Agriculture Bill

Debate between Lord Thomas of Gresford and Earl of Dundee

Committee stage & Committee: 5th sitting (Hansard) & Committee: 5th sitting (Hansard): House of Lords
Tuesday 21st July 2020 Lords Chamber

[The Earl of Dundee [V]]

My Lords, Amendment 156, from the noble Lord, Lord Cameron of Dillington, provides flexibility as not yet sufficiently available for Defra to help farming households carry out the purposes of the Bill. In the names of the noble Earl, Lord Devon, and the noble Lord, Lord Addington, Amendment 155 is equally pertinent in anticipating delays following the introduction of the United Kingdom shared prosperity fund—hence its safeguards, financial provisions and continued socio-economic interventions under rural development programmes.

With regard to food supply chains, does the Minister consider that local, regional and domestic supply chains ought to be strongly encouraged, while backing for our producers is essential if we are to set them against cheap imports from America and subsidised food from Europe, and that rural development funding should therefore be provided for this purpose? Does he agree that government incentives for food supply chain infrastructure are not the same as subsidising food directly, and do not therefore conflict with the market, but instead—to the advantage of so many communities —would assist production viability, reduce food miles, improve animal welfare and create jobs?

The range of examples to be encouraged comprises outdoor markets; local food delivery hubs; enterprises that collect from farmers to sell to supermarkets, school canteens and hospitals; local farmers’ processing co-operatives; small factories making cheese, bacon, vegetable burgers, apple juice and other products processed from local farms; and, not least, small abattoirs, including mobile ones, in certain farming areas.

Does my noble friend also agree that local food supply chains already work very well with supermarkets, where the majority of United Kingdom consumers shop? This is evident in several countryside areas, such as Yeo Valley in Somerset. A processing co-operative there makes yoghurt, crème fraiche and butter, selling to large retailers, including Tesco. These are organic farmers using agro-ecological systems, yet they can sell their yoghurt at a very reasonable and affordable supermarket price. It is also now well illustrated in a number of other countries, including Germany, the Netherlands and Norway, how local food hubs and farmers’ processing co-operatives can easily supply supermarkets, school canteens and hospitals.

Currently, and through this Bill, we have to review the best ways of replacing and restructuring previous schemes for rural development. Can the Minister reassure the House that, within the new arrangements, proper government incentives will be given to local food supply chains?

[Lord Thomas of Gresford (LD) [V]]

My Lords, Clause 16 allows the Secretary of State, by a negative resolution, to modify existing rural development schemes agreed under the common agricultural policy as to both time and content, and to devise new schemes entirely outside the present parameters. I fail to see any requirement for consultation. Is there any and, if not, why not? Who will represent rural interests in Whitehall and inform funding decisions? The whole point of devolution in Wales and Scotland was democratically to bring the interests of all sectors closer to policymakers—and it has been highly successful.

England has very disparate rural and regional interests that have to look to Whitehall for compromises and single solutions. Perhaps a devolved Yorkshire assembly could occupy the hub that the Government propose to create in York, once the Westminster politicians have been there, done that and departed with the T-shirt. Clause 16, however, creates very significant powers, and their exercise should be open to full parliamentary scrutiny. Will the Government commit to amending the Bill on Report, to require the affirmative procedure? No consultation, and the negative procedure proposed in this Bill, make a very strong case, both in principle and practice, for the stand part opposition of the noble Baroness, Lady McIntosh of Pickering. She described it as a voyage into the unknown—and that is exactly what it is.

Funding for rural development has, over the period of our membership of the European Union, come from the rural development basic act and the common provisions basic act, and has accordingly been ring-fenced against the austerity cuts that have affected such areas as education and social services throughout this country. That ring-fencing of rural interests is about to be dismantled. I note the concern expressed by the noble Lord, Lord Cormack, about the absence of ring-fencing.

I have always feared, and have said so in this House on a number of occasions, that in the post-Brexit world, there will be overwhelming political pressure on the Government to switch money from rural communities to urban areas. Demands on public services, particularly health and social care, must be answered—there are votes at stake. This issue is even more acute since the last election, when the Government derived significant support from the crumbling “red wall” urban areas, whose interests they now have to consider. The further centralising of services and jobs in large conurbations may drive further depopulation from the countryside. It may even destroy the Conservative Party’s traditional rural base of support. Will the Government make a commitment now, in the post-pandemic world of massive government expenditure, that rural communities will receive the same level of support for rural development as they do at present under the CAP regime? This issue is addressed in Amendment 155.

We await the details of the shared prosperity fund, and I am particularly concerned as to Wales’s involvement in that. I share the doubts expressed by the noble Lords, Lord Cameron of Dillington, and Lord Curry, who pointed out how unclear it all is. It is important to build an infrastructure to support work in the rural communities—the noble Earl, Lord Dundee, referred to some agricultural-based industries. Part of that is addressed in Amendment 157, through the extension of broadband and mobile networks. All of us are learning the advantages of working from home and I have no doubt that, with proper investment, fresh employment opportunities in rural areas will arise from that, enabling people in rural areas to lead optimal lives with digital literacy, as the noble Lord, Lord Holmes, put it.

I have pleasure in supporting all the amendments in this group.