(4 years, 3 months ago)
Lords ChamberMy Lords, with the leave of the House, I shall now repeat a Statement made by my right honourable friend the Environment Secretary in another place. The Statement is as follows:
“With permission, I would like to make a Statement on the Government’s food strategy. Recent events have been a reminder of the importance of domestic food production. It gives us national resilience. Throughout the pandemic, those working at every stage of the food system, from farming and fishing to manufacturing, distribution and retail, did not let us down. The food industry has shown tremendous commitment and ingenuity in the face of recent international events.
The UK is largely self-sufficient in many products, including wheat, most meats, eggs and some sectors of the vegetable industry. Overall, for the foods that we can produce in the UK, we produce around 74% of what we consume. That has been broadly stable for the past 20 years, and in our food strategy, published today, we are committing to keep it at broadly the same level in future, with the potential to increase it in areas such as seafood and horticulture. For instance, we are exploring policies to incentivise the use of surplus heat and carbon dioxide from industrial processes in a new generation of glasshouses here in the UK producing salad crops such as tomatoes and cucumbers.
With the cost of agricultural commodities linked to global gas prices, we recognise concerns around the cost of food. Through this strategy, we are setting out long-term measures to support a food system that offers access to healthy and sustainable food for all. It will complement the measures that we have already taken to support those struggling to afford food and help them to live healthily, through the Healthy Start scheme, breakfast clubs and the holiday activities and food programme.
The food industry is also present in every part of our country. It is the largest manufacturing sector in the UK—bigger than automotive and aerospace combined. Food manufacturers provide employment opportunities in areas where there might otherwise be deprivation, they offer apprenticeships and opportunity, they invest in research and development and they give local areas a sense of pride and identity. None of our food manufacturers could succeed without the farmers and fishermen who supply them with high-quality produce.
Our fresh produce industry has always required access to seasonal labour, and I am pleased to announce today that we will bring forward another 10,000 visas for the seasonal workers route and expand the scheme to cover poultry. On this side of the House, we are clear that we want people at home and abroad to be lining up to buy British. Our food strategy sets out our intention to consult on ensuring that the public sector sources at least 50% of food locally or produced to higher standards.
There are new challenges to address that will require the characteristic ingenuity of our food industry. As Henry Dimbleby’s independent review highlighted, poor diet has led to a growing problem of obesity, particularly among children. Good progress has been made on reformulation in some categories. Industry-backed initiatives such as Veg Power, which conceived the successful Eat Them to Defeat Them campaign, have shown the value of positive advertising to promote vegetable consumption among children. But there is more that must be done in future, with government and industry working in partnership on a shared endeavour to promote healthier diets. The Government accept that they have a role, and new regulations regarding the position of retail displays of foods that are high in salt, fat and sugar will take effect later this year.
One of the key recommendations of the Dimbleby review was the formation of a new data partnership between industry and government, which we will be taking forward. Food manufacturers and retailers have a wealth of data and behavioural insights that can help to identify solutions. This will provide consumers with more information about the food they eat while incentivising industry to produce healthier, more ethical and sustainable food.
Finally, Madam Deputy Speaker, our strategy acknowledges that the food system has a significant impact on the environment. We are therefore taking forward the recommendation of the Dimbleby review for a land use strategy. Our future agriculture policy will seek to financially reward sustainable farming practices, make space for nature within the farmed landscape and help farmers reduce their costs. From precision breeding techniques that reduce the need for pesticides, to tractors fuelled by methane captured from slurry stores, and new feed additives that can significantly reduce methane emissions from ruminants, technological solutions are developing at pace. Our future farming policy will support innovative solutions to the environmental challenges we face.
To conclude, our food strategy will set us on a path to boost food production and ensure that everyone has access to healthy and affordable food, produced in a sustainable way. I commend this Statement to the House.”
My Lords, there is much to say about this “Let them eat venison” food strategy—although there is not a lot of meat in it. It is full of vague intentions and grand promises such as a school food revolution. It seems to me that when this Government want to hide the fact that they have chickened out of doing something really revolutionary, they call it a revolution. Sadly, they have failed to do justice to Henry Dimbleby’s thoughtful, realistic and ambitious national food plan. No wonder he is disappointed that only half his recommendations have found favour with the Government.
Our national food system is broken. If your Lordships do not believe me, ask the NHS workers who are forced to use the food bank set up by the hospital where they work. Ask the person who has three jobs, trying to put food on the table but able to afford only cheap food or ready meals because there is no time left to cook. Ask the doctors who treat the 40% of overweight children and the 64% of overweight adults. Ask the nurses who treated the large number of people with obesity who died of Covid-19 at the height of the pandemic.
Henry Dimbleby recommended a food system to make people well, not one that would make them sick, while at the same time protecting the environment. Yet what do we have in response? Twenty-seven pages that ignore evidence-based measures such as introducing a sugar and salt tax, an idea that the soft drinks industry levy has shown to be an effective way of incentivising manufacturers to reformulate and reduce sugar in order to avoid the tax. Tonnes of sugar have been cut from the diets of children and teenagers, while people drink just as many soft drinks and the industry has not suffered at all. However, despite that success, the amount of sugar the average person eats is continuing to rise because of the increase in consumption of junk foods laced with sugar, salt and other appetite stimulants. So why will the Government not follow the sugar tax idea with other foods? Can the Minister say who has been lobbying the Government to ditch this recommendation? Is it the same people who succeeded in persuading the Government to delay the implementation of the ban on TV and online advertising and volume promotions of HFSS foods before the ink was dry on the Health and Care Act?
The price of food is rising but there is no evidence that a salt and sugar tax would increase it. I spoke yesterday to someone in the food industry who was convinced that it would encourage reductions in salt, and particularly in sugar, without price rises. If the Government want to reduce taxes, perhaps they should start with the inflated amounts of VAT that are flowing into their coffers from our fuel and energy purchases; that would help families directly.
During the passage of the Health and Care Act, there was a great deal of talk about what the new integrated care systems could do to address the health inequalities crisis. We know that obesity is more common among poorer people, yet this so-called strategy will do nothing to help them afford healthy food. We are told that a healthy diet would cost five times what the poorest families can afford, but the sugar and salt tax could pay for some of the measures that Dimbleby proposed to balance things out. Extending the Healthy Start programme and eligibility for free school meals and the holiday activity and food scheme would help to get fruit and vegetables into the diets of poor families, yet there are no proposals about that. Why not?
The Government talk about willpower, information and education for consumers, yet we have had health education in school for years, as well as food labelling. It has not worked. When the soft drinks levy was introduced, Liz Truss objected, saying that people should be free to choose. However, the problem is that people are not free to choose healthy food because they cannot afford it; they can only afford cheap calories. In some housing estates, almost the whole row of shops consists of junk food outlets. Where is the choice there? It is a matter not of will power but of affordability and availability.
The Government have a responsibility here. I was amazed to read in the White Paper that the cost of food is not a matter for government. Does the Minister really believe that? Of course it is, when people are getting sick, putting pressure on the NHS and costing the taxpayer a lot of money. I do not expect this Government to care about poor people losing years of life because of poor diet, but I would have thought they would understand the economic case for ensuring a healthy and productive population. Achieving the Government’s own ambition of five extra years of healthy life by 2030 is nowhere near on track, especially in the lower demographic groups.
Neither is there anything concrete in the White Paper to help farmers produce good food more efficiently, while protecting the environment. Farmers are already up in arms about what they are being asked to do without extra support, and worried about competition from large farms in Australia and New Zealand. Subsidies have been cut by 20% and the Government are still not clear about the details of the environmental land management payments.
Your Lordships’ Science and Technology Select Committee, in its report on nature-based solutions to net zero, said that farmers need a free and independent expert advice service to help them improve their productivity while improving biodiversity, but all we have is an alphabet soup of schemes and funds—and nowhere in the food strategy could I see the word “soil”. Another of Dimbleby’s recommendations that is notable for its absence is that we should aim to eat at least 30% less meat, given that 85% of our agricultural land is used to feed animals. Apart from the ridiculous “Let them eat venison” proposal, I see nothing practical to achieve that.
We are offered more research on things that we already know and more reviews about things that do not need reviewing—nothing but delay and equivocation. What a missed opportunity.
I am grateful to the two Front-Bench spokesmen for their responses, but I wonder whether they have read the same report as I have. On food poverty, the first point that I would make is that I hope the noble Baroness does not really believe what she just said about poor people, because I find it extraordinary to assume that people like myself do not care about people on low incomes. That was a very direct statement and one that, in time, I hope she might recant.
A great many families are suffering at the moment for a variety of reasons but principally because of other constraints on household incomes, particularly in terms of energy. It is for that reason that the Chancellor recently announced £15 billion of support for households and continued other measures right across the concerns that households have about their incomes. Food is a significant part of household expenditure, though it is actually lower in this country than in many others and has stayed stable, at around 16%. It is creeping up, which is a matter of genuine concern for people on all sides of this House. We want to do what we can to help those families tackle these problems.
The noble Baroness, Lady Jones, mentioned free school meals and eligibility. The threshold must be set somewhere. We believe that the level we have selected, which enables more children to benefit while remaining affordable and deliverable for schools, is the right one. For a typical family on universal credit, the current £7,400 earned income threshold, depending on exact circumstances, equates to an annual household income of between £18,000 and £24,000 when benefits are taken into account. To be effective, welfare benefits should encourage people to take up work while supporting them to do so. We need to avoid creating a cliff-edge disincentive whereby people cannot afford to take up work, which is what a significant increase in the scope and funding of free school meals is likely to do. However, from 24 March this year we have made permanent the extension of free school meals eligibility to include some children from groups who have no recourse to public funds.
The noble Baroness asked about crops rotting in the fields. We work very closely with the industry on the demand for seasonal workers. For that reason, we have increased the number of seasonal workers visas, by 10,000, to 40,000. She will be aware that a large proportion of our seasonal workers came from Ukraine, and that is why we have spread out the countries where we are offering these visas to fill that gap. Let us be frank: many of those people are remaining to fight or have other reasons as they deal with that tragedy in their country.
The noble Baroness talked about trade. I would just add that we are keeping to our pledge that we will maintain animal welfare and environmental standards on the imports that we receive under trade deals.
The unsexy thing to talk about in this place is data, but data actually matters and the food industry has access to a large amount of data. By working with the food industry and through the food data transparency partnership, we are giving consumers the information they need to make more sustainable and ethical, and healthier, choices. We are talking to the industry about expanding animal welfare labelling to help consumers, but it is important that people have that data on what they are eating, where it comes from and what it contains.
On dealing with unhealthy foods, which were rightly pointed out in the Henry Dimbleby report, the Government are taking forward a variety of policies. For example, we have seen the amount of sugar in cereals and yoghurts reduced by 13% since we brought in changes there, while the addition of calorie counts on menus is making choice better for people. Later this year, we are also bringing in a ban on poor quality foods being available at checkouts.
The noble Baroness for the Liberal Democrats made a point about subsidies being cut; no subsidies have been cut. The support system for agriculture is ring-fenced at £2.5 billion to the end of this Parliament. That is a commitment that was given and will continue to be given. We are developing a range of supports encouraging farmers to be innovative and to tackle the ardent ambition that more quality food should be produced from home.
Finally, on the noble Baroness’s point about soils, I could bore this House for weeks about what we are doing on soils. She only has to look at our soils standard in the sustainable farming incentive to see how important soils are in trying to reconnect some in agriculture, who have lost that connection with the soil, to produce healthy food and make ecosystems and the environment function as two sides of the same coin with food production.
I wonder whether I could first apologise to the Minister because I do not think this is his report. I do not think he wrote it or, indeed, that he does not misunderstand that it is not actually a food strategy. That is contrary to the standards which we would expect of any business. As chairman of the Climate Change Committee, I think it does not actually address any of the issues which we have put down as necessary for Defra to address on food. As a member of the food sector council, which is a government board, I have to say it does not address many of Henry Dimbleby’s very good proposals. It is a collection of vague promises and partial answers, but it does not address the fundamental issues. It therefore is not a strategy, which is what we needed. We have waited over a year for a strategy, and we have not got one.
As chairman of the Climate Change Committee, I really want to know: what is the answer to the fact that we cannot expect farmers to do what we want if we have trade agreements which mean that they are competed with by people who do not have to meet those standards? What about what we have to do, for example, on the restoration of peatlands? We are going so slowly that we will get nowhere near the necessary figures by 2035. What about the question we have raised about reducing the amount of meat that we eat while eating better meat? What about answering those questions? They are not here.
I do not think this is Defra’s fault, but it is a government fault. These things have been removed one by one, because the Government will not face up to the fact that these are difficult questions that need to be addressed. This so-called strategy does not address them.
I am sorry that my noble friend does not feel that this hits the button. I hope that, as we take it forward, he will see that we are serious about ensuring that we reflect on what Henry Dimbleby produced in his two excellent reports—for the first time linking the food we eat and the health of our nation with how it is produced, and how we avoid the huge and extremely regrettable percentage of the food we produce that we waste.
As my noble friend knows, the Government are committed, because it is the law, to reaching net zero by 2050. We published our Net Zero Strategy last year, which sets the UK on a clear path to achieving that. The food strategy supports the delivery of a net-zero strategy, for example by making clear our commitment to publishing a land-use framework. This will play a critical role in setting out how we can best use land to meet net-zero and biodiversity targets, as well as helping our farmers adapt to climate change.
I hear what my noble friend says about peatlands. I was in the Peak District National park last week looking at extraordinary levels of peat restoration, which will gladden his heart and perhaps make him feel that, working together with land managers, we are going to get to the target his committee sets.
My Lords, I was going to raise a question about the land use strategy, which I welcome—a small crumb of thanks, if I may put it into this pudding of a strategy. However, I cannot ask that question because I am so appalled by how awful the strategy is. When I was chief executive of Diabetes UK, we worked endlessly with the supermarket sector on any information that it gathers in profusion. It became abundantly clear to me that that was a tiny part of tackling the epidemic of poor health in this country, which is killing the health service. Diabetes is now the biggest cause of premature death, from heart attacks to strokes. It causes blindness. People’s legs fall off. A shedload of things are draining the resources of the National Health Service as a result of obesity, which is simply solved if people can access the right food at the right price. I do not believe that this strategy will do that.
I will ask my question on the land use strategy, nevertheless. I am very grateful that we are going to have one. I am worried that we should not just focus on climate change, biodiversity, the environment and agriculture because there are other things that land is important for, such as the built environment, infrastructure, energy generation, flood risk management, health and mental health. How will these other objectives be taken into account in preparing the land use strategy—for which I am very grateful, with my small crumb of thanks?
I am very grateful to the noble Baroness for her support, but I understand that that support is conditional on it being a good land use strategy that reflects the wider uses of land in a property-owning democracy, which is what we are. You cannot order farmers and land managers to use their land a certain way. You can regulate them in certain ways and you can control them through the planning system but, most of all, you can incentivise them.
It is not only the Government who are doing that. I was talking to a dairy farmer the other day who told me that he was way ahead of the Government in getting to net zero, not because the Government were telling him to do it, but because to continue to sell his milk to a particular buyer he had to get to net zero. That made him make land use decisions that were in the public good. There is a lot happening, but it does need pulling together in a clear, coherent strategy and I hope, working with people on all sides of this House, we will get a land use strategy that will be fit for the decades to come as we tackle the huge challenges we face.
My Lords, this strategy has chapters on levelling up and trends in diet and obesity. However—here I declare my role as chair of the Commission on Alcohol Harm—it says absolutely nothing about alcohol. Yet alcohol is highly obesogenic; one glass of wine is equivalent to two Jaffa cakes. When we look at levelling up, we know that there is a much higher rate of alcohol-related mortality in the north-east of England. It is more than 20% higher than in the south-east of England. Alcohol is associated with 45% of all violent crime and 39% of domestic violence. Every day there are about 80 alcohol-related deaths and every year there are about 6,000 alcohol-specific deaths. Given the high source of calories in alcohol products across the board, why has alcohol been completely omitted from a strategy that talks about obesity and levelling up, when it is a cause of levelling down and ongoing obesity?
The noble Baroness eloquently identifies a very serious societal problem, but to say that the Government are not addressing it because it is not specifically mentioned is not the case. The Department of Health and Social Care, working with other departments, has a very clear view about how we can help reduce the problem she identifies. She is right to say that it affects more challenged communities much worse than others. We are working across government and working with local government, education and in a variety of other different ways to tackle it. We will always be open to her expertise and knowledge in trying to make sure that those are felt right across government.
My Lords, does the Minister really think that this is a strategy about healthy meals or healthy profits for a few multinational companies? The first paragraph of the executive summary says:
“The food and drink industry”
is the biggest “manufacturing industry” and creates
“£120 billion of value for the economy every year”.
Does the Minister think that food is something you manufacture or something you grow and produce in the natural environment? You have to get to paragraph 7 on the second page before health or sustainability are mentioned. It is described as a government food strategy. Would it not be better described as a corporate strategy to produce profits? Why does it not focus on healthy local fruits and vegetables? The noble Baroness, Lady Finlay, said that alcohol is not mentioned, but it does get mentioned once. The very first product mentioned is Scotch whisky. It then goes on to mention
“Worcestershire sauce, the Melton Mowbray Pork Pie … Cornish Clotted Cream”—
all lovely treats, I am sure. But where is the food to healthily feed people? Why, when we are talking about fruit and vegetables, do we focus on tomatoes and lettuces? Where are the root vegetables, the apples, pears, nuts and pulses, and the things we can do to help give people healthy stable food grown here in the UK?
On her last point, I refer the noble Baroness to the points we make about expanding horticulture and our investment in new technologies to produce sustainable fruit, vegetables and leafy greens from a variety of different new sources, not only vertical farming. The noble Baroness shakes her head, but it is in there.
On the other point about the food industry, every job is liberating and household-supporting, which is fundamental to a family. That is the point we are making. This is not some corporatist point; it is about the individuals working in these businesses. Every single parliamentary constituency in the country, with the exception of Westminster, has a food processing or manufacturing company. They are agents for levelling up. They give people apprenticeships, skills and an income. They pay taxes, which build hospitals and schools—we need to be reminded of that occasionally.
My Lords, getting food to market is also a factor.
“Reducing barriers and bureaucracy following Brexit”
is crucial and contained in the report. That will be most welcome to many. However, a food strategy must include a well thought-through freight and logistics programme. I understand that there is a White Paper to be distributed on Wednesday. We all look forward to that and we will be scrutinising it with great care in the months to come.
I am co-chair of the parliamentary group on the future of UK freight and logistics, which has the sole objective of receiving submissions from all regions of the United Kingdom, including Scotland, Wales, Northern Ireland and the individual regions of England. As an example, the east of England could, with good reason, be said to be the breadbasket of fruit and vegetables in this country, but it expresses concerns about logistics, with roads in particular requiring a well thought-through upgrade programme. What can the Minister offer so that freight can operate on a much-needed, efficient distribution network within our United Kingdom?
The noble Viscount raises a really important point: our food industry and food distribution network is one of the 13 items listed in our critical national infrastructure. It was shocking, in 2010, when we came into government to find that there was no national infrastructure database and no drawing together of all the important points, including the ones made by the noble Viscount. I am sure that it is not right yet; we have to connect up where we need things to be in this country with the best and most sustainable means of getting there. This will continue to mean that we will have to move things on roads. Hopefully, we will move things in a much more environmentally friendly way in years to come, but there are alternatives as well. We should be building for the future to fit in with our net-zero ambitions.
I declare my interests as set out in the register. It is to be welcomed that the Government recognise the importance of food, but the strategy should be more dynamic. There are widespread problems throughout the food system which Henry Dimbleby has done well to identify and express in his report, but they have not been dealt with adequately by the Government. There is great anxiety from the widespread uncertainty engendered by government policy across many areas.
I will concentrate on one area for integration across government—quality food—and say that farmers are very good at responding to opportunities, once co-ordinated into quality marketing schemes. How is the Minister’s department working with farmers, growers, processors and the food chain to ensure that domestic initiatives—such as quality branding, product of designated origin schemes and other marketing schemes—are better integrated with the Department for International Trade to develop export opportunities in food and trade deals, where deals are not to be focused merely on opening up the UK to imports? Will Defra set up a new taskforce to build on this integration, reducing emissions and adapting to climate change? These are both key challenges for sustainability.
The noble Lord is absolutely right. We need to ensure that we are not only feeding ourselves, and maintaining the dependability of what we grow ourselves, but looking at markets abroad. There are a number of shining examples of our export potential, including exports of quality food from these shores. I hope that, in the years to come, we can see exports—not just to the European Union but to the rest of the world—benefitting from a new trading environment where farmers can benefit as a result. I am not sure that it requires a new taskforce to be set up, because I consider that taskforce to be the Department for Environment, Food and Rural Affairs working with the Department for International Trade. However, I am open to any ideas that will oil the wheels of export potential for our farmers and growers.
Baroness Stroud (Con)
My Lords, the strategy rightly points out that the Government have a role in addressing health inequalities. The concern I want to raise with my noble friend the Minister is regional health disparities. We know that the levelling-up agenda is committed to addressing these regional health disparities, but we also know that a 65 year-old in, say, Kensington and Chelsea lives for a further 24 years, while someone in Manchester may live only for another 18 years. In Halton, 78% of the population are experiencing obesity, but in south-west London, the figure is only 42%. These are real health disparities that we were hoping the Government’s food strategy would have a part in addressing. We are led to believe that a number of recommendations have been removed from the report. Can my noble friend the Minister outline why he is still convinced that this strategy will address such health disparities?
To my noble friend I say that the Government have stated in their policy that they wish to see life expectancy rise across the population. However, she is absolutely right to point out that there are some areas where the life expectancy, and indeed other health outcomes, are vastly different. It is not just in the report that we are looking at the health of the nation; it is in the whole Government’s levelling-up agenda. I sit on a committee with Ministers from other departments who are absorbed by these issues and want to see a change so that the life expectancy, as well as the life opportunities, of people in deprived areas are addressed. If we are not getting that message across, we must do better, because it is an absolutely key ambition for this Government. We want to see the inequalities that have existed for too many decades change in fast time on our watch.
My Lords, I will follow up on a point made by the noble Baroness, Lady Walmsley, who referred to the Government’s attachment to the word “revolution”. The strategy offers £5 million to deliver a “school cooking revolution”. I believe that there are about 24,000 schools in England; with a rough bit of maths, that is about £200 per school. Is that how the Government plan to deliver a revolution in school cooking?
Leading on from the last question, it might be more important that those lessons in supporting young people in making the right diet choices are targeted at the places where there is evidence of the worst food choices being made. That is not a preachy way of doing it. We want to deal with the problem where it exists, recognising that there are very serious health issues around the diet choices that people make. Without pointing fingers or doing this in a way that has not worked in the past, and looking to a different way of approaching it, tackling the problem in schools is really important.
(4 years, 3 months ago)
Lords ChamberMy Lords, I beg leave to ask the Question in the name of the right reverend Prelate the Bishop of St Albans, who has been unavoidably detained in his diocese and sends his apologies.
My Lords, I declare my farming interests as set out in the register. This Government are committed to safeguarding food security, as highlighted by the food strategy published today. I am very conscious of the issue raised, and we already have several protections in place, such as requirements for public consultations on any large new woodland as part of environmental impact assessments. I am also working closely with Her Majesty’s Treasury and BEIS to develop robust standards for green finance investments, and will set out the next steps in the forthcoming months.
My Lords, does the Minister agree that industrial-scale tree planting by large investment companies which purchase arable land may create what are called ecological dead zones and generate more carbon emissions if insufficient attention is given to biodiversity, according to the John Muir Trust? If so, how will Her Majesty’s Government ensure that such companies are subject to proper biodiversity requirements so that they may prove to be responsible stewards of the land?
Yes, I agree with the right reverend Prelate that the wrong kind of trees planted in the wrong place under the wrong management style will be a loss for both the environment and the social element we want in our countryside. That is why there are very clear rules under the woodland carbon code which corporates would have to abide by, and why the Forestry Commission, if applying through grant aid schemes, will require standards to be maintained. For example, planting will not be permitted on deep peat; it will be concentrated on poor land.
My Lords, it is a nonsense to allow private companies to acquire vast hectares of arable land, often removing generations of farming families, in order to offset their carbon emissions and carry on with business as usual. British farmers are essential to the country’s ability to produce food. Does the Minister agree that importing food which is not produced to the same high animal welfare standards as we enjoy in the UK, to replace that which we might have grown ourselves, is a backwards step?
I suggest that we look at this as the glass half full: there are plenty of examples where private sector finance can be a massive boost towards the environment by working with farmers and seeing tree planting on poor-quality land, for example. Some 57% of agricultural produce is produced on 33% of agricultural land. This shows that, if we favour the productive land to produce food—every single farm has corners of it that can be planted with trees or for other ecological benefits—this will benefit the farmer and is in accordance with the food production targets and ambitions of this Government. It can work; we want to root out the bad behaviour which the noble Baroness rightly points out.
My Lords, I declare my interests as set out in the register. The Minister has rightly referenced the importance of a good balance between vital food production, carbon capture and other environmental things. It is a very difficult issue, and I wonder whether he can confirm that the devolved Administrations and the UK Government are discussing these things at the new Inter Ministerial Group for Environment, Food and Rural Affairs.
I absolutely assure the noble Earl that we are working closely with our devolved colleagues on this, because the environment clearly does not respect boundaries. We want to make sure that our policies are very closely aligned with them. The issue is perhaps more pertinent in Scotland and Wales, where we have seen some of the concerns which have led to this title of a “wild west” in how private sector finance is applied. We want the highest standards applied. There are good examples right across the United Kingdom and we want to make sure that the tweaks and the measures that we impose favour those who are showing virtue rather than those who are not.
My Lords, I declare an interest as I live quite close to Newmarket, where an exceptionally large solar farm is proposed on high-quality farmland. I wonder whether my noble friend will say, in light of the food strategy today and the desire for greater food security, what steps the Government are taking to ensure that the desirable use of solar farms and renewables is not prejudicial to our environment or indeed our food security?
I am well aware of this case in Suffolk and the concerns of local people about loss of good agricultural land. The food strategy published today sets out the ambition to maintain our high levels of food security and production. Those sorts of developments need to be seen in the context of that ambition, and very strict rules relate to both planning and the use of the best agricultural land. That may well apply in the case that my noble friend refers to.
With about 7 billion trees, I think, we are one of the least forested countries in Europe, and there is a case for more trees—the right trees in the right place. I cannot understand why there is not a complete ban on using food-producing land for solar farms, when all the flat roofs of the warehouses and factories in this country could be used for that. There would be more space available; it is a given that it does not take good agricultural food-producing land.
There are many grants that people can source, even at a household level, to acquire and install solar panels on roofs, and the noble Lord is entirely right to point that out. He is also right that we need more trees. We have very ambitious targets of planting 30,000 hectares of additional trees every year by the end of this Parliament. That can be achieved without impacting our food security, and there are many areas of renewable energy production that can be done in accordance with food production as well.
I am sure the Minister is aware of figures from 2019 showing that corporations already own 18% of England, together with oligarchs and City bankers owning 17% and the aristocracy and the gentry owning 30%, all of that adding up to less than 1% of the population owning more than half of the land. Does the Minister agree that for food security to allow new small farmers and food growers to enter and start small businesses, we need to democratise land ownership?
The most beneficial way to encourage people into farming at all levels is through a system of let land and tenure. It is very often those corporations and those individuals that the noble Baroness mentions that provide the only entry for people who do not have access to capital to purchase a farm. We want as broad activity as possible in agricultural production, and that means encouraging new and younger people to enter farming through the tenancy system.
My Lords, in response to the question from the noble Baroness, Lady Bakewell, on a similar issue last Wednesday, the Minister said:
“we are taking action to make sure that private sector investment in our natural environment is done properly, with the proper social underpinning.”—[Official Report, 8/6/22; col. 1151.]
Can he explain how this “social underpinning” is going to work? Will local people have the right to veto a large-scale private sector land grab, an example of which we have already been hearing about?
Under the Forestry Commission’s rules, there is a local consultation process that proposed tree planters are required to go through. Also, the woodland carbon code is very clear, as is the UK peatland code. We also want to make sure that corporations that are investing in this kind of mitigation are publicly accessible through the UK Land Carbon Registry, so anybody can see what is being done in their neighbourhood. We want to make sure that, with these so-called environmental, social and governance measures, the middle word is used and is fundamental—w want to make sure that these schemes are socially acceptable, as well as environmentally acceptable.
The most pressing food security issue facing the United Kingdom at the moment is the inability of Ukraine to export its grain to the West. I ask my noble friend: what assessment have the Government made as to the challenge that this will present us and the West? Also, how do the Government intend to mitigate this problem?
It is having an enormous effect on the global cost of agricultural production. The Government are working internationally with organisations such as the World Bank, which has invested $180 billion in trying to make sure that the countries that are going to be deprived of grain as a result of the Ukraine war are supported. In this country, we are largely self-sufficient in grain, and what we do import comes from countries such as Canada. But my noble friend is entirely right to point this out to make sure that we are working with the international community: first of all, to get the grain out of Ukraine; and, secondly, to support the countries that are going to be affected, in a devastating way, by the shortages that arise from this crisis.
(4 years, 3 months ago)
Grand CommitteeMy Lords, I start by referring to my entry in the register. As other noble Lords have, I congratulate the noble and right reverend Lord, Lord Harries of Pentregarth, on securing this debate and other noble Lords on their powerful contributions. This is an emotive subject for me. I was looking at a woodland at home the other day, two-thirds or possibly three-quarters of the canopy of which is or was ash. As has been said, this is the first tree disease where the wider public are seeing something really tragic happening to our green and pleasant land.
Trees are of central importance in our efforts to fight back against climate change and biodiversity loss—a point powerfully made by the mover of this debate. That is why the Government have committed to increasing tree planting rates across the country to 30,000 hectares per year by the end of this Parliament. But planting trees is not enough. It is critical that we also protect them from the threats of pests and diseases. Our current treescape has an asset value of £175 billion, but the threat from plant pests and pathogens is significant and growing, driven by increasing globalisation and by climate change.
The noble and right reverend Lord, Lord Harries, asked what assessment Her Majesty’s Government have made of the health of trees. I assure noble Lords that we have a robust and comprehensive plant health system, operating pre-border, at the border and inland, to reduce the risks of pests and diseases entering the country and to manage the impact of established pests. We cannot overlook the professionalism in our nursery sector. I will name Nicholsons in Oxfordshire, which I visited the other day. It has superb phytosanitary policies in place and huge amounts of expertise in its staff, which complements the work done by government employees.
The Government’s UK plant health risk register—this answers a point raised by a number of noble Lords—tracks and prioritises plant health risks. Over 1,200 pests and diseases are listed on the register, 30% of which are capable of attacking trees. Risks are reviewed monthly for action, such as further regulation or increased inspections.
The process also enables us to consider factors that may be pertinent to climate change adaptation, such as identifying pests and diseases that might be expected to increase in range or prevalence due to climate change. Our plant health research and development programme is investigating these potential issues further, aiming to identify and prioritise exotic plant pests and pathogens with the greatest likelihood to establish or spread in the UK as a result of a change in climate.
I chair a monthly biosecurity meeting attended by officials and the Chief Plant Health Officer and I am brought up to date on a more regular basis on the progress across Europe of tree pest and diseases, which are always alarming. My noble friend was right to raise the nightmare potential of Xylella. You only have to go to southern parts of Italy and other parts of southern Europe to see whole landscapes devastated by that disease. It is an absolute priority that we keep it out of these islands.
Since leaving the EU, we have strengthened our import regime by introducing a prohibition on imports of the highest-risk trees, including many native species, and a requirement for phytosanitary certification of all plant imports. We require the pre-notification of all imports of regulated plants and timber to allow for official inspection. Our border inspectors now carry out over 70,000 physical checks each year. We also have a significant inland surveillance programme and have invested additional resources to drive increased inspection rates at the highest-risk sites.
The Forestry Commission is responsible for carrying out ground surveys of over 40,000 trees for priority pests and diseases, such as bark beetles, sweet chestnut blight and canker stain of plane. The Animal and Plant Health Agency carries out over 5,500 inspections at nurseries each year. The Forestry Commission also carries out risk-based aerial surveillance of over 1 million hectares of woodland each year. Aerial surveillance is a powerful and cost-effective tool, with new technology supporting it that enables the Forestry Commission to survey a significantly larger area than would be feasible using ground-based surveys alone.
Citizen science and sightings from the public further enhance surveillance. The Observatree network of trained volunteer health surveyors is a network of over 200 trained volunteers in England, Wales and Scotland, and is supported by a dedicated team of professionals. Lastly, the TreeAlert service is run by Forest Research and receives reports from the general public. These surveillance programmes produce rich datasets, which feed into the Tree Health Diagnostic and Advisory Service, which diagnoses potential pests and pathogens and produces quarterly reports. New statistics released last month show that last year, up to March 2022, the service dealt with a record 3,790 inquiries or samples of suspected tree diseases and pests—a nearly 25% increase on the previous year. This is the public getting involved in science and the risk that we face. The most commonly identified pests and disease were oak processionary moth and ash dieback.
We also aim to limit and manage the outbreaks that occur and are currently taking robust, official and urgent action—the word “urgency” was rightly used by a great many noble Lords—to contain or eradicate a number of regulated pests, such as Ips typographus, Phytophthora pluvialis, Phytophthora ramorum and oak processionary moth, using tree removal or treatment of infested trees. We are deeply indebted to landowners such as my noble friend who, in the south-east of England, have faced the arrival of Ips typographus and are helping us create a cordon sanitaire, so that other insects that blow over from the channel will have nowhere to go because there will be none of that type of spruce there. Dealing with outbreaks is costly so, where feasible, we aim for eradication. One example is the eradication of a small outbreak of Asian longhorn beetle in Kent between 2012 and 2019, which cost around £2 million. In comparison, the cost of managing the insect in the United States, where eradication has not been possible, has been at least $373 million.
An outright ban on plants and trees may seem to some like a simple solution. However, UK production does not currently meet demand and trade in plants and plant material is essential for many reasons, including food security and resilience to climate change. Additionally, many invasive pests, such as ash dieback and Ips typographus, can arrive independently across the channel, having been blown here on warm winds. It is therefore impossible to reduce the risk of new pests and diseases arriving to zero, which is why we have in place this comprehensive system of surveillance and reporting for tree health threats.
We have recently invested £5.8 million to build a new world-leading quarantine laboratory at Forest Research’s Alice Holt site in Hampshire. The new facility means we now have the capability to undertake research and diagnostic work on quarantined pests and pathogens in a secure and contained environment. On top of this, we are investing in measures to increase the resilience of our treescape to future threats. We provided up to £10.5 million in the last financial year to support the sector to increase UK production of diverse, high-quality tree-planting stock and to enhance biosecurity.
At the risk of falling out with my friend, the noble Baroness, Lady Young, I challenge the view among some that we should restrict our plantings in this country just to native species. We face such threats of diseases and climate change that if we put our eggs in too few baskets, the chance of this green and pleasant land remaining so is put further at risk. I want the whole sector, whether NGOs such as the Woodland Trust, which I respect and admire, Confor and the forestry industry, the amenity planters or local authorities, as mentioned by the noble Baroness, Lady Bennett, to work together with a single sense of purpose.
I am running out of time. I will try to address some of the other points raised. On ash dieback, we have planted thousands of the most resistant plants in the south of England and we are monitoring them. As has been said, a lot of work is being done on the genome. There is a relentless attempt to try to home in on the most resistant ash trees, to take stock from them and to build, and not to have to wait for five decades, as we have with elm.
We recognise that the tree-planting targets, which have been referred to, are ambitious. We recognise the importance of hedgerow trees as well. That is a very important point. The loss of ash from that landscape is as devastating as the loss of the elms that I remember.
Noble Lords made many other points; I will sit down and write to them with replies.
Our plant health regime aims to detect and stop new issues at early stages. Where this is not possible, our surveillance systems give us the best chance of discovering and managing, or eradicating, those pests and diseases which do arrive. Government-funded research and development provides hope even against established diseases.
As noble Lords will no doubt appreciate, tree health is an active area in which the Government have invested in recent years. Later this year we will publish an updated plant biosecurity strategy, which the noble Baroness, Lady Young, asked about. On 23 May, we signed a new plant health accord with industry, trade bodies, the Woodland Trust and others. In the accord, we have agreed to work together to promote biosecurity best practice for all—an effort in which I know we are all united.
I am sorry that we have run out of time. A great many questions were asked. I will endeavour to answer them by another means.
(4 years, 3 months ago)
Lords ChamberTo ask Her Majesty’s Government what steps they are taking (1) to prepare farmers for the removal of direct support over the next decade, and (2) to equip farmers with the skills required to adapt to a competitive trading environment.
My Lords, I declare my farming interests as set out in the register. Our agricultural transition plan explains how we will prepare farmers for the phase-out of direct payments, using the money freed up to offer environmental land management schemes that will pay farmers for delivering environmental improvements. We are offering support to help farmers adapt to the transition, including through the future farming resilience fund. The Government are contributing towards the establishment of the institute for agriculture and horticulture—of which my friend, the noble Lord, Lord Curry, is the moving force—which will drive skills development in the industry.
My Lords, I cannot remember a time when a feeling of uncertainty permeated the farming industry more than it does right now: uncertainty over the impact of trade deals, over inflation and over the future of ELMS. When might the Government make announcements about ELMS so that farmers can begin to plan ahead with some confidence? Secondly, does the Minister agree that we should use the transitional period between now and the end of the decade to ensure that farmers come out of this process in better shape than they went in and better equipped to deal with net zero, the restoration of habitats and, importantly now, the production of healthy, wholesome food to feed the nation?
My Lords, I am absolutely convinced that farming is going to be a profession and a skill that will be much in demand in a hungry world. But the noble Lord is absolutely right: there is uncertainty because of commodity price spikes internationally and because of changes to farming systems. We are doing all we can to skill up farmers for a different world—a different world of support, in which they will be incentivised. We want to make sure that they do so in a way that reflects how young people want to go into an industry and to be skilled. I am happy to work with the noble Lord and other noble Lords on making sure that we understand how we can help farmers at this difficult time.
Can my noble friend explain to the House what specific support will be given to tenant farmers, who risk being ineligible under the new schemes?
My Lords, tenant farmers can access the sustainable farming incentive, which is the entry-level scheme. Where there are difficulties between landlord and tenant, we are seeking to iron them out with the committee headed by my noble friend Lady Rock, which has representatives of the Tenant Farmers Association, the CLA and others, to make sure that tenant farmers will be a fundamental part of future British agriculture. It is the only way for many people to get into farming, and we want to see it thrive.
My Lords, currently farmers are losing basic payments at a faster rate than they can claim under the new sustainable farming incentive. As a result, many of them are suffering financial hardship. When is Defra going to increase the range of environmental standards under ELMS that can be claimed so that farmers can get their finances back on an even keel?
We have announced a number of the areas of the sustainable farming incentive, the soil standard and many others. We are going to make further announcements in the next few weeks on other aspects of the environmental land management schemes. We recognise that farmers have to face price spikes—for example, in the areas of fertiliser production—and we have brought forward their area payments by six months, which will give them the cash they need to purchase the inputs they need to make sure that the next season’s growing crop is in the ground.
My Lords, I declare my interest as a farm owner. Does the Minister agree that English farming should make every effort at this time to maximise cereal production to offset the Ukraine/Russia supply shortages? If so, what steps will the Government take to ensure that this happens?
My Lords, I have already outlined one area in which we are helping. I am glad to say that the fertiliser production plants in this country that were either mothballed or operating at half-rate are producing again. We want to make sure that we are doing all we can to reflect the global issues here. The truth is that we are almost self-sufficient in wheat; we get very little from Ukraine and Russia. What is happening is a human tragedy in those countries, but it is also a tragedy in countries that depend on them for wheat. The perverse result is a very high spot price for wheat of £318.75 in November, which will be of huge benefit to farmers as they plan for future years. But we have to understand that the Ukraine crisis is causing global uncertainty, and Britain has to be a part of resolving that.
My Lords, the removal of the CAP should be liberating, but only when farmers are sure that the replacement will not lead to drastically falling incomes, making food production uneconomic. The rush for carbon offsetting is leading to the sell-off of farms for tree plantations so that air travel can continue unhindered. Does the Minister agree that, if farmers feel it is more economic to sell off their land rather than continue to use it for agriculture, surely there is something wrong with how the Government are implementing the changeover?
The Government want more trees planted, but we want the right trees planted in the right way. Many of these plantings are under the headline of environmental social governance. To me and the Government, the “S” matters as well as the “E”. If an airline—the noble Baroness used this as an example—is buying land and kicking off the farmers, that may be quite “E” in terms of what they are planting, but it is not very “S”. That is why we are taking action to make sure that private sector investment in our natural environment is done properly, with the proper social underpinning.
My Lords, given the current reluctance of farmers to alter their normal cropping to pick up on ELMS, would it not be a good idea for the Government to find a way to sponsor additional FWAG officers, and particularly to train those FWAG officers in the field? Those last three words are the important ones because it is all very well learning in a classroom, but FWAG officers are enormously trusted by farmers so the new trainees have to learn how to talk to farmers. If they could do this, it would be an excellent way of allowing farmers to see the opportunities for not only increased wildlife in the countryside but improving their bottom line.
Farming and wildlife advisory groups are incredibly valuable because the advisers are trusted interlocutors. The noble Lord is absolutely right that they need to be skilled both technically, which they can learn in the classroom, but also in understanding the practicalities of agriculture. There are a great many courses available; more so now, as we have increased the GCSE programme to accept environmental management. But he is right that there needs to be a practical element to training and I am very happy to have further conversations with him and others about this.
My Lords, the Minister has mentioned that, in the new farming regime, farmers will be assisted and paid for environmental improvements as well. But as he knows, our record on public access to farmland is truly lamentable and one of the worst in Europe. Will the Government give the House the assurance that, when they look at the new regime, they will encourage farmers and insist that they allow much more public access?
I have been absolutely determined to facilitate much more access to the countryside on my brief watch in this post, but the truth is that we could spend ELMS 20 times over on different schemes. We have a crisis of species decline and are one of the most nature-depleted countries in the world. We therefore have to use ELMS to do that. There are many other things that we could be and are doing, but I want us to focus on how people want to access the country. Some people do want to walk right round the coast of England but some just want to walk out of their town on a circular route. I want to ensure that we are working with farmers and landowners to deliver for those sorts of people as well.
My Lords, the Minister mentioned incentivising farmers. I would like to know how he thinks that the Government are incentivising farmers when they do environmentally unfriendly trade deals with places such as Australia, which come in and undercut our farmers’ produce on animal welfare and environmental value?
We have a firm commitment that, in all trade deals, we will not compromise on environmental and animal welfare standards. We also have to recognise that, if you are going to bring food right across from the other side of the world, there is a carbon price to pay for that. We want to make sure we are favouring local food, produced sustainably by British farmers, and that is what we are working to achieve.
(4 years, 3 months ago)
Lords ChamberTo ask Her Majesty’s Government, further to the Prime Minister’s address to the United Nations General Assembly on 26 September 2020 in which he called for the creation of “a global network of zoonotic research hubs”, what progress they have made towards establishing a zoonoses research centre in the United Kingdom.
My Lords, the Government are committed to developing the scientific capability needed to protect the UK from zoonotic pathogens as part of the vision for a global network set out by the Prime Minister. In support of this, we are investing in new technologies, such as whole genome sequencing, and supporting our zoonotic and emerging disease research programmes. We also engage international partners on multilateral initiatives that support global health security and surveillance through one-health approaches.
I thank the noble Lord for his Answer and acknowledge what is being done, but is it enough? A critical issue here is the animal-human interface. Past and present emerging human infections which have spilled over from animals to humans include HIV, SARS, MERS, Ebola, various influenzas, Covid-19 and monkeypox. Does the Minister agree that scaling up UK research in a virtual national zoonoses centre with global reach and a one-health approach will not only fulfil the Prime Minister’s pledge but be a significant demonstration of the UK’s commitment to aid the global effort to limit and prevent future pandemics?
The noble Lord is absolutely right. This is a major threat and was identified as such in the integrated review. We are corralling expertise within government, academia and the private sector, and our priorities are around genomics research, vector-borne disease research and projects to improve the use of surveillance. We think this is the best way that we can abide by not only the Prime Minister’s commitment but the leadership Britain has given in the G7 and G20 to make sure we have a global response to these threats.
My Lords, will my noble friend pay tribute in this regard to Fera, the food science facility at Sand Hutton, near York? I commend the work of many universities outside the golden triangle of London, Oxford and Cambridge on this. Does monkeypox not show that just the sort of global framework argued for by the noble Lord, Lord Trees, is needed at this time and that Britain should be at the forefront of it?
I am very happy to pay tribute to Fera, which does extraordinarily important work and is part of a wide range of different organisations— I apologise to noble Lords; sometimes it is like an alphabet soup—which we are trying to bring together, with their various different strands of expertise, to make sure we tackle all zoonotic diseases. My noble friend is absolutely right that monkeypox is one of them.
Lord Cunningham of Felling (Lab)
My Lords, when the Labour Government were elected in 1997, we inherited the international beef ban. Bovine spongiform encephalopathy was a zoonosis which wreaked havoc on the British agriculture industry and our reputation, not just in Europe but internationally. I regret that, although we eventually solved the beef ban and the problem of BSE, the Labour Government did not go on to establish the kind of thing that the noble Lord, Lord Trees, talked about. I fear that this Government are making the same error. Does the Minister not recognise that, unless we act in a wholly different way, as the noble Lord, Lord Trees, suggested, we will run the same risks again?
The noble Lord is absolutely right to point out the impact that these diseases have. Foot and mouth cost this country £8 billion and huge amounts of human and animal misery. Subsequent diseases, including Covid, have identified that we need to be so much more prepared for this. We are putting enormously increased resources into scientific research and the infrastructure that supports it. Our science capability in animal health, which is centred at Weybridge, has just been voted £200 million to improve its facilities, and there is much more to come in future. That is all part of being a significant contributor to the global effort to tackle zoonotic disease.
My Lords, what assessment has the Minister made of the risk of rabies being imported into this country from pets coming in from Ukraine?
There is a very large number of pets in Ukraine; it has one of the highest pets to human population percentages anywhere in the world. Rabies is an endemic disease there, but the good news is that over 95% of the many pets that have been brought with migrant families showed immunity to rabies when we applied the ELISA test, which indicates that they have been inoculated. We are trying to fast-track a means of quarantining them which is kind to the migrant but also protects our rabies-free status.
My Lords, the GB Wildlife Disease Surveillance Partnership focuses on detecting known and emerging diseases in wild animals, such as rabies-like viruses in bats and bovine tuberculosis in badgers. When cases are confirmed, controlled methods can be implemented. There is a need to broaden this surveillance to pathogens found in wild and domestic species. There is currently no funding for non-notifiable pathogens in UK wildlife. Is it not time that the Government took a more holistic view to prevent future outbreaks and provided such funding?
We are providing funding for diseases that can come from wildlife. One of the worst ones to hit us in recent months and over the last two years has been avian influenza, which is brought by migrating birds. We are putting a huge amount of effort into learning the lessons from both last year’s and this year’s outbreaks to make sure that we are supporting the industry with as much biosecurity as possible to prevent future outbreaks.
My Lords, I am sure the Minister is aware that the rapid increase in zoonotic diseases has its roots in the environmental crisis: deforestation, habitat destruction, intensive farming and unregulated trade in wild animals. Therefore, as well as the vital areas of medical research and response to disease, how are the Government focusing their intervention on prevention as well as diagnosis and cure?
The right reverend Prelate is absolutely right to raise this issue. It was a feature at COP, where we managed to talk about more than just carbon and climate change; we also talked about the impact on nature, and on us, of a depleted environment. As the right reverend Prelate knows, we cannot address that within these borders; we have to continue to lead on it internationally, and the COP in Kunming at the end of this year is absolutely vital in taking forward the issues he raises.
My Lords, taking animals from the wild for their meat or for other products is a known major source of genetic diseases such as Ebola and HIV. With that in mind, why are the Government not prepared to ban in the kept animals Bill the keeping of primates as private pets in the UK? Surely that would significantly improve these protections.
The noble Baroness is absolutely right to point out the impact of kept animals in passing on zoonotic disease. Trying to make our borders secure is absolutely vital, and I will get back to her about this issue because the Government still intend to include measures to prevent people keeping the wrong kind of pets in this country. It is wrong for the pets because our climate is not right for them, and we must also consider their welfare conditions.
My Lords, could my noble friend say a little bit more about the “global network” in the Question?
We are supporting something called the Quadripartite MoU for One Health, which includes the OIE, the WHO, the FAO and UNEP—apologies again for the acronyms. That is part of what we are doing to participate in measures to address the surveillance issues, so that we know about diseases sooner and can react to them, and it is part of the response which we in the UK, as has been already pointed out, are particularly skilled at providing. There are a number of other international bodies of which we are a part.
My Lords, three-quarters of emerging human infections are zoonoses, and Covid-19 is only the latest example of this. It is therefore surprising that in our biological security strategy there are only fleeting mentions of zoonoses—one in a footnote and one in the glossary, and nothing else. Maybe this is one of the reasons why the strategy is being refreshed. However, unfortunately the call for evidence for the refresh makes only a very generic reference to them. We will need to correct that if we are going to claim to be world-leading on this. Our own national biological security strategy should give this dimension the attention it deserves.
The noble Lord is very knowledgeable on the wider context of threats, which the integrated review picks up. I point to the leadership that was given in the G7 when Britain had the chairmanship, and subsequently in other fora, to make sure that we are part of a global effort on this and that we are leading where we can add expertise.
(4 years, 3 months ago)
Lords ChamberMy Lords, with the leave of the House, I shall repeat an Answer to an Urgent Question in the other place from my right honourable friend the Environment Secretary:
“The global spike in oil and gas prices has affected the price of agricultural commodities. Agricultural commodity prices have always been closely correlated with energy costs, since gas is used to manufacture fertiliser and fuel energy is needed throughout the food chain. Gas prices were rising as we emerged from the pandemic, but the invasion of Ukraine has caused some additional turbulence in international commodity markets. I have already set out measures to support farmers and growers in England ahead of the coming growing season. Those measures are not a silver bullet, but they will help farmers to manage some of their input costs from fertilisers.
The turbulence of the market has brought into focus again the importance of a resilient global supply chain and the importance to our national resilience of having strong domestic food production. In the UK, we have a high degree of food security. We are largely self-sufficient in wheat production, growing 88% of all the wheat that we need. We are 86% self-sufficient in beef and fully self-sufficient in liquid milk, and we produce more lamb than we consume. We are also close to 100% self-sufficient in poultry. Sectors such as soft fruit have seen a trend towards greater self-sufficiency in recent years, with an extended UK season.
As part of a global market, however, there have been pressures on input costs and prices. As a result of those rising input costs, there are of course also some pressures on households, predominantly as a result of the energy costs. There have also been some rises in food prices in recent months, although the ferocity of retail competition means that price pressures have been contained on certain product lines.
In March, overall food prices rose by 0.2%; the price of fruit actually fell in March by 1.2%. In April, however, food prices rose by about 1.5%, which is a faster rise than we have seen in some years. On specific categories of food in April, bread and cereals rose by 2.2%; sugar, jams and syrups rose by 2%; the price of fish rose by 2%; and meat rose by 1.9%. Vegetables, including potatoes, rose at a lower level of 1.3%, and fruit remained broadly stable. The price of oils and fats decreased slightly in April by 1.1%.
The single most important measure of household food security and the affordability of food remains the household food survey that Defra has run for many decades. That shows that, among the poorest 20% of households, consumption on food was relatively stable at around 16% of household income between 2008 and 2016. It then fell slightly to 14.5%, but with the recent price pressures, we can expect it to return to those higher levels of around 16% in the year ahead.
We are monitoring the situation. The Government have put in place an unprecedented package of support to help those who need it. That includes targeted cost of living support for households most in need through the household support fund, where the Government are providing an additional £500 million to help households with the cost of essentials.”
My Lords, there is no doubt that global events, including increased oil and gas prices, are contributing to both food and other forms of inflation. However, the Government’s response is clearly insufficient, with even the head of the CBI claiming that there is a moral imperative for the Chancellor to prevent households having to skip meals. The Secretary of State may feel that a few percentage points on food prices is a cause for concern. Does the Minister acknowledge that more than 2 million adults in the UK have gone without food for a whole day in the past month because they cannot afford to eat? Defra’s various schemes to support domestic producers are welcome, but when will the Government wake up to the situation and use an emergency Budget to put in place the support that families need right now to get through this difficult period?
My Lords, as announced in the very recent Spring Budget, the Government are providing an additional £500 million to help households with the cost of household essentials from last month. That is on top of what we have already provided since October last year, bringing the total funding of this support to £1 billion. We have also increased the minimum wage to £9.50; we have announced a rebate on council tax; we have announced a rebate on energy bills; and, in England, £421 million will be provided to extend the existing household support fund. A lot is being done. I absolutely share the noble Baroness’s concern for those households that are in difficulty. The Government are monitoring this at every stage that they can and will continue to respond accordingly.
My Lords, there are not many forces working on food prices, but I think that it is generally agreed that soaring international prices for oil and gas are one of the main drivers. There seems to be a resigned view among Ministers that there is nothing much that we can do about this. That is not correct. Our ports at the moment are jammed with frozen gas ships ready to deliver gas into the system and bearing down on all gas prices, which ought to benefit consumers. Internationally, there is substantial spare capacity in oil production; if we have the right diplomatic initiatives and work with others, we can get that going as well. Both these things would have a far bigger effect on reducing the inflation of energy and food than any other single measure. Can the Minister encourage his colleagues in the Foreign Office to get on and focus on this major and central issue?
My noble friend is absolutely right that it is crucial that we create more stability and coherence in international supply chains. That is of course massively important in terms of energy. We are working with other countries; indeed, we very much took the lead in working with the World Bank to create an unprecedented amount of money to support those countries that depend in particular on food from countries from which we do not import much, such as Ukraine and Russia. It is about making sure that we ease those supply chains, right across the globe.
My Lords, yesterday, the CBI, of which I am president, had Ambassador Vadym Prystaiko at our annual dinner. He spoke movingly and explained that, at the moment, it would take five years to get the grain out of Ukraine using rail and road, unless the ports are unblocked. What can the Government do to lead the way in international efforts to unblock Odessa port so that the grain can get out? Otherwise, we have the danger of famine around the world. Secondly, with regard to what the Bank of England governor referred to as an “apocalyptic” rise in food prices, surely the best way to address that is to reduce taxes, which are at the highest level in 70 years. Consumers and businesses need help now.
To the noble Lord’s point about Odessa and getting grain out of Ukraine and on to the world market, it is of course a war zone. While this war ebbs and flows, there may be opportunities for the international community to get involved in precisely what he rightly points out is important. We do not know. However, I can assure him that we are working extremely hard with other countries and the Government of Ukraine to try to achieve this. There was talk earlier about trying to find some sort of land bridge to get some of this produce on to the world market, but that is more difficult. On his last point, of course the Chancellor deals with fiscal matters, but I point out that we have increased the threshold below which people pay income tax, which directly impacts many people on low or modest incomes. It is those sorts of things that have much more impact on household incomes than some of the suggestions that we have had to date.
My Lords, does my noble friend share my concern that fruit and vegetable prices may increase because there are no Ukrainian workers coming over? How advanced is the scheme that my noble friend is looking at to bring Ukrainian women and their families over, and would it not be a wonderful idea to accommodate them at RAF Linton, which has family accommodation for both the women and their children?
I am not aware of the details of that last point, but we are working very closely with the sector. Our information is that there are concerns, but it is thought that they are containable and that the fruit and vegetables will be harvested and available for our domestic market. I assure my noble friend that we are monitoring this daily with the industry to make sure that we are getting this right.
My Lords, this is indeed a very weighty and wicked issue. In this House, it behoves us to focus down on the harsh realities of the impact of rising food prices. I do not know whether noble Lords saw this yesterday, but I was shocked to hear the BBC reporting on the shrinking of school meals as food prices rise. Children who are on free meals are, by definition, the poorest in the country. Can the Government guarantee that the inflation of food prices will not see these children suffer even more? They deserve at least one square meal a day.
There are very defined standards on school meals and I would want to know more details about how or why they are nutritionally deteriorating in the cases mentioned in that report—I did not see it myself. I can assure the noble Baroness that, yes, of course, rising food prices have an impact on the public sector. Millions of meals are served every day in the National Health Service, in old people’s homes, in prisons and in the Ministry of Defence, so the Government are feeling this as well. It is important that our most vulnerable people, particularly children on free school meals, are getting not just that meal but also one that is nutritious and health-giving.
My Lords, I thank the Minister for his replies on this important area, but is he concerned, as a number of people are, that some farmland is now being taken out of production because it is being bought by companies for carbon offset? Indeed, one of the issues about some of the rewilding is that, sometimes, good farmland, which could help us, is now not available. What are Her Majesty’s Government doing to increase our food production, both for our own security but also so we can export to help those other countries that are facing huge hikes in prices?
Rewilding Britain is the campaigning organisation promoting rewilding and I think it has a target of 5% of the United Kingdom by the end of this century, which will not have an impact on food prices. It will, because of the change in the way we are supporting farmers, be bits of land that most farms can make available for ecological use rather than food production, without at all impacting on the food we eat. However, the right reverend Prelate raises a very important point about the way that some of the trillions of dollars of so-called ESG money is being spent in certain areas. The Government are taking this very seriously, because the S in ESG matters; the social dimension of how this money is spent, in what is called green finance, is really important. We need to protect our food security in the future and we are looking at this—not just ourselves in England but working with the devolved Governments to make sure that ESG money is being spent in a way that is honest, is not greenwash and does not curtail our ability to continue to feed ourselves.
My Lords, the Statement said nothing about Ukraine, although other noble Lords have mentioned it. Is the Minister not aware that the production of corn, fertiliser and oil from Ukraine is a very significant part of world production? Is that not going to affect not only prices and availability here, but maybe a greater movement towards famine in other parts of the world? I think many noble Lords agree that it is very unlikely that the material will be got out of Ukraine in the volumes necessary unless the ports get opened—which they probably will not.
I am sorry that the noble Lord missed my reference to Ukraine, which underpinned the whole basis of this Question, because I did mention it and it is fundamental. He is absolutely right that it does have an effect, not so much on this country in terms of the wheat we use—because we produce 88% of what we need and the remainder is imported mainly from countries such as Canada, with which there is no problem—but in the fact that this is a massive global issue. That is why Britain, for example, has led, with the World Bank, on getting $180 billion going to those countries that now face real difficulties. We heard earlier about what India has done as a result of its heat difficulties. We are very concerned about the global marketplace and the ability of some vulnerable countries to cope; that is why we are working with international bodies to help solve this.
(4 years, 3 months ago)
Lords ChamberThat the draft Order laid before the House on 29 March be approved.
Considered in Grand Committee on 17 May.
(4 years, 3 months ago)
Lords ChamberThat the draft Regulations laid before the House on 30 March be approved.
Relevant document: 37th Report from the Secondary Legislation Scrutiny Committee, Session 2021–22 (special attention drawn to the instrument). Considered in Grand Committee on 17 May.
(4 years, 3 months ago)
Lords ChamberTo ask Her Majesty’s Government what assessment they have made of the impacts of climate change and biodiversity loss on food security.
My Lords, in 2021 Defra published the United Kingdom Food Security Report, which examined the impacts of climate change and biodiversity loss. We have received the Climate Change Committee’s latest assessments of climate risks to the UK, which will inform the third national adaptation programme, due in 2023. Improving water security and soil health is crucial to food security and closely linked to the significant action we are taking to tackle climate change and biodiversity loss.
I thank the Minister very much for his Answer. While the immediate situation in Ukraine is, as we all know, putting incredible pressure on the world’s food security and this will undoubtedly get more acute, we must not be lulled into thinking that this is the only driving factor. As the Minister said, droughts, fires, floods, desertification and deforestation are the drivers and causes of climate change and biodiversity loss, and indeed of food insecurity. Will the Minister give us a clear assurance from the Dispatch Box that the Government will not use any legislation from this Session to reduce the high environmental standards that have already been set, in the pursuit of getting more cheap food into the system?
The noble Baroness has long experience in this area, and I assure her that the Government take this area of our responsibilities really seriously, not just domestically but internationally, where I believe we are a leader in trying to get the world community to come together to address global food security risks. The Pentagon, in a paper it published, called climate change the “risk escalator”, and it is. It will lead to further pressures on populations right across the world, and it is an absolute priority for this Government to help resolve it.
My Lords, given the escalation in food prices and the difficulty in world food supplies, does my noble friend agree that we should be very careful not to allow policies of rewilding or other environment-related schemes to diminish our ability to produce foodstuffs domestically?
It is our intention that farmers across these islands will continue to be incentivised to produce good-quality food. We have remained remarkably consistent in our food security over the last two decades, and we want to see that continue and improve. Through our farming reforms, we are incentivising farmers to continue to produce good-quality food.
My Lords, I was reassured that the noble Baroness, Lady Boycott, mentioned world food security; that is absolutely critical. Can I pursue with the Minister that the Government will not forget that many of the poorer countries in the world can produce only a very limited type of food, upon which their own societies depend?
It is precisely those people who will be the greatest victims of climate change. In the short term we are working with the World Bank to lever the largest ever financial commitment, $170 billion, to support countries faced with economic hardship, both in the short term as a result of insecurity and the war in Ukraine and in the long term, working with international bodies to address these very problems for the most vulnerable people in our society.
My Lords, we are a trading nation and always have been. It is essential to ensure that harmful practices are not offshored, as environmentally degrading practices are making the biodiversity crisis we face worse. In turn, this makes growing crops on much of the planet harder. Can the Minister assure the House that the new trade Bill will not allow the import of goods produced to lower standards than ours? In the long run it would be utterly pointless and self-defeating for us and our allies to do so.
The noble Baroness is absolutely right. We have to make sure that we are not, through our environmental policies, just pushing carbon emissions and biodiversity practices that we do not allow here to other countries. We are part of a global community. Our food supply chains are very complex and we want to manage them with our international relations and make sure that we are protecting our environment at home, continuing to produce good food and playing our part abroad as well.
My Lords, will my noble friend join me in paying tribute to our farmers, not just for putting food on our plates but for creating and protecting biodiversity? Will he ensure that food security is embraced as a public good and that tenant farmers will continue to benefit from farm payments?
We want the entire spectrum of British agriculture to benefit from the changes. We recognise that this is a difficult time for farming; it would be even if we were not going through the changes we are with commodity price spikes and the like. We are working closely with them and the food sector to make sure that we are supporting our British farmers and that they continue to produce food at the highest welfare and environmental standards now and in the future.
Last year’s report from the Committee on Climate Change said:
“Defra still lacks a strategy to ensure the agricultural sector remains productive as the climate changes.”
It went on to say that the focus of the ELMS reforms was on flood risk rather than the broader climate impact. Does the Minister feel that those points have been fully addressed? If so, can he write to noble Lords and put a letter in the Library giving details of that? In particular, can he explain how the new strands of the ELMS programme are now addressing those broader climate change obligations?
I absolutely can commit to a letter that brings noble Lords up to date with our reforms. It is much more than just flood protection. It is about producing sustainable food. It is about soil systems. It is about making sure that farmers are incentivised to protect the environment and reverse the catastrophic decline in species. We are living through one of the riskiest times in terms of biodiversity loss. We want to reverse that but we are trying to do it in a way that supports farming systems. I am very happy to keep noble Lords informed of our progress.
My Lords, my noble friend mentioned that Ukraine has wheat in storage but cannot get it out because its ports are being shelled and blockaded. I am told that the real reason is that no wheat-carrying ships can get into the Bosphorus or the Black Sea because they cannot get insured and therefore cannot carry out such wheat as would be available and is necessary to stop a major crisis and starvation, particularly in Egypt, Lebanon and places like that. Will the Minister consider states, including the United Kingdom, undertaking the insurance that private enterprise will not provide and without which there will be further great starvation because of the blockade?
My noble friend raises an important issue that I will look into and contact him about. While this country imports a very small amount of grain from Ukraine and Russia, we have more in terms of oils. That is one of the reasons we are working with the World Bank: to make sure that countries that depend on imports from Ukraine are supported. I will certainly get back to him on the other point.
My Lords, the insurance of shipping often depends on its protection. Does the Minister believe that the fact that we currently have 12 frigates and will soon have only nine does anything to help protect the global shipping that is so important for our country and many nations?
I am always amazed by and respectful of the noble Lord’s ability to get naval matters into almost any Question. He is right that this is a matter of global security and not just about what Britain does. It is about what we do with our allies to support the free movement of goods around the world. There has been huge investment in the Royal Navy, which I am sure he is really pleased about, but we want to see that continue.
Given that more than 50% of human calories come from just four crops, with a fast-changing global climate, does the Minister agree that increasing the diversity of crops is crucial? What are the Government doing to ensure that we grow a more diverse range of crops in the UK, particularly more vegetables and fruit?
There are enormous opportunities under our new schemes for farmers to operate in a more entrepreneurial way. They are really good at seeing new opportunities. With the new technologies which Defra and the Government are investing in for farmers, particularly in the fruit and vegetable sector, there are new possibilities with vertical farming and other means to make sure that we are disrupting the age-old food supply chains which have been found to be so vulnerable at this time.
My Lords, in view of the Minister’s reference to the international dimension, is his department involved in work towards the COP 15 conference due to be held in China on the convention of biological diversity and in particular discussion of the strategic plan and its implementation? What can the Minister tell the House about the constructive contribution that I hope the UK will make to that conference?
Building on the fact that nature was hard-wired into COP 26, my noble friend Lord Goldsmith is leading on this to make sure that these are embedded in the Kunming COP. We recognise that, as the Dasgupta review said, half the food we eat is totally dependent on biodiversity. Therefore, this COP could not come at a more important time and we have to make sure that we have success at the end of it, as we did with COP 26.
(4 years, 3 months ago)
Grand CommitteeThat the Grand Committee do consider the Agriculture and Horticulture Development Board (Amendment) Order 2022.
My Lords, I declare my farming interests as set out in the register.
This instrument delivers changes for a reformed and more accountable Agriculture and Horticulture Development Board that will play an important role in supporting farmers through a time of significant transition. While it marks an end to the AHDB’s levy work in horticulture and potatoes, it also marks an important new beginning for how the AHDB engages with and delivers for other sectors, including cereals, oilseeds, beef, sheep, pork and dairy. It respects the outcome of the ballots in the horticulture and potato sectors to end the AHDB statutory levy in their sectors; it is clear from the ballots and industry feedback that the statutory levy mechanism does not meet the very diverse needs of horticulture and potato businesses and that a different approach is needed going forward.
However, we must recognise that, while the overall result of the horticulture ballot supports an end to the statutory levy—with 61% voting against it continuing—there are a diverse range of views, with some subsectors such as soft fruit, tree fruit and mushrooms voting to keep a levy. I recognise the concerns of those subsectors at losing levy investment in important research and crop protection activities that the AHDB has traditionally funded and delivered. Therefore, while this instrument respects the ballot by repealing the statutory levy provisions, it also ensures that the horticulture and potato sectors can remain in scope of the AHDB order. This means that any parts of the industry that want to continue to work with the AHDB can do so on a voluntary levy or commercial basis in future. This will also enable the AHDB to continue to deliver legacy research and plant protection services to these sectors during a transition period.
I can also assure noble Lords that the Government continue to engage proactively with the horticulture industry to develop alternative industry-led funding models, such as syndicate funding for specific crop research and voluntary levies, that will better suit the diverse needs of the sector going forward.
I also highlight that this instrument marks the beginning of a new direction for the AHDB—an AHDB that is more accountable to levy payers in other sectors, including beef, sheep, pork, dairy, cereals and oilseeds. It delivers a new duty on the AHDB giving levy payers a regular vote on sector priorities. This will ensure that levy payers have more influence over the AHDB’s sector programmes, how much levy will be raised and what it is spent on in future.
The AHDB has been working hard to deliver this already through its “Shape the Future” campaign, where levy payers have recently voted on the priorities they want to see the AHDB deliver over the coming months and years. This could be such things as the work the AHDB does to open new export markets, its consumer marketing campaigns to promote UK produce and defend the industry’s reputation, or the market intelligence it delivers to inform farmers’ decisions. This is a momentous step forward for the organisation and marks a turning point in putting levy payers right at the heart of everything it does.
I also draw your Lordships’ attention to a technical drafting point. As a consequence of removing the horticulture levy provisions, this instrument will broaden the definition of the horticulture industry in the AHDB order. The definition will now include the growing of a wider range of horticulture products by way of business. This will deliver more flexibility in future, as it will enable more businesses in the horticulture sector to work with the AHDB on a voluntary levy or commercial basis if they wish to.
To support this flexibility, this instrument also includes provisions to clarify that the AHDB can charge to cover the costs of any services it may deliver in future to any agriculture or horticulture business in scope of the AHDB order. It also ensures that, where a sector is paying a levy, any additional charges can only be made for the cost of services not already covered by the levy.
In conclusion, these legislative changes sit alongside significant governance and cultural changes which the AHDB has already put in place to deliver a more inclusive, democratic organisation that is in a stronger position to meet the needs of farmers. I hope I have assured noble Lords on the need for this instrument, which establishes a reformed AHDB that will help farmers improve their productivity, reduce carbon emissions, engage in environmental land management and access new markets at home and internationally. I beg to move.
My Lords, I thank the Minister for his introduction and for his time—and that of his officials—in providing a briefing for this afternoon’s statutory instruments. It is important that those engaged in both the horticulture and potato industries know when the levy that they pay is to be removed, in order that they can plan. I assume that the consultation carried out has provided some indication of timetables.
The levy was first implemented in 2008 under powers in the NERC Act. In January and February, the potato growers triggered a call for a ballot. Only 5% of the membership is required to call a ballot, which seems a very low threshold. In the horticultural sector, there was a 69% turnout and, as the Minister has said, of those who voted, 61% voted to abandon the levy. In the potato sector, there was a 64% turnout, with 66% voting no to continuing with the levy—overwhelming figures. As a result, the Government have abandoned the levy for future years.
However, there is still the issue of how the money accumulated in the past and in future will be spent. A five-yearly vote on how the money is spent seems a long gap between decisions on spending priorities. Are the results of the vote on spending plans monitored against sector planned priorities? Paragraph 7.6 of the Explanatory Memorandum indicates that levy payers have a say in how the levy is spent. Can the Minister say whether this happens in practice?
With the abolition of the levy, there is a fear that the research and development work of the AHDB will be restricted. However, as the Minister has said, there is an opportunity for the AHDB to charge for services provided. I could not find any reference in the EM or in the statutory instrument itself to the scale of the charges. Paragraph 12.2 of the Explanatory Memorandum states:
“The impact on the public sector is the loss of levy funding for AHDB horticulture and potato services.”
Does this mean that the AHDB will be financially unviable for these sectors, or will the charges they can impose cover the loss of the levy?
There are 10 other sectors covered by this SI within the overarching definition of the horticulture industry—from protected vegetables grown in glasshouses and indoors to trees and saplings in tree and forest nurseries. It is important that research and development continue to provide protection for all categories, especially as many diseases are airborne and difficult to control.
The current levy produces an income of £5.6 million from the potato industry and £5.7 million from horticulture. This is a large sum to be replaced by charges, which appear to be ad hoc but I hope have some rational basis. All other sectors, including pork, beef, dairy and sheep, produce an income of £70 million. At this time of uncertainty in both the EU and other trading markets, it is vital that R&D capacity is not weakened across any sector. There is ongoing consultation with sheep producers on the levy. I look forward to the results of this consultation.
I am encouraged that the Government are listening to industry growers in abolishing the levy for potatoes and horticulture, but I am concerned about the effect on R&D. I look forward to the Minister’s reassurance but generally welcome this SI as a step forward.
My Lords, I am grateful for the views expressed on the order. I believe we all recognise the importance of respecting the outcome of the democratic ballots to end levies in the horticulture and potato sectors and the need for the AHDB to be more accountable to levy payers in future. I will try to respond as best I can to the questions that have been put on such an informed basis—I am grateful for them.
On the point made by the noble Baronesses, Lady Bakewell and Lady Jones, I recognise the concerns at the loss of £14 million of annual levy funding for the future of horticulture research and about retaining skills and research capabilities in these sectors. However, I can assure the noble Baronesses that we are working proactively with representatives from across the horticulture and potato sectors to agree new industry-led funding models for research and crop protection activities that can meet the needs of this diverse sector more effectively than the statutory levy has done in the past. Discussions with industry on these options are ongoing, with the aim of agreeing new industry-led funding models over the coming months.
It is clear that the current one-size-fits-all levy was not meeting the diverse research and support needs of these two sectors. Therefore, it is more appropriate in future for subsectors or groups of growers to come together to formulate plans for the delivery and funding of priority research activities tailored to their specific business needs. This could be through a voluntary levy or a statutory subsector levy if industry supports that approach. As a next step, we will engage in discussions with industry-led groups and trade bodies to explore in more detail the design of industry-led funding options.
I understand the point that the noble Baroness made about five years between seeking the opinions of sectors as to whether they want to continue with the levy. However, a body with 471 employees and a turnover of many millions of pounds needs a period of stability to produce research, to do the work it does on innovation and then to take it forward with the sectors concerned so that they can then make an informed decision about whether this suits them. We considered the views very carefully but concluded that we do not currently have the details necessary to make legislative amendments to deliver a subsector levy. For example, there are detailed questions that need exploring, such as who would pay the levy, how it would be applied and calculated and whether there should be any exemptions. We are engaging in discussions with industry to explore industry-led funding options, including syndicate grower-led funding for specific research projects and the potential for a voluntary levy to fund a co-ordinated approach to crop protection activities. We also remain open to exploring new subsectors of statutory levies if there is widespread support for this from the businesses that would be eligible to pay for it.
A point was made about the consultation response saying that the public funding will not pay for research or other actions that were funded through levy investment. The inferred question was: does that mean that horticultural and potato research bodies or businesses cannot apply for funding from Defra’s future farming schemes? Research organisations and businesses in these sectors can continue to apply for existing future farming schemes in England, all of which have a policy focus, such as the farming innovation programme, for which they definitely are eligible. These schemes are subject to open competition, with applications judged on their merits. It is important that industry provides leadership in formulating new industry-led funding models that will enable cross-industry collaboration for the delivery of priority research development and other activities to support their businesses in future.
If I got her point right, I think the noble Baroness also asked what would happen if it cost the AHDB more than estimated to wind up its horticulture and potato operations and would another year of levy be charged. The AHDB has built a small contingency into the wind-up budget to cover any such eventuality, and it is tightly managing the wind-down process to ensure that it is completed within budget. We are clear that the statutory levies on the horticulture and potato sectors are ending from April 2022, and the AHDB will not seek any additional levy after 2021-22, even if additional costs or liabilities arise out of that wind-up process.
The noble Baroness, Lady Jones, asked about issues relating to Scotland and the devolved Administrations. I shall just give some background to this. The organisation employs around 470 staff. The noble Baroness made a very good point about governance, and it is governed by a main board, with several sector councils representing each of the levy-paying sectors. In response to industry feedback, the AHDB has been delivering organisational change to modernise its governance, reduce central costs and bureaucracy and increase levy payer engagement to deliver improved value for money to levy payers. That is very much part of the process that she asked about.
The AHDB embarked on a major change programme to ensure that it is an effective and efficient organisation, fit to meet evolving levy payer needs in future. However, before those changes were fully delivered, a number of dissatisfied levy payers in this sector, as I have already described, utilised the provisions in the order to trigger a ballot. As has been said, a ballot can be triggered if requests are received from at least 5% of levy payers in the sector over a rolling three-month period. The horticulture ballot closed on 10 February 2021; 69% of horticulture levy payers turned out to vote, as has been said, and 61% of those voted no to the levy continuing.
To respond to the outcome of the ballots and implement reforms resulting from the earlier request for views, the UK Government and devolved Administrations ran a public consultation between November 2021 and January 2022 to deliver an end to the horticulture and potato levies and improve the accountability of the AHDB to other levy-paying sectors in future. This SI now implements those changes. A joint UK Government and devolved Governments public consultation delivered that answer. Some 1,196 levy payers voted, which, as the noble Baroness said, is a fairly decisive number.
A question asked was why we were not implementing proposals to expand the scope of the AHDB to other agricultural sectors. Having considered the range of views on this proposal, and some of the difficulties between respondents from different countries, we have decided not to deliver this legislative change now. However, as a next step, we will take forward discussions between the UK and devolved Governments to explore in more detail the benefits and safeguards needed to provide a broader scope for the AHDB to work in practice, with a view to implementing the legislative change in future, subject to the outcome of these further discussions.
It was asked whether there will be any further Defra funding to help fill the gap left behind by the levy. It is not appropriate for public funding to replace levy-funded activity, but we are keen to work with industry leaders on their proposals for new models to fund collaborative research and development and other activities to support their businesses in future, whether through a voluntary levy, commercial arrangements or a new statutory levy where there is widespread support for that. However, research organisations and businesses in these sectors can continue to apply for existing future farming schemes, as I have already said, including the farm innovation programme and the farm investment fund, for which they are eligible. These schemes are subject to open competition.
The noble Baroness, Lady Jones, asked what will happen to the horticulture and potato research and knowledge generated from levy funds since 2008, and whether it will still be accessible. AHDB horticulture and potato work will be archived and made accessible online via the AHDB website to levy payers by the end of March 2022, to ensure that the industry can continue to benefit longer-term from its investment. She is entirely right to raise this, as all data and research must be available.
We live in a fast-moving time for agriculture. We need to introduce new innovation and measures to support different sectors, and I hope that this will provide a meaningful future for this very important organisation. I hope I have addressed the concerns raised by noble Lords and that they will approve this instrument for a reformed and accountable AHDB that will deliver value for money, supporting farmers for years to come—
I do not want to make heavy weather of this, but it seems a bit odd to me that we are effectively cancelling—or running down via a transition—the research that has been taking place without a new model to replace it. The noble Lord has explained that discussions are going on, but in my limited experience an awful lot of agricultural research has to be ongoing—you cannot just stop it and expect to pick it up two years later. They may not be researching potato blight, but things such as that happen in field trials season by season, rather than stopping and starting again. We are where we are, and I do not suppose that anything will change, but it seems odd that we have stopped one scheme without having the follow-up replacement oven-ready to be there in future.
The noble Baroness will be a much greater expert than me on scientific research and support for agriculture, but she will also know that this is across a very wide spectrum of provision—all kinds of academic organisations, government-linked bodies and organisations funded through industry. We want all different sectors to be able to access the research they need to build on the very long datasets which have been built up over the years; 2008 to 2022 is a microscopic moment in time in terms of the development of understanding and knowledge about crops and animals and how to make them more productive and how to make our systems reflect the desire for good animal welfare and environmental standards.
I am sure the noble Baroness will continue to keep the Government’s feet to the fire on this. I will be very keen to share with her and others all the different avenues we are going down to make sure that there is adequate support for these sectors in future. I cannot be more specific than that, but we live in a broad-spectrum world of innovation and we must not be narrow in our approach but accept that the answers may exist in the minds of people yet to enter into academia and research —and also those abroad. We will take her point into account and I will keep noble Lords informed. If there are no more points, I beg to move.