, the amount of time they are tendered for and the groups they are targeted towards. The Government would fully consult on the scheme and any allocation criteria before it was introduced. It would be unhelpful to restrict the scheme before we had competed that consultation.

With regard to my noble friend’s point about whether fishing rights could be sold after purchase, that would be determined when developing any such scheme. The Government could place restrictions on this, including restricting the onward sale of certain stocks upon which different parts of the English fleet place more importance. However, it might be appropriate to allow the onward sale of rights to use some stocks. This could provide flexibility to the industry and allow rights to be exchanged throughout the year in response to market conditions, weather patterns and suchlike. Fishing is not always a predictable business and it is important that the industry can adapt to changing circumstances.

To summarise, under the current drafting in the Bill the Government can already introduce the provisions set out in the amendment. It is also right that the specific arrangements or criteria for any auction scheme are developed in consultation with stakeholders, rather than being prescribed in advance. The scheme will be consulted on and will be brought forward under the affirmative procedure, so noble Lords will have the chance to debate the structure at that point. The consultation and parliamentary scrutiny processes should ensure that stakeholders’ views are fed into the setting up of the scheme.

With that explanation, I hope that my noble friend will feel able to withdraw her amendment.

Baroness Bloomfield of Hinton Waldrist

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My Lords, I am grateful for the noble Baroness’s amendment, which seeks to establish how English fishing opportunities will be managed. This includes stating that English fishing opportunities are vested in Her Majesty and establishing the Crown Estate commissioners as the disposal authority for English fishing opportunities. I have already spoken on a number of points within this amendment on Report and I will not labour them but will instead focus on the other parts of this amendment.

The first is a technical point: there is no such thing as an English fishery. There are very many fisheries within the English fishing zone and it is not clear whether the amendment is intended to catch fisheries across UK waters, some of which will be managed by the devolved Administrations. It is unclear what the amendment would invest in Her Majesty.

I have already said that the Government are clear that there is a public right to fish in the sea. Indeed, case law has demonstrated that the Crown, through the Government, has the right to regulate the use of fishing rights, as well as other natural resources such as water and oil.

As noble Lords will be aware, most UK and English fishing opportunities are managed through fixed-quota allocations. I have spoken before about FQA units, which have been held by the High Court to be a form of property right, and it is the Government’s current policy to maintain the FQA system for existing quota.

It is unclear how the amendment would work in relation to the disposal authority allocating English fishing opportunities. The Marine Management Organisation is the existing English fisheries administration and is responsible for allocating fishing opportunities and managing vessel licences. As read, the amendment would place some of these responsibilities with the Crown Estate commissioners instead. Replacing the Marine Management Organisation and part of the role that it performs with the Crown Estate commissioners would require significant restructuring of both organisations.

I make it clear that the Crown Estate commissioners are a statutory corporation set up to manage the Crown Estate on a commercial basis. That includes managing the seabed around England and other parts of the UK, and it is very different from managing fisheries. The powers, expertise and operational assets needed to manage these fisheries reside with the Marine Management Organisation. It is not clear what benefit restructuring these two organisations would bring, but it is clear that it would cause upheaval and confusion.

As noble Lords will be aware, Clause 27 currently relates to the sale to English boats of rights to use fishing quota for set periods of time. I have spoken before about the provisions for the Government to make regulations in the future allowing the auction or tender of such rights in England. This amendment would replace the detailed provisions set out in Clause 27 on how such a scheme would work. This would make the Secretary of State’s functions unclear, and any such future scheme in relation to the sale of English fishing opportunities less transparent.

As discussed on Monday, I emphasise that we are in agreement that fish are a public resource held by the Crown for the benefit of the public, and that no individual may own either the fish themselves or any permanent right to fish for them. Equally, let me be clear on why the Government cannot accept the amendment. Although FQA units do not represent a permanent right to quota, the High Court has recognised them as a property right and we do not want to undermine the current regime. I emphasise to noble Lords that, although we are looking at developing a new system for additional quota negotiated during the transition period, the Government want to maintain certainty and stability for the fishing industry and have made it clear that we do not intend to change the FQA system.

The amendment also raises significant concerns around changing the responsible authority for allocating and managing English fishing opportunities, which the Government believe to be unnecessary.

Finally, the Government believe that the amendment would make any future scheme to sell English fishing opportunities less transparent.

The noble Baroness, Lady Bakewell, asked how we would guarantee that some of the auction quota supported the under-10 metre fleet and smaller vessels. In England, the decision about whether to tender any quota is still being considered. Clause 27 of the Bill provides for the Secretary of State to make regulations to auction or tender quota in future, and the criteria to be applied to any auction or tender could address concerns raised in relation to the under-10 metre fleet. Measures could be introduced to limit the lots being tendered, the amount of time they are tendered for and the groups that they are targeted towards.

The noble Baroness also observed that a lot of very wealthy fishermen already own the vast majority of quota. All I can say is that auctioning is being considered as a possible allocation, but price would not be the sole criterion. We would consult on any scheme, including the allocation criteria, which could include sustainability criteria, and we would also explore running trials first.

I apologise to the noble Baroness, Lady Worthington, if I have not answered all her questions. The line was not very good. I will read Hansard after we finish here and, if there are any other issues that I have not addressed today, I will write to her and place a copy in the Library.

Baroness Bloomfield of Hinton Waldrist

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My Lords, I am grateful for my noble friend Lord Lansley’s amendment, which would require any Secretary of State and other Ministers of the Crown to have regard to the fisheries objectives in Clause 1 when negotiating international agreements relevant to fisheries. I note his concerns and appreciate his usual analytical approach in supporting his arguments. I support my noble friend’s desire to ensure that relevant international agreements support the achievement of the fisheries objectives. I reassure noble Lords that there are already provisions in the Bill, along with cross-Whitehall processes, that achieve this. I therefore think that this point is already covered.

As the House heard on Monday in relation to the amendments discussed then, policies on international negotiations on fisheries will be included in the joint fisheries statement, as international co-operation will be essential to achieving the objectives defined in Clause 1. Clause 10(1) requires fisheries authorities to exercise their functions in accordance with the policies in the joint fisheries statement, unless a relevant change of circumstances indicates otherwise.

As a matter of collective responsibility, all UK Government Ministers are required to abide by decisions on government policy. The joint fisheries statement will therefore be binding across government. In exercising their functions with regard to international negotiations, Ministers would have to do so in accordance with the policies in the joint fisheries statement, and thus the fisheries objectives.

My noble friend will also be aware, from his time in government and in the other place, that a proposed negotiating position is subject to government write-round as a matter of course. This ensures that, as part of collective responsibility, the interests of all Ministers are represented and incorporated into decisions, and collective agreement must be obtained.

If a negotiating position on a matter relevant to fisheries was proposed by another department which was contrary to the achievement of the fisheries objectives, the Defra Secretary of State would therefore have the opportunity to resolve this through Cabinet committee discussion. This established process provides a further safeguard to ensure that international negotiations undertaken by other departments, and which may have an indirect impact on fisheries matters—for example, negotiations relating to product labelling and product standards—have due regard to the fisheries objectives.

Further, it is the intention of the Bill to focus on fisheries management and fisheries policies. There is a risk that this amendment, as worded, would significantly broaden that scope, requiring any Minister in any department, during any negotiation, to consider the impact on fisheries, however tangential this might be. The combination of the provisions in the Bill regarding the joint fisheries statement, and the existing collective responsibility obligations on Ministers, ensures that Ministers involved in international negotiations will have regard to the fisheries objectives.

My noble friend mentioned the Chancellor of the Duchy of Lancaster’s Statement in the other place, on 19 May. He said that:

“The EU, essentially, wants us to obey the rules of its club, even though we are no longer members, and it wants the same access to our fishing grounds as it currently enjoys while restricting our access to its markets.”—[Official Report, Commons, 19/5/20; col. 503.]

The Chancellor of the Duchy of Lancaster was actually setting out the EU’s position, not advocating it as the UK Government’s position.

I would also like to mention at this point that we have had several rounds of discussions with Norway about our future fisheries relationship. Those discussions have been very constructive, and we look forward to concluding an agreement with Norway in the coming weeks. As my noble friend also observed, there are indeed grounds for optimism, about both pace and compromise, in our negotiations with the EU.

With this explanation, I hope that my noble friend will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I thank my noble and learned friend for Amendment 4, which seeks to make sure that fishing and aquaculture activities contribute to communities around the UK. I share his optimism with regard to reaching an agreement soon.

These are indeed very important sectors. This is in part due to the role they play in the communities in which they are located, largely in coastal areas, but also because of the wider contribution they make in providing a vital source of food for the nation. I am therefore grateful for the opportunity my noble and learned friend has provided for me to highlight that the Government have already included provisions in the Bill to address these matters and so to illustrate why this amendment is not required.

One limb of the sustainability objective in Clause 1 already seeks to ensure that fish and aquaculture activities are managed so as to achieve economic, social and employment benefits. The Bill requires the fisheries administrations to set out their policies for achieving this objective and the other objectives in the legally binding joint fisheries statement. I suggest that this regime already provided for in the Bill is more appropriate for the development and implementation of socioeconomic policies than is the use of vessel licence conditions. Vessel licence conditions are more commonly used for matters relating to where a vessel can fish, how it can do so and where it must land fish. In England the Marine Management Organisation is the licensing authority. While it may be appropriate for the MMO to impose conditions relating to fishing activities, policies on socioeconomic and employment matters are for Ministers.

Amendment 23 in the name of my noble friend Lord Lansley sets out an approach very much in line with the Government’s general policy on the economic link, in that it seeks to clarify that the sea fish licensing authorities have the power to ensure that an economic link exists between the vessels they license and the United Kingdom, or parts of the United Kingdom. I reassure my noble friend that the licensing provisions in Schedule 3 to the Bill reproduce but give greater clarity to the licensing powers provided for in the Sea Fish (Conservation) Act 1967. Lawyers have confirmed that these powers already provide sufficient scope for the sea fish licensing authorities to include in all licences issued to UK fishing vessels an economic link that ensures that economic benefits accrue to the United Kingdom.

As I have explained previously, this condition can be met by vessels fishing against UK quota through a variety of ways: landing at least 50% of their quota stock catch into UK ports; employing a crew at least 50% of whom are normally UK resident; spending at least 50% of operating expenditure in UK coastal areas; or demonstrating an economic link in another way, usually through the donation of quota to the under-10-metre pool.

I hope it will reassure my noble friend that the Government have been clear that they intend to review the economic condition in England this year, with a view to it following the end of the transition period. This was noted in our fisheries White Paper, and I have restated this intent in earlier debates on this Bill. Vessel licensing is a devolved matter, and the Scottish Government carried out their own consultation on proposed changes to economic link conditions in their licensing in 2017.

I would like to reassure the noble Baroness, Lady Ritchie of Downpatrick, that the Government fully intend to encourage the regeneration of coastal communities and that this is the purpose of the economic link. Indeed, this Bill reflects the Government’s vision for a thriving, vibrant fishing industry in all four nations. The noble Baroness also asked about the Home Office adjudication on migration and people who could be employed by the fishing industry; I believe we have been able to provide some reassurance in that regard.

In answer to my noble friend Lady McIntosh of Pickering, the Government have worked closely with all the devolved Administrations to establish the fisheries objectives for the whole of the UK, including the setting of the sustainability objective. Economic and social benefits are the key pillars of these objectives, and policies in these areas will be set out in the joint fisheries statement. As I have said already, vessel licensing is a devolved matter and the Scottish Government have already carried out their own consultation.

In summary, this Bill provides the powers necessary to continue including the existing economic link in vessel licences. It also provides powers to introduce other measures for ensuring that economic and social benefits accrue to the UK from the fishing activity of the UK fishing fleet. I hope that this will assure my noble and learned friend that this is an area that has already been carefully considered by the Government and provided for within the Bill and that he will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist

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My Lords, I am grateful for my noble and learned friend Lord Mackay’s proposed amendments on two crucial aspects facing the fishing industry—namely, making it safer and more attractive to work in. As my noble friend Lord Lansley said, we can all only agree with the spirit of these two amendments.

I will address the issues in turn, but first I want to clarify my comments to the noble Baroness, Lady Ritchie of Downpatrick. I will write to her specifically on the question of Filipino crew, but on 28 January this year the Migration Advisory Committee published its report to the Home Secretary on a points-based immigration system. The Government are currently considering the report’s recommendations before setting out further details on the UK’s future immigration system. As I have said, I will write with further details and put a copy in the Library.

I will address in turn the issues raised by my noble and learned friend Lord Mackay. As we reflected at Second Reading, commercial fishing is without doubt one of the most dangerous occupations in the world. The industry still loses too many lives and fishermen suffer too many often life-changing injuries. I think we all agree that more needs to be done. However, I am not convinced that more legislation, or indeed yet another strategy, is the way forward here. What is perhaps needed is better implementation of the existing and extensive framework of legislation and training and, above all, behaviour change from within the industry itself.

I am pleased to see how innovation has also helped in the design of personal flotation devices, which are much better designed and interfere less with what is often a very manual job. These modern PFDs, as they are known, can include personal locator beacons, which can speed up the search in the unfortunate event of someone going overboard. Technology and innovation are helping, and attitudes are changing, albeit slowly. However, I am afraid there are still pockets where the wearing of personal flotation devices is ridiculed or where, perhaps through habit or poor judgment about risk, they are not worn at the most appropriate times—for example, when getting on and off vessels.

It is perhaps helpful to again set out briefly that extensive support and material are already available. The Maritime and Coastguard Agency publishes a guide to fishermen’s safety, which is updated regularly. This comprehensive guide covers over 100 pages of responsibilities, obligations, risk assessment, vessel safety, personal safety, fishing operations, health and welfare, emergencies and training, and this helps to navigate through the comprehensive legislation already in place. On top of this, the Sea Fish Industry Authority collaborates closely with the industry, with government and with other organisations to help reduce the number of fatalities and accidents that involve fishermen, and to improve overall safety at sea. Working closely with the Maritime and Coastguard Agency and the RNLI, this work includes the development and delivery of safety training courses for fishermen. I am pleased that the industry itself is taking the issue seriously, with the National Federation of Fishermen’s Organisations having a dedicated safety and training officer. The NFFO and Scottish Fishermen’s Federation have both produced a wealth of material on the subject, and also represent the sector on a number of boards and committees relating to safety.

Clearly, Covid-19 has created new challenges for the fishing industry to remain safe while working at sea. The Government’s outdoor working guidance provides guidelines for businesses to conduct risk assessments and to create a working environment that is as safe as possible in these difficult circumstances. The Government have also set up a safer working group for the English industry, with representatives from across the different sectors of the fishing industry, local government, the MCA and the MMO to help industry bodies collaborate with each other and with enforcement bodies on safer working practices and materials. We will continue to support the industry to disseminate messages on safer working from the existing Government guidance and industry-led initiatives.

Turning now to the issue of ensuring that the infrastructure for a sustainable work force is in place, Seafish has a fishermen’s training team which again produces a plethora of material and co-ordinates training opportunities, and which works very closely with the industry. I am pleased to note that Seafish and the training providers have adapted this, given the Covid-19 situation. In answer to the question from my noble friend Lord Lansley about our work with Seafish, both the Department for Transport and the MCA have funded almost £3 million-worth of safety training for free since 2008, and this has been matched by Seafish using European funding schemes, delivering nearly 4,000 training courses and over 26,000 training places.

I would also point to the very good work of the seafood industry leadership group, again established by Seafish, to deliver Seafood 2040, a strategic framework for England. This initiative will deliver a single cross-sector seafood training and skills plan, aiming to support businesses in the seafood supply chain to recruit workers with suitable skills. The industry has to take responsibility, too, for the sustainable development of the sector, thinking about how it can make itself more attractive to new entrants, perhaps through pay and different contractual and employment practices, and also looking to the future, thinking about automation and technology. With this explanation, I hope that my noble and learned friend will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist

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My Lords, I am grateful to the noble Lord for moving Amendment 10 and I welcome the opportunity to clarify how the Bill already meets its aims.

I reassure your Lordships that the Bill already enables fisheries managers to ensure that stocks are restored to MSY levels, and it is flexible enough for that to be future-proofed. Sustainable levels are at MSY or better, and this is made clear in the definition of “sustainable level” in Clause 48. Therefore, I cannot agree with the noble Lord, Lord Teverson, or my noble friend Lord Randall that we are not being ambitious enough. Indeed, where scientific evidence indicates this, the provisions would allow more ambitious alternatives to be used, and that is the direction of travel in which we are taking fisheries management in the UK.

The potential prize here is high. Hake stocks in the north-east Atlantic are an example of how stocks can be rebuilt when managing fisheries to maximum sustainable yield principles. Between 1985 and 2003, these stocks were in continual decline owing to overfishing. As a result of international action, supported and encouraged by the UK, we have successfully reversed the decline in the stocks. They are now around five times larger, and the value of hake landed by the UK has grown in real terms from £7.6 million in 2003 to £28.2 million today.

I turn to Amendment 14, tabled by my noble and learned friend Lord Mackay of Clashfern. I recognise that this amendment is intended to help provide assurance that fisheries management plans complement the policies of the joint fisheries statement and are proportionate and balanced in their pursuit of the objectives contained in the Bill. I am grateful to my noble and learned friend for giving me the opportunity to explain how the Bill already seeks to address this aim.

Clause 2 integrates fisheries management plans into the structure of the JFS, requiring that the JFS contains a statement setting out how the fisheries authorities intend to make use of fisheries management plans to achieve the objectives. Each individual plan must then comply with this overarching statement. Fisheries administrations will also be bound by the provisions in Clause 2(2)(c) to explain how the objectives of the Bill have been interpreted and applied proportionately in relation to not only the joint fisheries statement but fisheries management plans. I think that that demonstrates the discipline that my noble and learned friend requires.

I turn now to Amendments 15 and 17, which deal with consultation matters. As your Lordships are aware, the Government will be under a statutory duty to consult on the draft joint fisheries statement, including on details of the Government’s proposals for fisheries management plans. Furthermore, there is a statutory duty to consult on those plans. Given that the JFS will set the policy framework that the fisheries management plans will help implement, it would not be desirable or practical to consult on the plans separately from, and potentially ahead of, consulting on the JFS. Using different timeframes would risk creating unintended consequences from a lack of consistency between the content of the plans and the statement.

The Government are committed to working in close collaboration with the fishing sector. We already regularly meet stakeholders from across the spectrum to discuss matters of interest. For instance, we are active participants in the Future of Our Inshore Fisheries project, as well as in industry-led groups, such as the scallop industry consultation group and the newly created shellfish industry advisory group. We have a monthly external advisory group, and meet stakeholders and industry on specific issues, ranging from the landing obligation to the impacts of Covid-19.

I very much agree with the principle that local stakeholders and industry representatives will often have the best understanding of their area and can offer more practical solutions to tackle pressing local issues, but I believe that the existing consultation requirements in the Bill are actually wider than those mentioned in the amendments. Schedule 1 to the Bill makes it clear that all the fisheries administrations must consult

“any persons appearing to the fisheries policy authorities to be likely to be interested in, or affected by, the policies contained in the consultation draft”.

This is true both in respect of the joint fisheries statement and individual fisheries management plans.

I can therefore confirm that the Bill already requires the Government to consult with all those parties listed in Amendment 17 on fisheries management plans and on policies in the joint fisheries statement. Furthermore, the provisions in the Bill would include other interested parties where relevant, such as environmental NGOs, recreational anglers or other sea users.

On Amendment 16, I reassure the noble Lord that the Government are committed to using the best available scientific advice. However, the drafting of this clause was a conscious and considered choice, and not an oversight. It is intended to ensure that we are able to take a flexible approach, and that includes considering all the available scientific evidence that can be turned into best advice. For example, if evidence suggested that a fish stock was suddenly in steep decline, the precautionary approach might necessitate that we take urgent action based on available evidence, even if, in parallel, we sought to commission new research to improve our evidence base. In these circumstances, we would not want uncertainty to lead to inaction.

Finally, turning to Amendment 54, we discussed a very similar amendment previously, and I welcome the opportunity to reiterate how the Bill, as drafted, with the objectives carefully balanced, will help us secure economic and social benefit for our fishermen and for the country. Economic benefit is already integral to the fisheries objectives and will be a key element of the joint fisheries statement. The sustainability objective explicitly includes an ambition to ensure that fisheries activities are managed to achieve economic and social benefits, and economic benefits are also explicitly recognised in the national benefit objective.

As my noble friend the Minister outlined earlier in this debate, the Government are committed to a balanced Bill, in which economic, social and environmental benefits are considered collectively. As your Lordships know, the Government believe that the joint fisheries statement is the right mechanism through which to balance these three equally important pillars of sustainable development. I am concerned that a statement on economic benefits, so early, and by the Secretary of State alone, would undermine the balance between the objectives and the consensus that we hope to achieve through the JFS. Furthermore, with the Bill not likely to receive Royal Assent before the autumn, the requirement to produce a statement by January 2021 would leave very little room for considered policy development in any event.

This is not to say that the Government cannot act in the meantime. For instance, as your Lordships will be aware, they have provided £10 million to support and sustain the industry through the current difficult times. That said, in setting out something as important as our longer-term policies to realise the environmental, economic and social benefits that the Bill enables, the Government believe that these belong in the joint fisheries statement.

With this explanation, I hope that the noble Lord will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist (Con)

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I remind the noble Baroness of the speaking limit.

Baroness Bloomfield of Hinton Waldrist

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Please can I remind the noble Lord of the speaking limit?

Baroness Bloomfield of Hinton Waldrist

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Perhaps the noble Baroness could bring her remarks to a close.

Baroness Bloomfield of Hinton Waldrist

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May I remind the noble Lord, Lord Judd, of the speaking time limit?

Baroness Bloomfield of Hinton Waldrist

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I remind the noble Lord of the speaking time.

Baroness Bloomfield of Hinton Waldrist (Con)

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My Lords, I am grateful to the noble Baroness, Lady Young of Old Scone; I understand her desire to support better scrutiny of secondary legislation.

Amendment 121 would add a new enhanced parliamentary procedure for regulations made under Clauses 36 and 38. Under this amendment,

“The Secretary of State must … have regard to any representations”

made during the consultation period, and respond to any resolutions of either House and any recommendations made by the Select Committee. The powers under Clauses 36 and 38 will, among other things, allow us to continue to meet our international obligations as members of the regional fisheries management organisations, make amendments to technical requirements in retained CFP measures and keep our aquatic animal health regulations up to date.

Baroness Bloomfield of Hinton Waldrist

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I reiterate what I said about the amendment. It also replicates a duty in Clause 41(1) to consult the devolved Administrations and all other interested parties before making regulations.

Baroness Bloomfield of Hinton Waldrist

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My Lords, I am grateful for Amendment 123, tabled by the noble Lord, Lord Teverson. I welcome the opportunity to set out the arrangements already in place for ensuring such co-ordination, because I believe the Bill supports the aims of the noble Lord’s amendment. I will address the amendment as two parts.

First, the Maritime and Coastguard Agency and the Marine Management Organisation have distinct and separate regulatory functions. The MCA is responsible for providing a 24-hour maritime search and rescue service around the UK coast, as well as producing legislation and guidance on maritime matters, and certification for seafarers. The MCA is sponsored by the Department for Transport, as its responsibilities relate to vessels and infrastructure. By contrast, the MMO licenses, regulates and plans marine activities in the seas around England to ensure they are carried out in a sustainable way.

Notwithstanding this distinction, there are areas of shared interest where these organisations already co-ordinate and work jointly to achieve their regulatory purpose effectively. This includes the operation of aerial assets for monitoring and surveillance, the collocation of personnel in the Joint Maritime Operations Coordination Centre, and intelligence sharing. Opportunities for further collaboration and efficiencies are still being identified.

Baroness Bloomfield of Hinton Waldrist (Con)

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I am grateful to noble Lords for this short debate, particularly to the noble Lord, Lord Teverson. He is right to emphasise the need for proper safety regulations for all vessels fishing in our waters.

Amendment 81 seeks to ensure that all vessels, regardless of nationality, follow the same technical conservation measures when operating in UK waters. Schedule 2 to the Bill extends domestic legislation containing technical measures, such as restrictions on the size of velvet crab that can be caught, to foreign vessels. Under the common fisheries policy, this legislation has been able to apply only to British boats, so this change provides for the first time the level playing field between British and foreign vessels sought by the noble Lord, Lord Grantchester. Further, Schedule 3 provides the powers to set conditions on licences and to extend those conditions so that they also apply to foreign vessels. I make it clear that our intent is to ensure that equitable approaches for licence conditions apply to both domestic and foreign boats in the future.

This amendment seeks to mandate additional licensing criteria for foreign vessels. We regard this as unnecessary, as measures to achieve equitable treatment are already provided for by the Bill.

Finally, the amendment does not take into account the devolved competence of the fisheries administrations to set their own licence conditions in their waters, where they do not conflict with delivering what has been agreed internationally.

Amendment 82 seeks to address two very serious issues. As my noble friend the Minister noted in his opening speech at Second Reading, and as we have discussed previously in Committee, fishing remains one of the most dangerous occupations. I regret that too many deaths and injuries still occur in our waters. However, safety at sea—for all vessels, not just fishing boats—falls within the remit of the Maritime and Coastguard Agency—the MCA—which has powers to enforce safety regulation.

Under the Fishing Vessel (Codes of Practice) Regulations 2017, a non-UK fishing vessel must not enter UK waters unless,

“if its registered length is 24 metres or over, it has been certified by its flag State as complying with the requirements of the Torremolinos Protocol”

on the safety of fishing vessels,

“or … if its registered length is less than 24 metres, it has been certified by its flag State as complying with the requirements of that State applying to vessels of that length”.

If a foreign vessel does not comply with these requirements in the future, it will not be granted a licence to fish in UK waters.

The MCA is also working to implement the International Labour Organization’s work in fishing convention into UK law. Its aims are for all fishermen to have decent living and working conditions, regardless of employment status. It entitles all fishermen to written terms and conditions of employment, decent accommodation and food, medical care, regulated working time, regular payment, repatriation, social protection, and health and safety onboard. It also provides minimum standards relating to medical fitness.

Lastly, I note that the noble Lord, Lord Cameron of Dillington, mentioned discards and European law. This will be covered at a later stage.

With this explanation, I hope that the noble Lord, Lord Teverson, will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist

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My Lords, this amendment had me a little puzzled. I wondered whether the noble Lord had, like me, been a magistrate prior to 2012, when the law changed in England. That is at the root of the differences.

Amendment 88 would bring fines in England and Wales for offences committed under Clauses 12(3), 14(6) or 16(6) or paragraphs 1(4), 3(2) or 3(3) of Schedule 3 in line with those in Scotland and Northern Ireland. It would similarly limit fines on conviction on indictment to the same amount through Amendment 89.

In England and Wales, the fines for offences align with the provisions of the Legal Aid, Sentencing and Punishment of Offenders Act 2012. Section 85 of that Act removed the statutory maximum fine on summary conviction and replaced it with a fine of any amount. This gave magistrates, who impose the vast majority of fines, greater flexibility to identify the most effective and proportionate punishment appropriate to the offences and offenders before them. These are not custodial offences in other areas of fisheries legislation, so this is the only penalty that can be imposed. The approach that we have taken on penalties in the Fisheries Bill is consistent with Section 85 of the 2012 Act and other existing fisheries legislation, and ensures a consistent and coherent sentencing framework in England and Wales. The reason for the difference in Northern Ireland and Scotland is that they are separate jurisdictions and the changes made by the 2012 Act applied only to England and Wales.

The reason no limit is placed on fines for conviction on indictment in the Bill, as Amendment 89 probes, is that the enforcement provisions mirror those in the Sea Fish (Conservation) Act 1967. The offences under that Act and other fisheries legislation provide that, where someone has committed an offence and been convicted on indictment, the court has the discretion to impose a fine without a limit. Not only is this consistent with the approach taken in other fisheries legislation, it is consistent with the underlying policy that the Crown Court should not be constrained in its ability to set a fine, in order that it may take into account both the seriousness of the offence and the financial circumstances of the offender. Finally, this amendment would change the position in Scotland and Northern Ireland, which would cut across devolved competencies.

With this explanation, I hope that the noble Lord, Lord Grantchester, will feel able to withdraw his amendment.

Baroness Bloomfield of Hinton Waldrist

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My Lords, I am grateful to the noble Lord, Lord Teverson, and the noble Baroness, Lady Bakewell, for bringing forward Amendments 94 and 106, which seek to secure the position of the under-10-metre fleet and for new entrants. We all want to achieve the same thing. However, as the noble Baroness, Lady Jones, just said, often putting this into the Bill is more complicated.

The Government recognise the importance of the under-10-metre fleet as a cornerstone of our local coastal communities. However, managing our inshore fisheries is a complex task. The fleet is diverse; they catch an assortment of quota and non-quota species using a variety of boats and gear in conditions that differ considerably around the country. Non-quota species are particularly important to the inshore fleet. In 2018, around 77% of the weight and 78% of the value of their landings were from non-quota species such as brown crabs and lobster.

The Government want to support all fishermen, including the under-10-metre fleet, to fish more sustainably, improve our collective understanding of stock health and adapt to technological innovation. That is why they were fully supportive of last October’s Future of Our Inshore Fisheries conference, organised by Seafish. Themes discussed by fishermen and stakeholders included greater collaboration, responsibility sharing and devolution of decision-making responsibility.

Turning specifically to quota allocation, in England we have already taken action to increase the quota the under-10-metre fleet receive. Since 2012, we have realigned fixed quota allocation units from the sector to provide a 13% increase to the under-10-metre quota pool. In 2018, the under-10-metre fleet was allocated an extra 1,281 tonnes of quota uplift, which equated to an additional £3 million. These combined actions have helped the under-10-metre fleet to land 36,000 tonnes of fish in 2018.

In England, we are already exploring new methods to allocate any additional quota we may secure. Last summer, Defra ran a call for evidence to seek views on the values and processes which underpin good quota management. As may be expected, views expressed were very broad-ranging and there was no overall consensus. More work is needed with industry and other stakeholders to further develop this approach throughout 2020.

The quota needs of the under-10-metre fleet will be a key consideration here. It is right that we wait until this further engagement is complete before deciding how to allocate any additional quota in England, to ensure that we are allocating it fairly, proportionately and in support of the fisheries objectives, and—to address the concerns of the noble Baroness, Lady Jones of Moulsecoomb—considering the needs of the community.

This amendment particularly concerns English quota allocation, and amends Clause 23, which relates to the determination of fishing opportunities at a UK level. These are two separate matters and it is potentially confusing to link them in this way. I will address Amendments 104 and 105 together. The UK Government share the desire of the noble Baronesses, Lady Jones of Moulsecoomb and Lady Worthington, to see improvements in sustainability. We have already set out a range of key commitments to achieve this. The noble Baroness, Lady Worthington, asked why Article 17 of the common fisheries policy started off Clause 25. It might be helpful if I read out what the Explanatory Memorandum says:

“This clause amends what will be provisions in retained EU law setting out criteria for the distribution of fishing opportunities. Article 17 of the Common Fisheries Policy Basic Regulation requires that Member States distribute fishing opportunities domestically according to transparent and objective criteria including those of an environmental, social and economic nature. The effect of the amendments is to maintain the existing requirements in UK law and to apply them to the Fisheries Administrations and the MMO.”

The Bill ensures that Article 17 of the common fisheries policy basic regulation works in UK law as retained EU law. Article 17 requires the allocation of fishing opportunities on the basis of transparent and objective criteria. The Secretary of State follows these criteria when distributing quotas to the fisheries administrations, using the methodology set out in the publicly available UK quota management rules. Each administration is then responsible for distributing its quota share to industry. In England, the methodology is set out in the publicly available English quota management rules. Scotland, Wales and Northern Ireland also publish their own quota management rules. Changes to these rules are normally consulted upon. In fact, Defra recently ran a consultation on the options for allocating reserve quota which is the uplift in quota we get to account for the reduction in discarding within England.

Given that these documents and evidence are already publicly available, it is unnecessary for the Bill to explicitly set out that it will not be exempt under the Freedom of Information Act 2000, as Amendment 105 would provide. The Bill would not be the correct vehicle to seek to exempt the Freedom of Information Act in this way. It is also likely that such information would be covered by the Environmental Information Regulations 2004. The Fisheries White Paper made it clear that we will continue to allocate existing quota on the basis of FQA units. This ensures stability and provides certainty to those who have invested in such units. However, we also said that we will work with the devolved Administrations, industry and other stakeholders to develop a new methodology for the allocation of additional or new quota. These criteria will also be published in the relevant quota management rules.

The amendment would put into statute the principle that fisheries are public property held on trust for the people of the UK. This risks further complicating the legal regime. International law, through the UN Convention on the Law of the Sea, recognises the rights of coastal states over resources, including fish, in their waters. There is a public right to fish, but this right has been restricted as the regulation of fisheries has been added to over the centuries. The last century saw a significant increase in the powers devolved to Scotland, Wales and Northern Ireland. This Bill seeks to ensure as joined-up an approach across the UK as is appropriate. It contains a set of shared fisheries objectives which have been developed by the fisheries administrations and which will be used to ensure that fisheries are managed sustainably.

Imposing a further principle on this regime will complicate things and could undermine this agreed approach. It is not clear what public property held on trust for the people of the UK would mean and what it would add to the sustainability and national benefit objectives. I am concerned that any lack of clarity over the criteria which can be used to distribute fishing opportunities could result in uncertainty for parts of the industry which have invested significant amounts of money in fixed quota allocation units. We recognise that fish are a public asset which should benefit the country as a whole.

Baroness Bloomfield of Hinton Waldrist

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It is understood.

The issue of public property would, we believe, be covered by the socio-economic and other criteria which the Secretary of State is already required to consider. I have just asked for a reply to the question on how the future quota will be dispersed.

Additionally, while I recognise that quota allocation in En