(4 years, 5 months ago)
Lords ChamberMy Lords, I will speak to Amendments 43 and 61. Although in the form they are tabled, these amendments appear at first glimpse to be making two different propositions, when combined, they produce a very new approach to developing microenterprise. Amendment 43, with its proposal for the local production of agri-foods, and Amendment 61, with its call for subsidised energy costs in selected areas of the agricultural economy, combine to offer a strategy that could greatly aid in the post-Brexit world of import substitution, which we must all want.
The advantage of that approach is that it reinforces an argument that I used to employ in the Commons, years ago, when representing a constituency with high peripheral regional unemployment: you can use energy costs as a tool in regional policy. Cheap energy will always attract footloose, energy intensive enterprise—paper, board and chemicals are good examples of this. If you combine cheap energy availability and labour-intensive micro-agricultural production in the areas outlined in these two amendments, you will create the conditions in which you can influence the movement of investment capital.
I argue that that incentive is as good as any regional development assistance as provided under former assisted area programmes. Indeed, it has an advantage, in that it is not a one-off allocation of grant aid. On the contrary, it can be profiled in such a way as to provide sustainable assistance over the longer term, tapering away as enterprise becomes more established. This form of assistance can be of real value in the development of labour-intensive microenterprise in food and in other areas of the agricultural economy.
I strongly support these two amendments, as they cause us to think out of the box on the use of energy as a regional incentive. I hope that both movers will combine to bring forward a new amendment on Report. Furthermore, I hope that the Government take a new look at the potential for subsidised energy to be of real assistance in the new economy that must now be built post Brexit.
My Lords, I declare my interests as a farmer as set out in the register. I support Amendment 12, set out by the noble Lord, Lord Curry. As it says,
“increasing understanding, knowledge and skills relating to the environment, farming, food production, and the impact of climate change on agriculture”
should be in the powers to give financial assistance.
Among the many purposes of the Bill is the aim of revitalising the industry through facilitating retirements, new technology and, most importantly, encouraging new entrants to the industry. As the current generation of farmers retires, we need to replace its valuable skills, and the amendment recognises that. The Agricultural Productivity Working Group, chaired by Sir Peter Kendall, highlighted that issue and called for action to address the low uptake of agricultural skills and training.