Rural Economy

Baroness McIntosh of Pickering Excerpts

Thursday 19th December 2024 Lords Chamber

[Baroness McIntosh of Pickering (Con)]

My Lords, I congratulate the right reverend Prelate on calling this debate and for all his work on rural affairs. I am delighted to sit with him on the rural interest group of the Church of England Synod. I pay tribute to the role of the Church in rural areas in times of crisis, as I witnessed during the foot and mouth outbreak in the early 2000s. I declare my interests: I work with the rural doctors—my father and brother were dispensing doctors—of the Dispensing Doctors’ Association. I am also a patron of Upper Teesdale Agricultural Support Services, honorary president of the Huby and Sutton agricultural show and vice-president of the Association of Drainage Authorities, which have a role to play in preventing flooding in low lying areas.

As a proud Yorkshire lass, I would say that there is lots to celebrate in the rural economy, not least farming, countryside and food—and the best show in town, the Great Yorkshire Show. There is also a role for auction marts, which set the price and have a presence in market towns. They have a role in the rural economy and the community, playing a specific social function. Farmers are fiercely proud and independent, often visiting the auction mart well into their retirement as well as during their active farming lives. When the auction marts closed during the foot and mouth outbreak, there was really nowhere for the farmers to gather and chat. Country shows show the best local farm produce and educate the next generation in the joys of the countryside and farming. The Great Yorkshire Show showed children livestock first hand, and I am delighted to say that I have attended since I was a schoolgirl in Harrogate.

What are the current barriers to the growth of the rural economy? As others have said, the whole rural economy has been impacted by the employers’ national insurance contribution increase—doctor’s surgeries, care homes, hospices and veterinary practices specifically, and every walk of life. The inheritance tax proposals and the revision of agricultural property relief, as well as the removal of capital grants, will severely impact on the farming community. There is also a shortage of farm workers as a result of a shrinking rural population, poor local transport and the cost of housing. All this could be remedied in part by increasing the number of seasonal workers on farms and the length of time they spend on the farms. Rural broadband and mobile phone coverage is still below par, making farm and rural businesses less efficient and competitive. There is less access to banking services, with bank branches and post offices having closed.

The Government should encourage productive farming. We should not build solar farms on grade 2 or grade 3 productive land, as in the test cases currently in Old Malton and east Yorkshire. Tenant farmers have a particular contribution to make, especially in the uplands. Some 48% of farms in North Yorkshire are tenanted, yet their future is bleak and uncertain, given the Government’s Budget proposals.

I pay tribute to the charities supporting the farming community in rural areas; their role is valuable and, sadly, increasing. I am mindful of the mental ill-health and state of anxiety among farmers, which is now sadly also affecting their children. I am also mindful of the levels of farm vehicle theft and other rural crimes, the impact of marital breakdowns, and the fact that farmers are reluctant to visit their doctor and often neglect their own health.

Others have mentioned tourism, hospitality and leisure in the rural economy, and I support their impact. I am delighted to be the honorary president of the North Yorkshire Moors Railway. I hope all noble Peers will take the opportunity to visit it during one of the forthcoming recesses.

The UK is on average only 60% self-sufficient in food, yet only 16% in fruit and vegetables. The power of the supermarkets is great; that of growers and the supply chain is weak. The Groceries Code Adjudicator’s role needs to be addressed to ensure that it can undertake reports on its own initiative and not identify those who seek to make a complaint.

What is the way forward? All government policies should be assessed and rural-proofed. That used to happen in the past; it should happen in the future. We should recognise that farmers are key to growing the rural economy, but they need help in meeting the current challenges, whether climate change, flooding on farmland or the increases in oil prices and in the cost of fertilisers and pesticides. Environmental land management schemes are rolling out at a slower pace than the reduction in basic farm payments, leaving farmers with a huge gap in their income.

I beg the Minister not to play Scrooge, as in A Christmas Carol, but to be as generous as the Government can possibly be to farmers. Farmers face an uncertain future. If you want something done, ask a farmer, but they are asking whether we want them to produce food for us anymore. The future of our food system, our rural communities and even our environment is in question. Their future—for the farmers and for growth of the rural economy—is in the Government’s hands. We look to the Minister to provide answers today.