Environment and Climate Change Committee Report: An Extraordinary Challenge: Restoring 30 per cent of our Land and Sea by 2030

Baroness Hayman of Ullock Excerpts

Wednesday 11th September 2024 Grand Committee

[Lord Blencathra (Con)]

My Lords, in standing in for my noble friend Lord Roborough, who could not be present at the start of this debate, I must tell the Committee that the last time I clutched a Dispatch Box desperately seeking inspiration was Thursday 20 March 1997. I was the last Conservative Minister to answer a departmental Question at 3.15 pm, immediately followed by John Major answering his last PMQs, and then we prorogued for the general election. Some 28 years later I am an example of His Majesty’s policy of patching up and mending old things, and putting them to work again.

I need to declare my interests as on the register but to go further too. I remain for the next three months the deputy chair of Natural England. I have checked with the clerks and, while I can talk factually about nature, Natural England, this report and the last Government’s response, under the Addison rule I cannot speak officially for Natural England, nor answer questions about its activities or advocate its policies—only the Minister can do that. Because of my position in Natural England, I am automatically on the Joint Nature Conservation Committee, so I leave it to the Minister to say what a brilliant job we are doing in Natural England.

I welcome the Minister to her post. There is no one better on the Labour Benches in the Lords to do it, and she is an excellent addition to the Defra ministerial team.

I commend the noble Baroness, Lady Parminter, and all the noble Lords who conducted the 30 by 30 inquiry, on their recommendations. I also commend the 16 noble Lords who have spoken today. They made excellent points, including in the superb speech by my noble friend Lord Goldsmith of Richmond Park, who is welcome to take this seat back any time he likes.

A lot has happened since the report was published in July 2023, and not just the change of Government. Noble Lords have read the last Government’s response, and in the changed circumstances I see no point in rehashing it all today. The report called for national parks to be given a new statutory duty to protect nature, and Section 245 of the Levelling-up and Regeneration Act imposed a new duty to do just that; I hope that my noble friend Lord Harlech will be reassured by that. As I recall, that was the Lord Randall amendment in the Lords.

The report called for local nature recovery strategies to be given statutory underpinning in local development plans. Schedule 7 to the levelling-up Act did that; I believe that was the Baroness Parminter amendment. On SSSIs, I say to my noble friend Lord Harlech that Natural England has now moved fully to assessing the condition of SSSI features at the site scale, and the focus is on bringing SSSI condition assessments up to date and in line with the EIP target to complete this by the end of January 2028—although that is highly dependent on not cutting Natural England’s grant in aid.

Natural England is also progressing the EIP target to have action under way and on track by January 2028, which will bring 50% of SSSI features into favourable condition. Natural England is continuing to look for improvements in the approach to monitoring —to make more use of modern technology, such as earth observation, to increase the contribution of participatory science, and to utilise condition assessments gathered by third parties, such as ENGOs, which my noble friend Lord Lucas called for—and we aim to grow that.

I say to the noble Baroness, Lady Young of Old Scone, that I have been involved in about six new SSSI designations or extensions. They may not be many in number but two were absolutely massive, including a large one down in west Cornwall—which was slightly controversial—and another large one near RAF Fairford and the waterworks around there.

The report underplays the role played by national nature reserves, which I argue are a legitimate component of other effective conservation measures. I submit that the country’s NNRs meet the OECM criteria defined in CBD 15 and in the Government’s nature recovery Green Paper. There are currently 221 national nature reserve sites, which comprise 110,000 hectares or 427 square miles. That is 0.85% of England’s area. Natural England manages 134, the Wildlife Trusts 50, the National Trust 20, local authorities 29 and the RSPB, National Parks, other NGOs and other government agencies 34.

Let me cite a superb example: the new, supersized Purbeck Heaths NNR announced in 2020. Seven organisations manage it: Natural England, the National Trust, the RSPB, the Amphibian and Reptile Conservation Trust, the Dorset Wildlife Trust, Forestry England and the Rempstone Estate. The new NNR is larger than the original NNR, which was 996 hectares—it is now 3,331 hectares, a 234% increase. It is better, as it is increasing biodiversity and creating a more dynamic and resilient landscape, and it is more joined up, as it has a huge continuous grazing area and landscape-scale objectives.

Another excellent example is the Somerset Wetlands “super” NNR which links up six pre-existing national nature reserves on the Somerset Levels and Moors. It is managed in partnership by Natural England, the Environment Agency and five other NGOs. The crucial point is that some say NNRs should not be included in the OECM category nor count towards 30 by 30, since they are not statutorily protected—but that is a feeble point. These organisations are all approved by Natural England to manage reserves properly and bring about species recovery and conservation. Thus, I say to the Minister that they should be included as part of our 30 by 30 targets, since they may be managed by other effective means, as my noble friend Lord Lucas pointed out.

Finally on national nature reserves, paragraph 83 of the report said:

“We recommend that the Government enable and resource Natural England to develop and publicise accessible digital and offline tools and communications to enable members of the public to learn about and engage with their local protected areas”.


I agree entirely but, before doing so, we need to sort out proper online publicity for the 134 national nature reserves run by Natural England. I invite everyone, including the Minister, to search “visit a national nature reserve” on Google. Up will pop some very sexy sites with superb photos, but they are all from the National Trust, the RSPB, the Wildlife Trusts and NNRs run by similar organisations. Down that list somewhere will be a GOV.UK site called “National Nature Reserves in England”. Click on that and it will reveal 11 regional categories. Click on “North West NNRs” and it will reveal seven more categories. If the Minister clicks on “Cumbria”, that will list 37 NNRs—without a single map to help you. If she clicks on “Bassenthwaite Lake”, she will get this:

“The reserve is a shallow, balanced nutrient lake in the north-west of the Lake District. Main habitats: open water”.


To paraphrase Bob Geldof, is that it? It is the most beautiful landscape—after Ullswater and Blencathra, of course—and there is not a single photo of it, nor of any other national nature reserve, featured on GOV.UK. No wonder the NNRs managed by the other organisations have five times the visitor numbers. We all want people to access nature for the benefits it brings to health. I hope the Minister will have far more success than I have had over the last six years trying to get a dedicated site for national nature reserves, rather than buried in the bowels of GOV.UK.

The report, in paragraphs 73 to 75, urges the Government to prioritise working with the overseas territories. As the Minister will know, 94% of the United Kingdom’s biodiversity is not in Great Britain and Northern Ireland but in our 14 overseas territories, their unique islands and their 6.4 million square kilometres of ocean. The Darwin Plus scheme applies to our OTs.

I was the Minister way back at the first Earth Summit in 1992 in Rio, which launched the Darwin Initiative. I must admit, as a new, five week-old Environment Minister, I had not a clue what I was launching. I read the brief and had no idea how successful the scheme would turn out to be. Now, the Government have funded over 1,275 projects at a cost of £230 million, achieving both biodiversity conservation and multi- dimensional poverty reduction. Twelve years ago, I worked with our overseas territories for a few years and saw at first hand the splendid work the Joint Nature Conservation Committee did in our OTs and how the OTs desperately wanted more JNCC input, if only it could afford it.

Minister, it is an easy and impressive win for us in here in the United Kingdom to support the Blue Belt programme and the overseas territories biodiversity strategy being worked up at this precise moment by the JNCC and Defra. The JNCC has also done work on creating blue finance criteria, so that companies can invest in nature recovery projects in our United Kingdom’s oceans and our overseas territories’ seas and know that it is not genuine and not bluewashing.

The report made some very important recommendations on marine monitoring, and discussing all the implications could be a full day’s debate in itself. The last Government’s response pointed to the targets in the EIP and said that monitoring is very complex. Indeed it is. Natural England identified our marine protected areas in just 10 years. That was a splendid achievement, but identifying and designating them is one thing; managing them is another. All of us here can stand on a piece of land and have a fair idea of what it is, its condition and what we think we would like to do to improve it, but we can stand at the edge of the ocean and we have not got a clue what is happening under the surface. If we cannot measure it, we cannot manage it.

All I can say today is that I encourage the Government to step up all marine monitoring efforts, which are essential for biodiversity and carbon capture and form part of our 30 by 30 target. I agree entirely with my noble friend Lord Caithness, the noble Baronesses, Lady Boycott and Lady Jones of Moulsecoomb, and my noble friend Lord Banner, on bottom trawling. I have been deeply involved in all this for the last six years and, as your Lordships know, I can bore for England—or Natural England—on it, but let me give some general observations and advice to the Minister, if I may be so impertinent.

Much of the Government’s growth talk has been about building houses, and more houses are urgently needed. I accept that not all so-called green-belt land is sacrosanct and there are poorer bits which can be built on, but genuine high-quality green belt must be protected. Growth and nature are not exclusive; they are complementary. If the Government build houses on grey belt land, they must ensure that there is green space right around them for gardens, space for nature and rewilding, tree-lined streets and not just a token little green park 15 minutes away. I agree with my noble friend Lord Gascoigne, who made that exact same point. Nature recovery is essential in our towns and cities, not just the countryside.

On the countryside, I appeal to the Minister to maintain the £2.4 billion expenditure on ELMS and innovation grants. Farmers are key to nature recovery, as well as producing the food we need.

My main disagreement with my noble friend Lord Banner is that, in my experience farmers excel with carrots rather than sticks. I hope the Government will take on board the points made about tenant farmers by my noble friends Lady Rock and Lady McIntosh of Pickering.

Also, Minister, please get the message across to all those doing big infrastructure projects to consult Defra’s arm’s-length bodies, including Natural England, at a very early stage to look at what protected species might be affected. Workarounds can then be done in the early stages, but if they wait until the bulldozers are about to demolish the bat roosts, the ancient woodlands or the Ramsar sites, then delays will occur—delays caused not by the intransigence of Defra’s arm’s-length bodies but by the law.

Over the last few years, the Forestry Commission, the Environment Agency and Natural England have liaised to increase co-operative working on the ground. That makes sense. If we are to deliver 30 by 30, then we have to work together. If, for example, we look at a river catchment area, the Environment Agency will have a view on river flows and dredging, the Forestry Commission will have a view on what trees should be planted on the banks or nearby and Natural England will have a view on what other flora and fauna, such as beavers or voles, could be present. By co-operating, we get the best possible solutions to reduce flooding, increase woodland and recover nature and wildlife, and that will help deliver 30 by 30. Working together would assist in removing the uncertainty that concerned the noble Earl, Lord Devon. My plea to the Minister is that all the Ministers, in the Commons and here, and the directorates in Defra collaborate in the way that the three ALBs I mentioned are collaborating on the ground at operational level.

As the Government look to create three new national forests and nine new river footpaths, deliver the best possible nature recovery programmes in ELMs and revise their EIP targets, can we ensure, for example, that the forests link in with existing SSSIs, national nature reserves or landscape recovery projects to create wildlife corridors which are more joined up and protected, as my noble friend Lord Gascoigne suggested? Our national forests could also be part of our 30 by 30 targets, as well as the ELM and landscape recovery schemes, provided they meet the criteria. The take-up of schemes for landscape recovery has been incredibly excellent and is beginning to make a real difference for nature recovery: that is farmers volunteering to farm for food and nature. A time may soon come when these could also be included in our 30 by 30 target, provided that they meet the quality thresholds.

Let me conclude on this note: the one area where the Government cannot blame the Tories—

[The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Baroness Hayman of Ullock) (Lab)]

Is there just one?

[Lord Blencathra (Con)]

There is more than one, but one area is our Environment Act, which has given us the tools for nature recovery for the first time in our history. I invite all colleagues to look at Sections 98 to 116, which include “Biodiversity gain”, the “duty to conserve and enhance” nature, “Local nature recovery strategies”, “Species conservation strategies”, “Protected site strategies”, controlling tree felling and “Habitats Regulations”. Add in “Conservation Covenants” in Part 7 and the ELM schemes from the Agriculture Act and we have the greatest raft of measures for nature recovery that this country has ever seen. As nature recovers in those areas, then they can become protected and could qualify for 30 by 30. I suggest to the noble Baroness, Lady Jones of Moulsecoomb, that these powers are better than the new commission she suggested, but I do wish her a speedy recovery for her trusty right boot, provided it is not used on me.

Indeed, the Labour manifesto, on page 58, calls it “our Environment Ac.t” I did not expect it to say, “Michael Gove’s brilliant Environment Act”, but what I take from that wording is that they will tweak the EIP targets and tweak some other things, but they will not undermine the excellent new levers in our Environment Act. Let us use every lever in that Act, not just to bend the curve on nature loss, but to achieve real, sustained and progressive recovery of nature in this country.

[Baroness Hayman of Ullock (Lab)]

My Lords, I thank the noble Baroness, Lady Parminter, for securing today’s debate and for her excellent chairmanship of the committee, which came out with this excellent report. I thank all members of the Environment and Climate Change Committee for their work. This has been an excellent and important debate. This is an area in which is challenging to move forward, and it is something that we need to get a grip on.

I thank noble Lords who have kindly welcomed me today and over the past few weeks. People have been generous and supportive, and I appreciate it very much. It is genuinely an honour to hold this position, following the example of the noble Lord, Lord Goldsmith, sitting opposite. I welcome the noble Lord, Lord Blencathra, to his role. As I am going to have to follow him in every single debate, it could be quite fun.

The report represents a wealth of expertise and insights into the state of nature in this country and offers many valuable recommendations on how we can make the changes that we need to rise to what the report calls “an extraordinary challenge”. I assure noble Lords that this Government are committed to charting a new course and ensuring that nature is truly on the road to recovery.

The Secretary of State has confirmed the Government’s intention to launch a rapid review of the Environmental Improvement Plan, to make sure it is fit for purpose so that it will deliver on our ambitious targets, including 30 by 30. We therefore think that this debate and consideration of the recommendations in the committee’s report are very timely. We want to make sure that those recommendations are properly considered as we carry out the work of the review of the EIP. While this work is clearly newly under way—we are a very new Government—I will do my best to address and respond to the points raised during the discussion as best I can.

As we have heard clearly today, our biodiversity is in crisis. Without nature we have no economy, no food, no health and no society. However, we now stand at a moment in time when nature needs us to defend it. Critical to those efforts is what we have been debating today: the 30 by 30 target to protect 30% of land and sea by 2030. As we have heard, it was the UK’s international leadership that helped to secure a global 30 by 30 target at the UN biodiversity summit in December 2022. I thank the noble Lord, Lord Goldsmith, for keeping going on this issue until he achieved it. What is the word I am looking for? Persistence, that is the word. Of course, he was supported in that by the noble Lord, Lord Benyon, and others. Their leadership made an ambitious commitment here in the UK, which we have to deliver on land and at sea.

Targets are meaningless if you do not actually deliver them, so I am pleased that the new Labour Government have renewed that commitment, and we are now focusing on how we can deliver it for the long term. That will be critical to supporting our wider priorities, including cleaner rivers, lakes and seas—the first of two water Bills will be coming shortly—and boosting food security; we have heard about farming. Those priorities also include protecting communities from the dangers of flooding and delivering our legally binding environmental targets.

With just over five years remaining until 2030, we are rapidly approaching the halfway point of this decade, yet unfortunately we are still one of the most nature-depleted countries in the world. That is why I am grateful for the contributions today; they are valuable in helping to inform how we move forward.

What is clear is the sheer scale of the extraordinary challenge we are facing. We have not yet seen the urgent step change that the report rightly calls for. Achieving 30 by 30 will require a clear vision and a delivery strategy to drive the urgent progress we need, but one that draws on the work already taking place across government and beyond. The 30 by 30 programme is about bringing these efforts together to ensure that more nature recovery actions have a lasting long-term legacy.

Importantly, it is also about collaboration between and right across sectors. The Government intend to take immediate action to realise the urgent step change needed, and are currently in the process of reviewing our approach. Later this year we hope to confirm the criteria for land that counts towards 30 by 30 in England in order to set a clear and ambitious standard to ensure that only areas that are effectively conserved and managed can contribute towards the commitment. In addition to confirming the criteria, later this year we will begin piloting the process for recognising land that already meets those criteria.

Building on the committee’s recommendations, that will help us to develop a process to identify land beyond protected areas that meets the 30 by 30 criteria and can be formally recognised as other effective area-based conservation measures, as was mentioned in the debate. These areas represent a unique opportunity to take a more inclusive approach and recognise where nature is being effectively protected outside of those designated sites. We desperately need a clear strategy to chart our course to meeting that target, and it is important that we continue to drive that work forward. This includes ensuring that our protected areas are delivering as they should be for nature.

Our national parks and national landscapes and the Broads—collectively, our protected landscapes—are extremely special places. We know that they cover nearly one-quarter of England and contain around half of England’s priority habitats, but we also know that they continue to suffer the effects of climate change and biodiversity loss. The noble Baroness, Lady Jones, mentioned Windermere and pollution. This is clearly an area that we have to tackle quickly, which is why we are prioritising our water Bill. We are committed to ensuring that these iconic landscapes become wilder and greener and deliver a significant contribution towards the 30 by 30 target in England.

At sea, the Government have taken significant steps to protect our marine environment. We have 181 marine protected areas, including three highly protected marine areas, and as a priority we need to work out how we are going to properly provide protection for them.

The noble Baroness, Lady Boycott, and others talked about bottom trawling. I assure noble Lords that we think it is extremely concerning and we understand its negative impacts. Our marine regulators have assessed all fishing activities on the protected species and habitats in our MPAs and identified bottom-towed fishing as a major pressure, so it is very much on our agenda. To support our 30 by 30 target, the Marine Management Organisation has introduced by-laws, which we heard about from the noble Baroness, Lady Boycott, to restrict the use of bottom-towed gear over sensitive habitats. More recently, in March the MMO introduced a new by-law restricting the use of bottom-towed gear over rock and reef habitats in 13 MPAs. That means that around 60% of our marine protected areas are now protected by by-laws that limit the use of damaging fishing gear used for bottom trawling. We are pushing that further and continuing to work on strengthening protections. Evidence was gathered last year on the impacts of fishing on seabed sediments, and further by-laws are being produced for consultation. So I assure noble Lords that we are taking the issue seriously and moving forward on it.

We are aiming for 48% of marine protected species and habitats to reach a healthy state by 2028, with the remainder in recovering condition. Natural England and the JNCC are developing an MPA monitoring strategy.

--- Later in debate ---

[Baroness Hayman of Ullock (Lab)]

I will try to remember where I was and what I was talking about. Oh yes—I was making lots of promises, was I not?

I talked about the fact that we are developing an MPA monitoring strategy in order to address progress on marine areas. We want to deliver this in March 2028, basically to make sure that we are making continuous progress in this area.

I turn to the specific points made in the debate; if I miss any questions, I will of course write to noble Lords afterwards. I just want to confirm that, later this year, we will confirm the criteria for land counting towards 30 by 30 in England; that was raised by a few people.

The requirement for long-term protection is one issue that was raised; clearly, it is really important. We know that committing land to long-term management can be an extremely challenging prospect for landowners, even those who want to deliver and work for nature conservation; we know that this has been hampered by short-term funding cycles and management agreements. What we are actively doing at the moment is considering the committee’s recommendation, as we review our approach to achieving 30 by 30, to ensure that we establish the most appropriate timescales for the long term and support people who want to work to that.

A number of noble Lords asked about SSSIs. In particular, my noble friend Lady Young of Old Scone talked about the importance of how they are counted, while the noble Baroness, Lady Parminter, talked about the quality of SSSIs being of critical interest and importance. We recognise the committee’s recommendation that, in order to count towards 30 by 30, they have to be in good condition. We are looking at how we can reflect the condition of SSSIs in our approach.

The noble Baroness, Lady McIntosh, asked specific questions regarding Natural England’s resources. Some of them were quite complex, so we will write to her with the detail.

The monitoring of protected sites also came up. The noble Lord, Lord Banner, asked about monitoring, as did my noble friend Lord Whitty, who is no longer in his place. The environmental improvement plan was mentioned; I mentioned it previously.

The noble Lord, Lord Lucas, asked specifically about the six-year cycle for looking at SSSIs. I want to let him know that the Joint Nature Conservation Committee has moved from a six-yearly assessment cycle, so that is not how it is going to continue. Instead, we are moving to a risk-based process for SSSIs, so that we can be much more targeted and efficient in how we assess them. As part of this, Natural England is developing a long-term prioritised monitoring programme and is working to make better use of new technologies such as remote sensing.

Citizen science and partnership working were mentioned. I assure noble Lords that citizen science is already being used to support assessments; for example, we are working with organisations such as the British Trust for Ornithology and the Botanical Society of Britain and Ireland in this area.

The noble Baroness, Lady Jones, asked about protected landscapes. Again, protecting these important landscapes is obviously incredibly important. The new Government are committed to working on how we can improve our protected landscapes so that they offer more to 30 by 30—basically, achieving their full potential going forward, because we know that, at the moment, they are not.

The noble Baroness, Lady Rock, asked about continuing the Farming in Protected Landscapes programme. I am not fobbing her off in any way at all and will come back to this when we talk about the budget but, at the moment, we are simply still looking at the spending review. I assure noble Lords that we have not made any final decisions about this issue, but clearly will be doing so.

The noble Lord, Lord Gascoigne, raised the review of the environmental improvement plan, which I mentioned earlier. I assure him that the review I mentioned will be completed by the end of the year. The idea is to provide a clear vision on how we are going to use it to achieve our environmental goals.

Marine monitoring, including HPMA monitoring, was mentioned by a number of noble Lords. The committee made a recommendation on expanding the current marine monitoring programme, both inshore and offshore. I am sure noble Lords are aware that this is an extremely complex process that requires long-term vision and, of course, investment. We want to work in close collaboration with Natural England, the JNCC and Cefas on what the future of that marine management should look like and the best practice to deliver against the statutory targets that have been set. It is also important that any data they collect complies with accessibility standards and is publicly available.

The noble Earl, Lord Devon, who has kindly given me apologies for having to get his train, asked about marine net gain. For the record, we are currently working to develop options, including timescales for the operation of that policy. It has not disappeared; we will provide more information in due course.

Further on marine, the noble Lord, Lord Blencathra, asked about the Blue Belt. I can give him a firm yes; we support the Blue Belt, which is very important.

The noble Baroness, Lady Jones, asked who the Minister responsible for international development is. I can confirm that it is Mary Creagh MP.

The noble Lord, Lord Blencathra, asked about overseas territories, including Darwin Plus. The committee rightly recognised that the overseas territories will be integral to the UK’s contribution to the global biodiversity framework goals and targets, and calls for effective partnership working. Clearly it is for the individual territories to decide how they want to work within this and how they want to work with us, but we are working closely with the Governments and Administrations of the overseas territories to develop a new overseas territory biodiversity strategy. I assure noble Lords that we are working hand in hand and looking to move forward in this area.

The noble Baroness, Lady Jones, asked about the Global Ocean Treaty. I confirm that we fully agree with her on the importance of the Agreement on Biodiversity beyond Natural Jurisdictions for protecting our marine environment, especially for achieving 30 by 30 for the ocean under the global biodiversity framework. It is important that we show progress on that; we want to make progress and to work with the international community to deliver on these agreements. My understanding is that at the moment the FCDO and Defra teams are working together to come up with a realistic timeline to introduce the necessary legislation for UK ratification.

The noble Baroness, Lady Miller, asked about citizen science and partnership working. These are critical. That is something that we are building through the work we are doing in looking at how to achieve results. The role of partners is going to be incredibly important. This is a huge collaborative effort and we have to work in partnership. The public sector, the conservation sector, farmers, developers and business: we all have to come together if we are genuinely going to achieve these targets.

The noble Earl, Lord Caithness, asked about partnership details for specific organisations. I will just say that we are looking right across the piece to see how we can deliver with partners.

My noble friend Lord Grantchester mentioned the devolved Administrations. This is an important opportunity to work collaboratively with the devolved Administrations as we review and develop our approach here.

The noble Lords, Lord Gascoigne and Lord Harlech, asked about building and the environment. The green belt in particular was mentioned. We are consulting on what we are referring to as the grey belt, which are the areas that are designated as green belt but are not of good standard. Part of the reason for consulting on and talking about the grey belt is to make sure that we protect the green belt that is of value—pulling out the areas that are not, but protecting the areas that are important.

There was a lot of discussion around ELMS. I shall try to cover a few bits but clearly time is ticking on. Just to confirm, we are absolutely committed to ELMS. My honourable friend Daniel Zeichner, the Farming Minister, is working really hard, talking to stakeholders and looking at how we develop ELMS to make it more fit for the future, particularly around such things as nature-friendly farming. Our manifesto said that

“food security is national security”:

we want to work with farmers and other stakeholders, including tenants. We take the needs of tenants and their rights very seriously. There is a lot of good work going on there.

That brings me to the Budget. As I say, we are still in discussions and nothing has been agreed or decided yet on whether there will be any cuts to the farming budget.

The noble Lord, Lord Lucas, mentioned the OECMs. Again, we will be looking at the committee’s recommendations around this to develop a process to identify land outside the designations. In that same vein, the noble Lord, Lord Blencathra, talked about national nature reserves. I just say that many of these are already in SSSIs, so already contributing.

Finally, the right reverend Prelate the Bishop of Norwich talked about forest schools. My granddaughter has just finished three years at a forest school. She has thrived and grown and it has been the most wonderful experience for her, so I have huge admiration for the work that they do.

Once again, I thank the noble Baroness, Lady Parminter, for securing today’s debate and her committee for all its work. It is a huge piece of work and can greatly inform the Government as we actively consider the recommendations it sets out. I look forward to working constructively with everybody in this Room as we go forward and will write if I have missed anyone’s question.

Water Companies: Financial Resilience

Baroness Hayman of Ullock Excerpts

Tuesday 23rd July 2024 Lords Chamber

[The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Baroness Hayman of Ullock) (Lab)]

My Lords, Ofwat monitors the financial position of water companies, taking action when companies need to strengthen financial resilience. Ofwat has strengthened its powers to improve financial resilience, including requiring water companies to stop paying dividends where that is compromised and preventing customers funding executive bonuses where companies do not meet performance expectations. Our water Bill will put water companies under tough special measures by strengthening regulation, as a first legislative step towards improving the sector.

[Lord Sikka (Lab)]

My Lords, I welcome the Minister to her post but let me illustrate the problems by referring to Thames Water. Its shares are worthless and its bonds are close to junk status, while 38% of its revenues service £18 billion of its debt. Based on the debt to asset ratio, Thames Water has a gearing of 80.6%; Ofwat’s target is 55%. The debt to equity ratio used by credit rating agencies gives it a gearing ratio of 1,000%. No amount of regulatory tinkering can change the fundamentals here. The Government need to create some certainty by nationalising it, so can the Minister tell us when that will happen, please?

[Baroness Hayman of Ullock (Lab)]

I thank my noble friend for his very warm welcome. However, the Government have no plans to nationalise Thames Water. It would cost billions of pounds and take years to unpick the current ownership model, during which time underinvestment in infrastructure and sewage pollution would only get worse. We want to improve the situation in the water industry that we find ourselves in as quickly as possible.

[Lord Forsyth of Drumlean (Con)]

My Lords, I welcome the noble Baroness to the Front Bench, but does she accept that simply fining the water companies for not meeting their obligations just adds to the costs of the consumer? Until we do as we have done with health and safety, which is to make the directors personally liable, we will make no progress. Have the Government any plans to do this?

[Baroness Hayman of Ullock (Lab)]

The water special measures Bill that we will bring in front of your Lordships shortly is going to deliver on our manifesto commitment. As well as strengthening regulation, it is designed to make sure that the water industry will be fundamentally changed and transformed. It will ensure that water company bosses are not rewarded with bonuses if a serious environmental breach is committed. It will strengthen and enhance the ability of regulators to bring robust charges against water companies and executives when they have committed offences, including through automatic and severe fines. It will also require that water companies install real-time monitors, so that we can actually see what is going on. I also reassure the noble Lord that this is just a start.

[Lord Cromwell (CB)]

The Ofwat website refers to an £88 billion programme of investment that will go into the infrastructure, and describes this as

“initially … funded by shareholders or through borrowing, with these costs then recovered”

from consumers over five years “and beyond”. Does the Minister have any concern as to whether that money will actually be raised, and does she share my concern about the financial resilience of consumers to pay for it over time?

[Baroness Hayman of Ullock (Lab)]

As the noble Lord quite rightly says, Ofwat has set out a record £88 billion upgrade so that we can deliver the cleaner rivers and seas, and better services for customers, that we need. It is absolutely not right that the public should pay the price for years of mismanagement in the water sector. Any water bill rises are the result of these years of failure, but it is important that we do not put too much on to vulnerable customers, so officials are exploring options for improving affordability measures in the sector.

[Earl Attlee (Con)]

My Lords, is Ofwat fit for purpose?

[Baroness Hayman of Ullock (Lab)]

At the moment we are working closely with the regulators, including Ofwat, to ensure that they are fit for purpose and can deliver what is needed in the sector.

[Lord Whitty (Lab)]

My Lords, further to the question of the noble Earl, Lord Attlee, I speak as a former non-executive director of Ofwat for a few months, and as a former non-executive director of the Environment Agency for a few years. Ofwat was always feeble. The Environment Agency has been rendered feeble by a cut in resources and asking the companies to report on their own homework. What is needed is a new and powerful single regulator for the water sector. Do the Government have plans, at least in the medium term, to move to that?

[Baroness Hayman of Ullock (Lab)]

My Lords, we are working with Ofwat and the water companies to deliver change as quickly as possible. As I mentioned, the first thing we are doing is bringing in the water special measures Bill to try to change the culture within the water companies. We will work on another water Bill that will come forward, and I look forward to working with all noble Lords, including my noble friends, on what that could contain in order to make the biggest difference to the current situation.

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, Thames Water is in a precarious state due not only to its financial position but to the poor quality of drinking water and sewage treatment facilities. Are the Government taking action to ensure that those living in the Thames Water area will have access to adequate and safe drinking water now and into the future while they sort out the financial issues?

[Baroness Hayman of Ullock (Lab)]

There is no way we would allow there not to be safe drinking water during the current financial situation. The drinking water directive works extremely hard to ensure that we have safe water in this country. Although Thames Water clearly has financial issues, that should not be affected.

[Baroness Jones of Moulsecoomb (GP)]

I too welcome the noble Baroness to her new post; I am sure she will be superb. How many water companies are currently financially resilient?

[Baroness Hayman of Ullock (Lab)]

I thank the noble Baroness for her welcome. I am sure she has seen the environmental performance assessment that came out today. It reports that most companies continue to underperform and there continue to be a lot of concerns in this area. On the specific question she asked, I will write to her with the proper information so I know I am accurate.

[Lord Moylan (Con)]

My Lords, I also welcome the noble Baroness to her place. In response to the question of the noble Lord, Lord Sikka, she was very clear that the Government did not intend to nationalise Thames Water. However, can she clarify whether she is ruling out, or admitting the possibility of, special administration, which is contained in the current arrangements and is a means by which the shareholders and the debt holders who lost money would be cleared out and the company cleaned up, so to speak, for onward sale on a more robust financial basis? Is that contemplated by the Government as a possible route?

[Baroness Hayman of Ullock (Lab)]

Currently, the regulator is working with the company to look at the best way forward, and the company is looking for further investment.

[Baroness Blower (Lab)]

My Lords, speaking as a Thames Water customer who is not very confident or happy, I was pleased to hear that I might at least have drinking water going forward. All water companies are using financial engineering to overstate their investment and capacity to pay dividends. They all capitalise part of their interest payments, which is, frankly, a highly imprudent policy and was a major reason for the collapse of Carillion. Are the Government content with that?

[Baroness Hayman of Ullock (Lab)]

There are clearly serious problems in the water industry that have been building up for a number of years. We are looking at all options and ways forward to improve the situation, and, clearly, modelling of how companies operate will be part of those discussions.

[The Archbishop of Canterbury]

I join in congratulating the noble Baroness on her appointment. Picking up on the previous question, which is very much the point, is it not true that the shareholders of Thames Water and others have made extraordinary returns by financial engineering, well in excess of what one would expect to make from a utility, which should be low risk and low reward? In looking at the future structure, will the Government put in place measures to prevent the over-return to shareholders by means of financial engineering, and limit the upside so that utilities are run basically for their customers and not simply for the short-term gain of those who have them?

--- Later in debate ---

[Baroness Hayman of Ullock (Lab)]

That is an extremely good point, and very well made. The problem is that we should have had firm action from government to ensure that action was taken much earlier so that money was spent properly on fixing the system, rather than paying dividends and bonuses to company shareholders and not looking at how the company was being financially operated in a way that worked for both customers and the environment.

South West Water: Brixham Contamination

Baroness Hayman of Ullock Excerpts

Wednesday 22nd May 2024 Lords Chamber

[Baroness Hayman of Ullock (Lab)]

My Lords, recent events in the Brixham area have once again highlighted the sorry state of the water sector, yet just this week water companies in England and Wales have asked the regulator for permission to increase bills by up to 91%. They say that this is necessary to improve the water network, something that Professor Chris Whitty says is a public health priority as well as an environmental one. This pressing need has not prevented United Utilities increasing its dividend payments by nearly 10% while at the same time polluting Lake Windermere. Other firms are increasing payouts to investors despite their poor performance. Is it not time for the Government to call time on the current system by putting water companies into special measures and ensuring that law-breaking bosses face criminal charges rather than receiving bumper pay packets?

[The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Lord Douglas-Miller) (Con)]

I thank the noble Baroness for her question. We have debated a number of times the issue of special measures, and I think I have been clear in the House every time I have stood at the Dispatch Box that the Government will use special measures when the criteria for them are met. I accept that that is quite a high bar, but there are a number of other options for all those water companies that they should fully explore before the Government will consider putting them into special measures.

Official Controls (Location of Border Control Posts) (England) Regulations 2024

Baroness Hayman of Ullock Excerpts

Wednesday 22nd May 2024 Lords Chamber

Finally, on 18 April the UK Government told the country’s port authorities in a presentation that they would not turn on critical health and safety checks for EU imports when post-Brexit border controls began, on 30 April, because of the risk of significant disruption. I am now confused as to how many ports in the UK are in practice operating these checks; are there a number of ports where they are not taking place? If that is the case, can the Minister clarify to us how many of the ports are operating those checks, how many are not, and how long it will be before the whole system is operational? How have we got to the point where 30 April was announced and yet the Government appear unprepared?

[Baroness Hayman of Ullock (Lab)]

My Lords, I thank my noble friend Lord Berkeley for bringing his regret Motion for debate this evening.

Speakers have raised concerns about how operating the inland BCPs will potentially make it more difficult to manage biosecurity and food safety risks. The noble Baroness, Lady Bennett of Manor Castle, went into some detail around specific concerns. The Secondary Legislation Scrutiny Committee discussed these risks with Defra, and in its response Defra acknowledged that there was a small risk because of this approach. In its report, the SLSC said:

“We agree that the use of inland BCPs does not make it more likely that harmful goods are not detected. It is a concern, however, that transporting goods and live animals from a port to be checked at an inland BCP, especially where this is located at some distance away, makes it more difficult to contain potential biosecurity risks than carrying out these checks within the compounds of a port”.


As other noble Lords have said, I would like to press the Minister on how the Government plan to manage these risks effectively, as Defra has acknowledged that there is a small risk.

As my noble friend’s regret Motion is mainly around drivers, I will concentrate on that. We know that lorries must drive 22 miles from Dover to the border control post at Sevington. Anyone found to be carrying unsafe or contaminated food could then be asked to turn around and drive back again. As we have heard, there is not enough information or instruction on what drivers are supposed to do. The Government have not explained how lorries will be monitored between the port and the control post or how they will ensure that goods which have been identified as unsafe leave the country.

I was interested in the comments from Nan Jones, the policy technical manager at the British Meat Processors Association. She has asked how we will ensure that those products get back on the ferry. With that gap, how do we know that they have not unloaded a load of products when they have been rejected? Returning a large consignment of high-value product such as meat would constitute a big loss for a business. Relabelling a product and finding an alternative market such as a wholesaler or restaurant could be tempting. She added that, once it is in the country, if you are that way inclined there are many ways in which you can disguise it.

We know that drivers need a lot of support through the changes because the impact of new border controls on drivers can be pretty significant. We know that there is increased documentation and checks, a lot of additional paperwork, that safety and security declarations, customs forms and other documentation will be required. While you need documentation to ensure compliance with regulations to prevent illegal activities, it is a lot of extra work for drivers to ensure that they are compliant with.

We also know that you could end up with longer waiting times at border crossings. All of this we have discussed at length. However, it does put a lot of extra pressure on drivers. Efficient planning and understanding of any new requirements will be crucial for drivers to deliver on time and in a manner that they should be doing. We also know that fuel costs could rise because of longer waiting times at border check points. Various businesses have raised concerns about that with us.

Drivers need to understand what is happening. These relations are evolving. How do they ensure that they adapt their processes in a way that is compliant with all the biosecurity and safety measures that are coming in? If they are not careful, quite accidentally they could end up with penalties. It is important that proper information is available for drivers.

I want to mention a letter that the Cold Chain Federation trade group wrote to Steve Barclay, the Environment Secretary. The group was concerned that volumes of illegal meat seized at Dover were a demonstration of the determination of criminals to bring in and trade in illicit goods and that

“the 22-mile corridor now open to them (or indeed, other criminals to intercept high value goods) adds further risk to the UK food chain in that it provides numerous routes to exit from the inspection process”.

The noble Baroness, Lady Randerson, went into some detail about concerns about illegal behaviour. She also mentioned the short straits routes. I will not go into that, as we discussed it at length in the last debate, but these are real concerns for industry.

There have also been concerns that the Government’s plans to manage the risks effectively and enforce the arrangements in practice are not necessarily laid out and that there is not enough understanding about how that will work. That includes whether the authorities will be able to monitor properly whether the lorries are carrying out the checks that they are being instructed to do. How is that all being managed?

What plans are there to ensure that drivers who do not speak English properly understand the information and what they are supposed to be doing? I am sure that the Government will have something in place, but it would be good to have confirmation of that.

I would like to raise one final thing. Another potential problem is that UK government computer systems used to identify potentially risky consignments are prone to errors, which could send thousands of trucks for physical inspection. According to the Financial Times, people who attended a meeting on border management with Defra said that officials admitted the error rate was currently 33%. I am not sure if the Minister was at that meeting, but it would be interesting to know if that is correct.

[The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Lord Douglas-Miller) (Con)]

It is absolutely a delight to be here this evening and to get such a warm and thoroughly lovely reception from everybody. I start by thanking the noble Lord, Lord Berkeley, for the privilege of standing at the Dispatch Box in this important debate, and all of those who have spoken for their thoughtful and constructive comments.

The legislation that is the subject of this debate has been instrumental in implementing the second phase of the border target operating model. New controls under the model began on 30 April, and I am pleased to report that, contrary to some of the press speculation and some of the comments made this evening quoting the press, checks have been introduced successfully at border control posts throughout the country. Defra will continue to monitor the controls and the impacts, and their effectiveness.

The noble Lord, Lord Berkeley, and the noble Baroness, Lady Hayman, asked how the Government intend to ensure that drivers of vehicles subject to controls attend the inland border control posts. Drivers will be instructed, if their goods have been called for an inspection at a border control post, by a port official at the point of entry or at the short straits through a digital system. That system comes up on their telephone, and their telephone number has to be inserted into the system for the electronic IPAFFS to actually pass; they cannot get in without that information being on the system. It cannot fail and so far has not failed.

Where a physical check is required, goods cannot be legally placed on the UK market until the load has been taken to a border control post, inspected and cleared. An instruction to attend a border control post for an inspection constitutes a legal requirement. Should a vehicle fail to attend a border control post, officials can require the return or destruction of the goods for the relevant local authority to carry out controls, such as identity or physical check. There is no evidence so far of traders taking advantage of Sevington’s inland location to circumvent checks.

The noble Lord, Lord Berkeley, also asked what a consignment is. It is a range of goods covered by the same certificate, which is pre-filled to enter the country through any of the border control posts.

The noble Baroness, Lady Bennett, took some delight in telling me that that we were failing on pretty much every single front in the system that we have implemented. She gave me a few examples, which I did not recognise. I am sure she would understand that this is a very significant change to what has gone on before. We have not ever done checks at our borders, or at least not for a very long time. The imposition on businesses importing into this country is significant, and the Government are well aware of the cost and the time and trouble this will cause. At the same time, I think that she would agree with me that it is extremely important that we do this for our own biosecurity. There are multiple reasons, which I think we would collectively agree on, for why we are doing this.

For many years, we have done nothing. We are now starting to build up our new border controls and biosecurity controls. To go from nothing to everything in one go would undoubtedly have created the scenarios the noble Baronesses, Lady Randerson, Lady Bennett, and others keep telling are happening at the moment. They simply are not, and I gave a clear instruction at the beginning of the process that we want a pragmatic approach. We are not in the business of closing down UK business, but we have an imperative to check and to build up those checks over a period of time, taking a risk-based approach. It is not helpful to be told that we are not doing everything we should be doing. Of course we are not: we are in week two. We may be doing everything in a few months’ time, and perhaps somebody else will be standing here at the Dispatch Box answering questions on that. I think and hope that they will see the benefit of taking a pragmatic approach, because we do not want to stop trade in this country.

The noble Baroness, Lady Bennett, said that she felt that there were not adequate staff at Sevington—it is not “Severington”, just for information. I am not sure whether the noble Baroness has been there, but I have. I have spoken to the staff and seen them operating there, and I can tell her that it is working very well and is fully staffed, so I do not recognise the comments that were made.

There were comments too about getting from Dover to Sevington, which is 21.7 miles away, and the risk that might constitute. Of the goods coming in to Sevington, 99.9% are from organisations we trust and know; it is a formality to check that there has not been a mistake, and that we are not inadvertently bringing in some pest or disease. The people coming to Sevington are not looking to import things illegally into the UK; they are following our rules. They have export health certificates, have followed the whole system all the way through and have loaded everything up on to the system; we are simply checking that all those formalities have been done correctly.

We should not conflate that with the illegal importation of meat that comes in primarily, but not exclusively, through Dover, which is brought in by a van and a driver from Poland, Romania or somewhere else. Those people will never go to Sevington: they are not on our system and we do not even know they are coming. It is really important to avoid conflating those two things. If you do, you get very confused about what Sevington and every other border control post in the UK is trying to do. Stopping illegal imports is the job of Border Force at the border. Checking goods that are coming in through our prearranged system is the job of our border control posts. They are fully manned and fully operational across the entire country.

The noble Baroness, Lady Hayman, asked me about an error rate of 33%. That number is not familiar to me—I have never heard of it—so I will go away and check. If the rate is anywhere near that, I will certainly write to the noble Baroness.

With that, I will conclude. Once again, I thank all those who have spoken this evening for their thoughtful and valuable comments.

Water Companies: Failure

Baroness Hayman of Ullock Excerpts

Tuesday 21st May 2024 Lords Chamber

[Lord Douglas-Miller (Con)]

The noble Lord raises a very good point. Undoubtedly, mistakes were made in how water companies reacted over the past 10 or so years, when interest rates were very low. Now that interest rates have risen, so have the costs of the borrowings, which have created a number of difficult financial implications for them. However, we all hope that interest rates are falling.

[Baroness Hayman of Ullock (Lab)]

My Lords, my noble friend Lord Dubs mentioned contaminated water, and there is now evidence that faeces-contaminated water has been detected in 10 areas of England and Wales. Is the Minister absolutely certain that nobody here today has drunk contaminated water?

[Lord Douglas-Miller (Con)]

I will just drink this glass of water—bottled water. I assure the noble Baroness that it is very good.

Management of Hedgerows (England) Regulations 2024

Baroness Hayman of Ullock Excerpts

Monday 20th May 2024 Grand Committee

[Baroness Lawlor (Con)]

My Lords, I rise briefly to say that I welcome these regulations very much. I am very glad that the department is taking its responsibilities to hedgerows seriously, but I think we could be encouraged to do a little bit better than the EU. I echo what noble Lords have said about extending the period, perhaps, or encouraging alternate sides of the hedgerow. Are there are any plans to do so? I say this not just because of the shelter they give wildlife or the food for birds over the winter but because there are some birds, such as the blackbird, that can have a late brood in August. After 31 August, these fledglings may seek shelter on the ground beneath the hedgerows. I think that maybe we could think of extending the period in certain parts.

I also echo the question about whether there is any requirement on local authorities; will the regulations extend to local authorities or just to privately owned land? I leave it at that, but I would be very grateful to hear any thoughts.

[Baroness Hayman of Ullock (Lab)]

My Lords, we welcome this statutory instrument. We have heard that a regulatory gap arose when cross-compliance was withdrawn at the beginning of this year. Our concern is that the SI was not progressed more quickly, because the no-cutting period it covers is from 1 March to 31 August, so cutting has been permitted that is not going to be permitted next year and has not been permitted in previous years, so getting this new system in place as quickly as possible must be a priority. I was interested in the question asked by the noble Earl, Lord Russell, about whether there is any evidence of what damage has been done in the meantime and, if so, what will be done to mitigate that.

My noble friend Lady Young of Old Scone said that this is a bit of a missed opportunity because we could have done better than the former EU protections, and she went into some information about that. We have heard that the main issue is the three exemptions from the former cross-compliance—fields under two hectares, hedgerows younger than five years and exemptions to the no-cutting period—so I will not go into detail around that. Despite the fact that some noble Lords, particularly the noble Earl, Lord Leicester, who is no longer in his place, mentioned that farmers and landowners on the whole follow best management practice, and we do not want to undermine the work that farmers do, the exemptions should have been carried across wholesale into the new regulations because otherwise hedgerows are not protected. It is important that we have those protections in place in law for sound environmental reasons.

The noble Earl, Lord Russell, mentioned enforcement. The SI embraces a different approach to enforcement that we have been seeing across farming more broadly. In other words, it is now advice-led, which will improve trust and drive better outcomes. Interestingly, the SI allows a defence of mistake when regulations have not been followed, whereas cross-compliance always said a breach is a breach, even if that breach was a mistake. I think we would in principle support that because there is no point in punishing farmers if they have made a genuine mistake, but it takes more time and resources for the Environment Agency to implement the new approach. The noble Lord, Lord Teverson, asked who enforces this. My understanding is that it is the Environment Agency, but perhaps the Minister could confirm that. How is that slightly more complex enforcement going to be resourced and managed? One of the reasons for asking is because new data has shown that the majority of deadlines that were issued as part of this new advice to farmers to improve the environment were missed. It is just about making sure that it all comes together and works effectively.

Martin Lines, from the Nature Friendly Farming Network, who we all know well, said in an article that he thinks large food corporations bear significant responsibility for this. Does the Minister agree with that? Where has the evidence come from?

Agriculture (Delinked Payments) (Reductions) (England) Regulations 2024

Baroness Hayman of Ullock Excerpts

Monday 20th May 2024 Grand Committee

[Earl Russell (LD)]

My Lords, on these Benches we have real concerns and questions in relation to these regulations. This instrument was debated in the Chamber of the other place. The Explanatory Memorandum states:

“This instrument sets the percentage reductions which will be applied to delinked payments in England for 2024. Delinked payments were introduced on 1 January 2024 in place of Direct Payments to farmers under the Basic Payment Scheme … in England … As part of moving away from the Common Agricultural Policy, the Government has been gradually phasing out Direct Payments in England. It is doing this over an agricultural transition period (2021 to 2027), as provided for in its Agriculture Act 2020”.


We support the overall approach, so we will not be opposing the SI, but we have concerns about the process of transition of farm payment mechanisms in general, the resultant department underspend to date and the impacts that these are having on farmers, their economic welfare and, in many cases, their very economic survival.

The debate today so far has largely mirrored that which happened in the other place, most people being supportive of the long-term transition and policy objectives, but equally being deeply concerned about the implementation of that transition. These changes need to be assessed against the broader implementation of the whole package of measures. The truth be told, our farmers are really struggling to survive financially.

As has been said, we have had one of the wettest winters since 1836. In many cases, winter and spring crops have not been planted and livestock farmers have also suffered. The NFU farming confidence survey, published just a few weeks ago, showed that mid-term confidence is at its lowest since records began in 2010. Because of a lack of confidence, production intentions are plummeting within all farm sectors. That cannot be good for farmers or our food security. Also, the relentless wet weather has caused farmers real hardship: 82% of respondents to the NFU survey said that their business had suffered, which cannot be good either. We are increasingly seeing the impacts of climate change and I ask the Government and the Minister to be more flexible and responsive to the impacts of climate-related events on our farmers. The Government must recognise the role that farmers play in flood prevention and adequately reward them for the important work that they do in mitigating floods and protecting us from further flooding.

We have this £200 million underspend in Defra and are now four years into a seven-year transition under the SFI. The NFU survey also found that profitability had fallen for 65% of respondents. We have this big period of transition, weather events and real economic hardship for our farmers, so questions must be asked about the impact of these regulations against this overall background.

The Explanatory Memorandum states that

“compared to applying no reductions at all, the 2024 reductions set in this instrument will release around £970 million to £1,010 million”.

These are huge amounts of money, and we are worried about the impact of this change. The Government must be in possession of an overall impact assessment of the transition to ELMS to date, but this information has not been published. I ask them to be more open and flexible with the information they provide.

The Minister in the other place said of the overall budget that it is the same cake and that budgets are not being reduced. Against this, some of the slices have not been eaten because there were underspends, the department is undertaking new and more complex sets of measures around supporting farmers to undertake environmental stewardship, with a greater number of schemes being developed overall, and new organisations are now eligible for payments. Added to this, we have had the rise in inflation, which means that the budgets were not as large as set out.

All of this is adding increased financial impact; farmers are being asked to do more and there are more schemes, so the money is being subdivided to a greater extent. Given that no impact assessment is included with this SI, how does the Minister expect us to make adequate judgments about the money being provided and the decisions that lie behind that? What is the factual basis for the figures the Government have put forward? How confident are they that they have the right figures, that they are set at the right rates and that they are capable of achieving the policy objectives?

Finally, what is Defra doing to improve the situation for our farmers? What assessment has it made of the overall support that farmers need and how best it should be provided at speed and at scale? What other problems has it had to date with the implementation of the present system? What is being done to support small farmers and tenant farmers, in particular to make applications? The Minister proudly stated that half of farmers have made applications; by that same logic, half have not engaged with these schemes as yet, so how can we do more to bring them into these schemes and make them work more effectively?

[Baroness Hayman of Ullock (Lab)]

My Lords, we do not oppose this SI, as we did not oppose the agricultural transition plan, but we think that the implementation of ELMS and the agricultural transition away from the BPS need to work much better and the Government need to look at how they can provide better support for farmers while this transition takes place. The noble Baroness, Lady McIntosh of Pickering, asked specific questions about small farms and tenancies; they are having particular challenges, so it would be good to hear from the Minister on that.

We have heard a lot today about how climate change continues to threaten farmers’ livelihoods. I am sure the Minister is aware that the NFU has suggested delaying ELMS while certain things are sorted out. While we have some sympathy because of the struggles farmers have had recently, delaying the implementation of ELMS and the phase-out of basic payments is not the solution.

Policy-driven agricultural practices have been one of the single biggest drivers of wildlife loss in the UK over the past 50 years. We are concerned that, if you start delaying the ELMS rollout, all you will do is create more uncertainty at a time when farmers desperately need certainty. They need to be able to plan—and to plan to farm in a way that provides food but also benefits nature. As my noble friend said, we will not reach net zero or be able to tackle species decline and biodiversity loss without the widespread adoption of nature-friendly farming practices. We have also heard that the biggest long-term risk to our food security comes from climate change and environmental degradation. That is why it is important that we get these schemes to work effectively for farming.

My understanding is that there is almost a £1 billion funding gap for agriculture to meet existing nature-recovery and net-zero targets. I do not expect the Minister to pull £1 billion out of his back pocket, but it demonstrates that this is a huge problem that needs addressing. Instead of doing what the NFU has suggested and pausing ELMS, have the Government thought about using the emergency financial measures available to them in Section 21 of the Agriculture Act? There are powers to add an additional emergency fund on top of SFI for farms that are suffering the greatest climate damage. Have the Government looked at that as a way of supporting farmers? Given the terrible weather we have had, including flooding, would that be an option?

I want to look at some of the farmers’ concerns, because the NFU is clearly not happy with the way things are at the moment. The noble Earl, Lord Russell, talked about many of the concerns in the NFU’s latest annual farming survey, which gives a good overview. It shows the lowest level of confidence in at least 14 years, and extreme weather and the phasing out of subsidies are cited as the primary drivers. Tom Bradshaw, the new president of the NFU, said his concern was that,

“if members don’t have confidence, then we as a country can’t deliver food security”.

That is a real worry.

One factor in that is the weather, about which we have heard a lot, but what was quite striking about the survey was that mid-term confidence had been hit harder than short-term confidence. That is striking because it shows that farmers are losing trust in the Government’s ability to support them through this transition period and during the challenges of climate change. Will the Minister comment on that? How are the Government working to bring back farmers’ trust? It is very important.

On the weather, analysis by the non-profit Energy and Climate Intelligence Unit forecast that crops could be down by nearly one-fifth as a result of the wet weather, and that it was likely that prices for bread, beer and biscuits, for example, would rise. Has Defra made any forecast of the impact of continued bad weather on inflation and on harvests, for example?

The NFU is concerned that the combination of the BPS being down by 50% and all these extra pressures will mean that farmers are more likely to borrow. Borrowing is more expensive, and the NFU is concerned that, as Tom Bradshaw, put it, we are facing

“the perfect storm of events”.

This is about looking at the bigger picture of how the Government will support farmers. What steps are they taking, or proposing to take, to support farmers with those extra costs?

We know that red diesel has been a particular problem, but I am not expecting the Minister to answer the difficult questions around red diesel today. I have spoken before about the benefit that family co-operatives can bring when costs are high. Have the Government looked at that, particularly around investing in new machinery, which can help to mitigate some of the difficulties that farmers are facing?

Finally, we completely agree that we need a fairer system of payments based on the principle of public support for public goods, which ELMS is bringing in, but the Government need to grasp that more must be done to make the system work much more effectively than it does at present for farmers and the environment.

Animal Welfare (Livestock Exports) Bill

Baroness Hayman of Ullock Excerpts

3rd reading
Tuesday 14th May 2024 Lords Chamber

[Baroness Bakewell of Hardington Mandeville (LD)]

My Lords, we are at Third Reading; I will be brief and will not ask questions. I thank the Minister for his good humour and patience during the passage of this vital Bill, which had total cross-party support from the most ardent animal rights supporters in the Chamber. Although some of us might have preferred amendments, it was essential that the Bill pass without delay, and I congratulate the Minister on achieving its speedy passage.

[Baroness Hayman of Ullock (Lab)]

My Lords, as it is Third Reading and this is supposed to be formal, I shall be very brief and just say how delighted I am to see how swiftly the Bill has made its passage through both Houses. It is an important Bill that many of us have campaigned to see for many years, and I very much welcome it and thank all those who have been involved.

[The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Lord Douglas-Miller) (Con)]

To be honest, that was a slightly longer list of questions than I was expecting at this stage.

First, I thank all those who have been so kind to support the Bill. I am acutely aware that an awful lot of individuals, Members of this House and the other place, members of the public and other organisations, have been campaigning for this Bill for a very long time, and I am delighted that we have got it to this stage. I am also acutely aware that there are some challenges in certain places where I have been unable to satisfy the noble Baroness, Lady Hoey, and the noble Lord, Lord Empey, on the specific details. However, I think that they are acutely aware that it is probably beyond my remit to address those issues. I have tried extremely hard through both individual engagement and the debates that we have had up to this stage to put the Bill in the position that I think we all want it to conclude on, which is one where it will pass.

Therefore, I feel sad that I cannot satisfy everybody in this space, but I genuinely believe that we can collectively be proud of this Bill, and it does exactly the right thing at this moment in time.

Fly-tipping

Baroness Hayman of Ullock Excerpts

Tuesday 14th May 2024 Lords Chamber

[Lord Douglas-Miller (Con)]

The noble Lord raises a series of extremely good points. By the very nature of fly-tipping, as he rightly points out, it is extremely difficult to be in the right place at the right time when someone is doing it. I completely accept that there are limitations around this. However, the Government have introduced a number of new initiatives, such as the use of cameras, to help councils on this issue. It is very difficult to deal with it. To be honest, my personal view is that it is an education issue rather than an enforcement issue, but we are probably getting a little off topic.

[Baroness Hayman of Ullock (Lab)]

My Lords, the Minister has outlined some of the initiatives that the Government are bringing in to help combat this, which is clearly welcome, but recent figures show the number of fixed-penalty notices issued decreased by 19% and the number of court fines decreased by 17%. There is no point in bringing in new initiatives and increasing penalties if they are not used. Is the Minister satisfied that sufficient resources are supplied to local authorities and the police to ensure that fly-tippers are caught and properly punished?

[Lord Douglas-Miller (Con)]

The noble Baroness raises the issue that the previous noble Lord also raised. It is extremely difficult, by the very nature of the activity, to police it 100%. In his Anti-Social Behaviour Action Plan, the Prime Minister made it clear that councils should take a tougher approach to enforcement and make greater use of the fixed penalties available to them. We have also taken steps to encourage councils to issue more of these penalties by increasing transparency on their use, through the publication of annual enforcement league tables. Councils must also now invest the income from this in enforcement activity and clean-up.

Pet Abduction Bill

Baroness Hayman of Ullock Excerpts

2nd reading
Friday 10th May 2024 Lords Chamber

[Baroness Hayman of Ullock (Lab)]

My Lords, I thank the noble Lord, Lord Black of Brentwood, for sponsoring the Bill and introducing it so eloquently. I also thank Anna Firth MP for bringing it forward in the other place. We very much welcome the Bill. We support it and want it to reach the statute book swiftly, so we are pleased that it has the support of the Government.

We have heard today that dog and cat abduction can happen for a number of reasons, which, sadly, can include resale, extortion, breeding and sometimes even dogfighting. We have heard how devastating this can be for the owners and how much distress and sometimes cruelty it can bring to the animals.

I am sure that the noble Lord would be surprised if I did not ask about the Animal Welfare (Kept Animals) Bill, mentioned by the noble Baroness, Lady Bakewell of Hardington Mandeville. It was such a shame that it was stopped when it had cross-party support. The proposals that we see today would have been brought into law much quicker if the Government had kept that Bill.

Having said that, we have heard that the Bill will create two new offences, of dog abduction and cat abduction, carrying a maximum penalty of five years’ imprisonment, a fine or both. The noble Lord, Lord Blencathra, talked about proposing an amendment regarding penalties. As he and the noble Lord, Lord Holmes, said, it is really important that, if penalties are brought in, they are used and are a proper deterrent.

The Bill provides powers for Ministers to extend the legislation to other animal species kept as pets. I am very pleased to see that in the Bill; it is a shame that a similar extension to other breeds, brought forward in an amendment to the livestock exports Bill by the noble Lord, Lord de Clifford, was not supported by the Government. Could that be revisited at some point?

As other noble Lords have said, there have been briefings on the Bill from different organisations, to which we are grateful. They include Battersea Cats & Dogs Home, Cats Protection, Blue Cross, the RSPCA and others—and the Library did an excellent briefing on this.

A number of points have been raised during the debate. As we have heard, dog and cat abduction is currently treated in law akin to stealing an inanimate object, with sentencing depending in great part on the monetary value of the stolen dog or cat. This completely fails to consider any aspect of animal welfare or the impact on the owners of this crime, which can be completely devastating, as we heard. Blue Cross has always argued that the status of pets is fundamentally different from property. They are not inanimate objects but sentient creatures and, as we have heard, irreplaceable family members. They should therefore be treated as such, and it is welcome that the Bill will finally bring this into law, because the law as it stands is too lenient.

We are aware of data from Scotland that reveals that nearly a third of dog abduction cases were related to domestic issues and ownership disputes, instead of being motivated by profit—so it is important that the sentencing and any fines are done in a proper and sensible manner. It is important that the emotional impact of losing an animal in this way is properly recognised, so we are pleased to see this in the Bill.

We have heard that comprehensive and reliable data on the true scale of pet abduction is difficult to collate due to the lack of a central database and different methods of recording. I hope we can start to make steps in the right direction and know more about what we are dealing with in order to tackle it better.

Dog and cat abduction are currently classed as theft, so some police forces find it more difficult to isolate the data on instances of cat and dog abduction compared to other types of theft. It is important that we get a clear and complete picture right across the country, as the noble Lord, Lord Black, said in his introduction.

Other noble Lords talked about the fact that instances of dog theft have been going up year on year, until I think last year, when they started to come down. But it has been a real problem since Covid-19—the noble Lord, Lord Holmes of Richmond, talked about how that completely changed the situation. In some ways, we are only just starting to get a more level playing field, given that abduction went up so much during that time.

Some police forces have higher average rates of dogs per theft. That could be significant: we need to understand the data and the thefts better, because we need to understand where thefts are actually being co-ordinated and gangs are involved. We know that cat theft is not on the same scale as dog abduction, but it is becoming an increasing problem. Pet Theft Awareness has done a certain amount of research on this and has come up with information and figures that will be very useful in taking this forward. It considered that the rise in cat theft could be attributed to the very strong market in cats and kittens, particularly pedigrees. The noble Lord, Lord Black, talked about the particular case of Betty. That means that cats, as well as dogs, are more likely to be targeted by opportunistic criminals who want to resell them—or, of course, if the cats are unneutered, use them for breeding.

While we are on cats, I was very interested to hear the noble Lord, Lord Blencathra, suggest amendments that he might bring forward on cats, pointing out that they can be quite aggressive killers when outdoors. I would just like to stand up for my own cat, Sid, in this matter. Sid, sadly, is not a very prolific killer—I do not know whether it is because he is a little fat and not very good at catching birds and small mammals—but he seems to bring in mice quite regularly, which end up living in the sofa or the kitchen cupboards, which is not incredibly helpful. Since his encounter with one of our hens, he is rather frightened of birds.

I thank the noble Lord for his supportive words regarding my position on the licensing of primates kept privately.

I confirm that we very much welcome the Bill. We are very pleased to see that it has finally arrived and strongly support the maximum sentence of five years’ imprisonment. This clearly reflects the gravity of the offence and the devastating emotional impact on both the owner and the abducted pet. It also aligns with the maximum sentence provided for by the Animal Welfare (Sentencing) Act 2021. I look forward to the Minister’s speech, but I strongly support the Bill.