Agriculture Bill

Debate between Earl of Kinnoull and Lord Gardiner of Kimble

Report stage & Report: 2nd sitting (Hansard) & Report: 2nd sitting (Hansard): House of Lords
Thursday 17th September 2020 Lords Chamber

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

My Lords, I thank all noble Lords for their contributions to this debate. I will take Amendments 43 and 44 together. I would like to reassure your Lordships that we recognise the importance of the issues that these amendments raise. Farmers and farming households make a valuable contribution to our national life, and we recognise that the needs of farming households may change as we move away from the common agricultural policy.

As set out in their manifesto, the Government intend to introduce the UK shared prosperity fund to replace EU structural funds. The manifesto also stated that it will, at a minimum, match the size of those funds in each nation, which was reiterated by the Chancellor in the last Budget. The final decisions about the quantum and design of the funding will take place after a cross-governmental spending review.

The Government have made a long-standing commitment to ensure that all policies are rural proofed—that is, ensuring that policy outcomes work in rural areas. This includes the development and delivery of the UK shared prosperity fund, on which Defra and MHCLG officials are working closely. In advance of the introduction of the UK shared prosperity fund, £60 million of funding will continue to flow to rural businesses via the final tranche of the growth programme, which the RPA is currently assessing.

The fund will play a vital role in supporting rural and coastal communities in recovery and renewal from Covid-19, and our expectation is that the growth programme and LEADER elements of EAFRD will be a component of the fund. This was set out in a letter from the Defra Secretary of State to the chair of the EFRA Select Committee on 7 September. Defra officials continue to work closely with the Ministry of Housing, Communities and Local Government, which leads on the fund’s development, to ensure that its design takes account of the dynamics of rural economies and particularly the challenges faced by rural communities, as well as the opportunities that I believe rural communities have. We have been in contact with MHCLG Ministers and I can assure your Lordships that MHCLG recognises the importance of these considerations.

I fully recognise the importance of reassuring rural communities and farming households about the future of local growth funding. The Government will look to set out their national approach to local economic recovery and devolution through a White Paper expected in the autumn. We firmly believe that the best way to make progress is to continue to work collaboratively at local and national level. The MHCLG has established an economic recovery working group, which meets regularly, bringing together a range of local growth partners to work on emerging themes and concerns across the country, including those relevant to rural areas. This includes representatives from rural local enterprise partnerships and local authorities.

If new socioeconomic support programmes were to be operated under Clause 16, they would have to operate under broadly the same framework dictated by the existing CAP. Clause 16 provides the Secretary of State with the power to modify or repeal retained EU legislation relating to rural development in England. This clause will not be used to introduce any new schemes, as they will be covered under Clause 1.

I very much hope that the noble Lord, Lord Cameron of Dillington, and the noble Earl will accept my confirmation that the UK shared prosperity fund will provide great opportunities for growth and investment in rural communities and will include the successor for the growth programme and LEADER elements of EAFRD. I believe this is a cause we all share and hope that, on that basis, given the explanation of the work we are undertaking between the two departments and the imperative of rural proofing, the noble Lord will feel able to withdraw his amendment.

[The Deputy Speaker (The Earl of Kinnoull) (Non-Afl)]

I have received a request to ask a question from the noble Earl, Lord Devon.

--- Later in debate ---

[Lord Gardiner of Kimble (Con)]

My Lords, I shall speak also to Amendments 46, 107, 110, 111, 122, 123, 124 and 125 in my name. Following new legal advice from the European Law Group and the Office of Parliamentary Counsel, these technical amendments are being tabled to put beyond doubt that a body of retained EU law relating to multi-annual programmes under rural development and common market organisation will be created at the end of the implementation period, where this is not created automatically by virtue of the interrelationship between the withdrawal agreement and European Union (Withdrawal) Act 2018.

Clauses 14, 15, 16 and their equivalents in the Welsh and Northern Irish schedules all rely on a body of retained EU law being created on implementation period completion day that can then be applied in domestic law and modified as required. Article 138 of the withdrawal agreement means that rural development programmes and some parts of the common market organisation will continue to operate under EU law after the end of the implementation period. However, Section 3(2)(a)(bi) of the European Union (Withdrawal) Act 2018 prevents EU legislation that is directly applicable in domestic law as a result of the withdrawal agreement under Section 7A of EWA also becoming retained EU law. I am sorry about this, but I want to go into some technical detail so that it is very clear to your Lordships.

This created a legal doubt as to whether the legislation governing the relevant rural development and CMO aid schemes would roll over to become retained EU law. These amendments therefore put that question beyond doubt by ensuring that a body of retained EU law relating to multi-annual agreements and programmes in rural development and CMO will be created at the end of the implementation period. They also provide a payment power to continue paying existing holders of agreements or programmes once the EU funding ends. This power to pay does not depend on modifying retained EU law. Such a power is necessary to ensure domestic funding can step in when existing EU budgets are exhausted in circumstances where these agreements and programmes continue to be regulated under the withdrawal agreement.

As I said, these are technical amendments required to ensure the Bill works as it was originally intended, so that modifications may be made to existing programmes where appropriate, simplifications and improvements may be made to schemes and scheme beneficiaries can continue to receive payments. These government amendments are supported by, and made with the approval of, the devolved Administrations. That is most important and the schedules for Wales and Northern Ireland are at their request. I also emphasise that there is no change to the policy intent of Clauses 14, 15 and 16. I beg to move.

[The Deputy Speaker (The Earl of Kinnoull) (Non-Afl)]

I call the noble Lord, Lord Marlesford.

Agriculture Bill

Debate between Earl of Kinnoull and Lord Gardiner of Kimble

Committee stage & Committee: 6th sitting (Hansard) & Committee: 6th sitting (Hansard): House of Lords
Thursday 23rd July 2020 Lords Chamber

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

My Lords, what an interesting debate we have had. I am most grateful to all noble Lords who have contributed.

On Amendment 263A, Defra Ministers meet on an almost monthly basis with counterparts from the devolved Administrations as part of the inter-ministerial group for EFRA. Any potential changes to food standards would be discussed here first. I am also pleased with the progress officials have made in developing the food information to consumers, fish labelling and food compositional standards common UK framework. The framework will focus on consensus-based decision-making but will also include dispute prevention and resolution mechanisms.

On Amendment 267, the powers in Part 6 allow for regulations to be made to ensure compliance with the United Kingdom’s obligations under the WTO agreement on agriculture. The regulations therefore set out procedures and arrangements to ensure that the UK as a whole complies with existing obligations under an international treaty. We have a bilateral agreement with the Welsh Government on the making and operation of regulations under Part 6 of the Bill. We have offered to extend this agreement to the Scottish Government and DAERA Ministers in Northern Ireland.

In addition, my honourable friend the Minister for Farming, Victoria Prentis, committed in the other place to consult with the devolved Administrations on the making of regulations under Part 6. I say in particular to my noble friend Lady McIntosh of Pickering that draft regulations have already been shared with devolved Administrations and strong and productive discussions are continuing. Defra officials have been working closely with them; this is another important and positive point.

On Amendment 284, the powers taken by Welsh Ministers through the Bill are intended as a temporary measure while the Welsh Government continue to develop their own legislation. Financial assistance under Clause 1 may be given by the Secretary of State only in relation to England. Welsh Ministers are not taking similar powers in this Bill to operate or introduce new financial assistance schemes. It is the Welsh Government’s intention that these powers will be provided for by a future Senedd Bill.

On Amendment 283, Schedule 5 contains powers requested by the Welsh Government to simplify the existing schemes and improve them for farmers, not to change or reduce standards. The underlying animal welfare standards to which all farmers must adhere are not found in this domestic payments scheme legislation; rather, they are found in underlying domestic and retained EU legislation. Therefore, these underlying protections will continue for all.

I found Amendment 289 an interesting element of our discussions. The Northern Ireland Assembly debated and agreed the legislative consent Motion on 31 March 2020. The DAERA Minister made it clear to the Northern Ireland Assembly in that debate that he did not support a sunset clause at this stage with respect to Northern Ireland provisions in the UK Agriculture Bill. It is the Government’s very strong view—I must say, we have been reminded by all noble Lords who contributed of the importance of this—that we must respect the devolution settlement. I find it difficult to construe how the Government could accept the amendment proposed and respect the desire and wish of the DAERA Minister and, by that token, the Assembly. Therefore, we do not believe that Parliament should seek to override the constitutional view already agreed by the Assembly on 31 March 2020. If we are to be consistent in our respect for the devolution settlement, it is difficult to believe that your Lordships or the Government should seek to impose something on a devolved Administration when they have given their legislative consent Motion to legislation. To be very clear, my noble friend and I are honest brokers for both the Welsh Government and the Northern Ireland Assembly in the schedules before us.

On Amendments 290 and 291, the UK Government have created IMG EFRA, as I have said, and a series of specialist official-level working groups to deliver effective joint working with the devolved Administrations. This has proven a highly successful governance mechanism. The UK Government have collaborated closely with each devolved Administration on a UK-wide framework for agricultural support based on the Joint Ministerial Committee on EU Negotiations principles agreed in 2017. The framework is planned to cover policy areas such as agricultural support spending, crisis measures, public intervention and private storage aid, marketing standards, cross-border farms and data collection and sharing. I think the point about cross-border farms was raised in particular.

Good progress is being made on the framework. The UK Government shared their first draft with officials from the devolved Administrations this February. Since then, there have been continuing discussions with officials in the devolved Administrations on a common framework for agricultural support. In our view, placing additional statutory requirements in this area risks disrupting an ongoing process of what has been described as excellent collaborative working, which is working extremely well. It would also create inconsistency with wider framework discussions.

I think the noble and learned Lord, Lord Wallace of Tankerness, first used the word “sensitivity”. We are all of a view that we must deal with these matters with sensitivity. When I meet fellow Ministers from all parts of the United Kingdom, I see this as an endeavour of equal partnership. We believe that it is inappropriate for the UK Government to seek to legislate on frameworks, certainly without prior discussion and consideration with the devolved Administrations.

I also say to the noble and learned Lord, Lord Thomas of Cwmgiedd—and I repeat this from my opening remarks on Tuesday—that we remain wholly committed to seeking legislative consent for all provisions that engage the convention in Scotland, Wales and Northern Ireland. That is why I was pleased to make those amendments.

The noble Baroness, Lady Wilcox of Newport, and other noble Lords raised the budgets for the devolved Administrations. Intra-UK funding is being discussed as part of current Treasury settlement discussions with Defra. Her Majesty’s Treasury will discuss this directly with the devolved Administrations. I absolutely understand the importance of certainty on funding for all parts of the United Kingdom and, from the visits I have had, am well aware of the importance of farming to all parts of the United Kingdom, and its importance in terms of UK internal markets.

To answer my noble friend Lord Empey on the Northern Ireland border, the Government are working very closely with the Northern Ireland Executive to ensure unfettered market access between Northern Ireland and Great Britain while meeting our obligations under the Northern Ireland protocol. I also say this to my noble friend, because of my biosecurity interest: as an epidemiological unit in itself, the island of Ireland has some advantages. Also, we already have requirements, as does Northern Ireland, as part of that unit. Obviously, we want to make sure that the biosecurity arrangements for the island of Ireland are as strong as they can be, but our working with Northern Ireland will be absolutely imperative for the frameworks. The success of that is where I believe we will find a satisfactory resolution for all parts of the United Kingdom. I say that as a unionist.

The UK Government believe in close collaboration in the coming months to agree and implement administrative frameworks to set out future working and co-ordination on agriculture. The noble Baroness, Lady Wilcox of Newport, asked when that will happen; the answer is, by the end of the transition period. We think that close collaboration is, to pick up on a word used earlier, the respectful way to work. I am conscious that the relationship between all four parts of the United Kingdom needs to be strong and positive. If it is not, it makes things much more difficult.

I want to bring forward the fact that the relationship that all of us as Ministers in Defra have with our colleagues in the devolved Administrations is strong and positive. There is a common endeavour to ensure that we have vibrant agriculture and strong food production, and that we make a success of it all and make a success of the United Kingdom.

[The Deputy Chairman of Committees (The Earl of Kinnoull) (Non-Afl)]

My Lords, I have received three requests to speak after the Minister from the noble Lord, Lord Foulkes of Cumnock, and the noble and learned Lords, Lord Wallace of Tankerness and Lord Hope of Craighead.