Budget: Implications for Farming Communities

Debate between Alicia Kearns and Daniel Zeichner

Monday 4th November 2024 Commons Chamber

[Daniel Zeichner]

My hon. Friend is absolutely right. It seems that the Conservative party does not understand that if we raise taxes and invest in the future, we can do more to protect people who cannot protect themselves. It is vital that we tackle rural crime, which is a top issue that is raised with me consistently.

[Alicia Kearns (Rutland and Stamford) (Con)]

At the Rutland ploughing contest this weekend, it was clear that farmers feel devastated. They feel that the Government do not understand them, because farmers do not have liquid wealth; they rely on land as their asset to produce food. They turn a small profit but have a very constrained cash flow. Indeed, they have the lowest return on assets of any business sector—an average return of less than 1%.

“Losing a farm is not like losing any other business. It can’t come back.”

Those are the Prime Minister’s words. As the Minister’s constituency is a near neighbour of mine, will he come and repeat them to my farmers in Rutland and Stamford, and have that discussion with them?

[Daniel Zeichner]

I have been on an extended farm tour for the last five years, and I am sure it will continue.

Agriculture Bill (Eleventh sitting)

Debate between Alicia Kearns and Daniel Zeichner

Committee stage & Committee Debate: 11th sitting: House of Commons
Thursday 5th March 2020 Public Bill Committees

[Daniel Zeichner]

It is a pleasure to continue serving under your chairmanship, Sir David. I am afraid that we will not be rattling on at quite the pace you have managed so far.

Hon. Members on both sides of the Committee will be delighted that today we are going to unleash, as the Prime Minister would say, the full talents of the shadow Front-Bench team and Labour Back-Bench Members. Again, I encourage the Government to do the same. Yesterday morning, while eating my porridge, I enjoyed a thoughtful contribution on the “Today” programme—territory currently uninhabited by Ministers of course—from the hon. Member for Devizes. It is an odd world where Back-Bench Members are free to speak on national media but are constrained on detailed scrutiny. The Government love power but may be less keen on responsibility.

A document relevant to our discussion has once again been released in the middle of a morning. This time, it is a 109-page document on bovine TB. Although it is another favourite document of mine, hon. Members will be grateful that I will not subject it to rigorous scrutiny, but one of my hon. Friends will talk to it this afternoon.

Let me get to the core business. Throughout the Committee, we have said that it is crucial that, in any future trade deals, imported agricultural goods meet our animal welfare, environmental and food safety standards to protect our consumers and prevent our farmers being undercut by lower-standard imports. The Bill improves the standards that we set ourselves by reducing environmental impacts and incentivising public goods, such as high welfare standards. If we do not have coherency between our agricultural and trade policies, however, the Government might as well make the entire Bill null and void.

Hon. Members will have noticed in the oral evidence sessions that I asked almost every witness the same question. Although they put it in different ways, they all gave similar answers and agreed that it is the key issue. The Government have said that they are committed not to allow future trade deals to weaken our food standards—I anticipate the Minister’s response—but the problem is that we have yet to find anyone who believes that. I suspect the same goes for most Government Members. There is a simple solution, which we will say again and again: put it in the Bill. I am tempted to follow the Prime Minister’s lead and get Opposition Members to chant, but I think that is a bit naff, so we will not do that. We will try to do better.

We are sceptical because the actions of the Government and the Prime Minister seem to point in a different direction. On Sunday, the Secretary of State had the opportunity, but again refused to rule out chlorinated chicken and hormone-treated beef being imported from the US under a new deal.

[Alicia Kearns (Rutland and Melton) (Con)]

Does the hon. Gentleman not recognise that we have put it into law that we cannot import chlorinated chicken? We would require primary legislation for that to be removed once we have left the EU, so it is not up for discussion. It is in the legislation. All hon. Members will have a chance to vote on that.

The hon. Gentleman says that the Government are giving all the signs of having no interest in protecting standards, but did he not note Liz Truss’ announcement of our red lines, which are standards? That has reassured my farmers locally, who are very happy for all amendments on trade standards to go into a trade Bill, not the Agriculture Bill.

[Daniel Zeichner]

I am delighted that we are getting some rumbustious debate. I will come to the point later of the exact legal position on the current status, which I suspect is not nearly so clear. I am not convinced that many are as reassured by the Secretary of State for International Trade’s document, which I have started reading, as the hon. Lady has, but I am glad that some of her constituents are satisfied, because many are not.

We know that the Prime Minister will not prioritise alignment with EU standards in the upcoming EU trade deal. When asked last month about lower-standard American products coming to the UK, he described such fears as “hysterical” and “mumbo-jumbo”. Given his past record, as I take that as, “Yes, we should be very worried indeed.”

If the Minister is in any doubt about the need to include a safeguard for our production standards in the Bill, I point to the comments made by a Government adviser on food strategy at the weekend, which reveal that the iconoclasts running the show have little regard for protecting our farmers and the domestic production of food. The Mail on Sunday article was a classic of its type, including comments such as

“Britain doesn’t need famers,”

according to the adviser, and

“the food sector is not ‘critically important’ to the economy.”

It concluded with the memorable message from the Mail on Sunday to the Government:

“Britain doesn’t need farms? Find another box to think outside!”

[Alicia Kearns]

Does the hon. Gentleman recognise that that email was sent in a personal capacity by an adviser? It is MPs and Ministers who make legislation, not advisers—I am pretty sure about that. [Interruption.] I do not know who that individual adviser is, so clearly he is not advising my views. The Secretary of State for International Trade, the Secretary of State for Environment, Food and Rural Affairs and the Prime Minister have all made it clear that the points the adviser makes are not Government policy. We can either listen to nonsensical personal emails or pay attention to what those on the Front Bench are saying. I think they have been clear that the Mail on Sunday story was complete nonsense. Does the hon. Gentleman agree?

Agriculture Bill (Eighth sitting)

Debate between Alicia Kearns and Daniel Zeichner

Committee stage & Committee Debate: 8th sitting: House of Commons
Thursday 27th February 2020 Public Bill Committees

[Daniel Zeichner]

I was rather anticipating that we would have a discussion about this issue. This is public money for public goods. We are trying to reflect what we believe is the strong view of the British public that they would not want public money to be used to support hunting. Does the right hon. Gentleman agree that we should try to reflect the will of the people?

[Alicia Kearns (Rutland and Melton) (Con)]

rose—

Agriculture Bill (First sitting)

Debate between Alicia Kearns and Daniel Zeichner

Committee stage & Committee Debate: 1st sitting: House of Commons
Tuesday 11th February 2020 Public Bill Committees

[Daniel Zeichner]

Q I would like to return to the vexed issue of imports to potentially lower standards. ffinlo, you mentioned some of the potential impacts. I would like everyone to comment on the potential environmental impact, given that people are so positive about the potential here. If we do find ourselves being undercut by lower-standard imports, what would be the effect on the environmental aims in the Bill?

Caroline Drummond: I think potentially farmers will walk away from supporting them ultimately, if the marketplace is not delivering against the requirements expected of the imported produce and farmers are increasingly required to deliver against goods that are costing them from a business perspective. That is one of the big dangers. A bigger issue is offshoring, and the fact that we have nine years to deliver against the sustainable development goals. We have the Paris agreements. We have a fantastic opportunity with the conference of the parties talks on climate change being held in this country later this year to herald our ambitions for delivering and demonstrating leadership in environmental delivery and in climate change mitigation delivery.

We might think we can compete on a global level in terms of a huge productivity market, but actually we are just small producers on a global scale. Our real opportunity lies in being the best at what we do. We already have such a good background: despite all the criticism that farmers get for delivering or not delivering against the environment, they have been hugely committed since 2001, after foot and mouth, through entry level stewardship and higher level stewardship agreements, to deliver vast changes and improvements, with strong ownership in how farmers are farming in this country. It would be a real shame to lose that. The Bill is an opportunity to build on that backbone and to place our farmers in a position whereby we continue to be world leading, but with more focused ambition and strong clarity on what we deliver from an environmental perspective.

Jack Ward: In terms of delivering environmental outcomes, we are looking at a balance between a farmer or grower’s own investment and public money. If you start to cut away at the farmer’s ability to invest as an individual, you lose an important part of the funding that will deliver the overall environmental improvements that you are looking for.

ffinlo Costain: I think the future for UK farmers has to be in quality. Volume production will increasingly become a mug’s game. I would not advise farmers to go into it. It should be about environmental excellence, animal welfare excellence and sustainability excellence. The danger is that if it comes into the country, some customers—perhaps quite a lot of customers—will buy it. That is where the undermining happens: it undermines our ability to develop that comprehensive basis for environmental excellence, and it will challenge emerging supply chains in particular. Part of our big challenge over the next 10 years is to shorten supply chains and to make sure that farmers are better able to claim decent farm-gate prices by selling direct or through many fewer cogs before they reach the customer. I worry about those smaller and emerging supply chains being undermined.

[Alicia Kearns (Rutland and Melton) (Con)]

How do you assess that the security of food supply will be improved by the Bill? What do you see as the UK’s greatest threat to food security?

Martin Lines: Food security can only come from healthy soil and a healthy environment. If we over-produce from our soils, we degrade them and there will be no food security for future generations. We need a balance of how we manage our landscape and how much we can produce from that balanced landscape. We can then consider what products we need to import, and whether we need to do other things or change diets or change tjhe system. There needs to be an assessment of how our landscape looks, with a joined-up approach to landscape productivity.

ffinlo Costain: Traditionally, food security has been about volume and about being able to feed everybody. That has led us to the challenges we now face, which Martin just referred to. Food security comes from being able to produce good, nutritious, diverse and seasonally available food. That means we need to restore soil, have good water management, and good community dynamics, with complexity returned to our swards and landscapes where nature works with farmers to produce that food.

Looking forward 40 years to how society could break down as a result of climate change and biodiversity loss, food is the critical factor. If you look around the world at conflicts, including Syria, food is the critical factor that creates conflict. The way that we deliver national security is not by producing volume, but by ensuring that every hectare of our land can produce really good food, and by maintaining the rural economies and the ability of farmers to farm that land. That is why it is critical that we do not go down the route of sequestration here, wilding there, and food here. We need to be able to build broad diversity so that we have national food security in the future.

Caroline Drummond: There is often a lot of confusion around food security. There is the issue of our capability to grow, and having the infrastructure to support farmers with seed, fertiliser, tractor tyres, and investment in that area. There is the issue of what we actually mean by self-sufficiency, how we build our targets, and whether we are ambitious enough. There is food safety. We have some concerns about imported produce in terms of food safety challenges. That has been well heralded. There is also the issue of food defence—our capability to trade confidently, and to have the opportunity to receive food where we do not have self-sufficiency or sufficient produce.

It is a highly complex area. I think it is one area in the Bill where we would report every five years. Perhaps that could be amended to reporting every year, because it is so important.

Jack Ward: In the fresh produce industry, we are very dependent on imports to meet our needs. Arguably, it is the one area of food production where we want to increase consumption. Ultimately, the ability to increase our food security is down to grower confidence, and a willingness by growers to keep investing, and the returns that they can generate from that activity. The last six months have not done great things for grower confidence.

[Daniel Zeichner]

Q I would like to go back to the question of food security, and to some of the points that people have made. I am very concerned by some of what I am hearing, because it seems to me that there is a danger of a two-tier system emerging. A very high-quality, high-value system is, to ffinlo’s point, not about chasing volume. Is there not a potential problem ahead for us if we are not careful, in that we will not produce nearly as much of our own food as we would like? Going back to my earlier question, that also has environmental consequences. It goes back to a point that I think Jack made at the beginning: the sector needs to be profitable to keep people working. Is there a real danger here?

Martin Lines: If I am producing wheat, I can increase my yield by putting more products on, but that has a higher environmental risk, because a lot of those nitrates and products will leave the soil, because the crop has not used them in some years. If we hit the sweet spot with the productivity of our landscape, we can produce what the landscape can cope with, and push it some years, when needed, as well as ease off. It is about finding the balance point. We know from many livestock farmers that reducing livestock numbers actually makes them healthier, better animals, and they produce quicker because there are fewer there and the grass is better.

We have focused for so long just on yield and output, not profitability. Reducing my overall output gives me more profit at the end of the day. It is a funny way to look at how it works, but you end up spending more than you get in return. You chase the extra yield by spending more money. We need to find the place where we deliver as much as we can. Sometimes we can push that if we need to—if there are weather challenges, or other issues—but we should not be out there just to push it, doing environmental damage as a consequence of my farming operations.

ffinlo Costain: The most intensive food systems are environmentally damaging. They are damaging in terms of farm animal welfare, and often just in terms of the jobs that are provided for people, which are not pleasant. The death knell needs to be rung for those sorts of farms.

There is an assumption that with environmental excellence, because of our association with going from mainstream to organic, comes a reduction in yield. There does not need to be a reduction. There are so many examples, here and around the world—Martin being one—of regenerative agriculture, which is giving environmental excellence and social excellence. Farm animal welfare is not an issue on his farm, but elsewhere there are regenerative beef and cattle systems where yield is being maintained in terms of mainstream amounts, and even increased.

There is an assumption that high environmental standards mean a reduction in yield; that is not necessarily the case. It is not just about looking at volume; it is about looking at a whole range of different changes. We need a dietary shift in Britain. That does not mean no meat and dairy, but it probably does mean a bit less meat and dairy as we go forward, and a bit more fruit and vegetables. We can deliver that, with agroforestry approaches and regenerative approaches. We can more than sufficiently provide food for the people of this country—I have no doubt about that—but it will mean changes in diet, and a little bit of change in the way that we farm, at the same time as focusing on multiple outcomes, rather than simply the outcome of producing lots of food. It is food, climate and biodiversity.

Caroline Drummond: We have a tremendous amount of evidence and case studies to demonstrate the importance of integrated farm management practices and how farmers have increasingly adopted them, in terms of economic viability, good performance and optimising the capability of the land. That is a really strong driver. One of the big keys will be how we link the Agriculture Bill with the Environment Bill and the national food strategy—this is such an opportunity for really trying to work out what it is that we want to develop and to balance and to build in what we grow, how we grow it and how we improve the health of our nation as well.

--- Later in debate ---

[Alicia Kearns]

I thought you might, but you never know.

Christopher Price: We should do it, first, for economic reasons. These breeds were bred to be in a British landscape. They can survive in parts of the country that other breeds cannot, or cannot without significant inputs. In many parts of the country, people are farming the wrong animals and are doing so expensively, because they are using certain inputs to support them. We need some help in getting farmers to transition away from the old way of doing things into going back to native breeds.

Native breeds can also provide a wider range of products than many other breeds. I mentioned wools, skins, horns and so on, which all have markets, if people think about it, or are incentivised to start thinking about it rather more. There is a role for Government in that.

Then there is the environmental side of things. The grassland habitats that we so cherish are there because they were grazed by certain animals over generations. If we are going to restore those habitats, the easiest, most straightforward way to do it is by using the animals that created them in the first place.

Lastly, there is the social side. Many of these breeds are part of our history. White Park cows came over Dogger island from mainland Europe before Stonehenge was built. They were part of the Cistercian monks’ currency. Some of the earliest Welsh laws are about how you regulate and use those animals. Herdwick sheep were bred to live on top of hills in the Lake district. Swaledales were bred to be a bit further down the fells. They are an immense part of our culture.

Those are all reasons for supporting them. In terms of how you support them, I would be reluctant for us to go down a simple headage route; I think that would just create the wrong sort of incentives. If a farmer chooses to use native breeds to graze for particular conservation purposes that do not bring him or her a direct financial benefit, that is about the public benefit, which should be rewarded, but it is more about making sure that we have the right infrastructure in place.

There is a lot to do with promoting local produce. We have talked a bit about creating local markets. Some of the more savvy farmers I was talking about are doing an excellent job of that, and part of their brand is selling local breeds and local products from those breeds within a fairly narrow radius—30-odd miles. That is where the premium comes from. It is not for everyone, but people are starting to do it, which is interesting.

Perhaps the single most important thing—we touched on this a bit in the earlier session—is abattoirs. For many of the people that I work for and represent, abattoirs are at least as important an issue as support going forward. We have huge numbers of people who are producing the right animals to the right standards in a very environmentally friendly way. You hear people talking about how their motivation in life is to ensure that their animals have a life worth living and then only one bad day—the day they go to the abattoir—and you have people who want to buy the products, but the whole thing is being stymied in significant parts of the country because there is no abattoir that can cope. If there is an abattoir, it generally will not be able to take the small numbers of non-standard animals and give you back the by-products—the horns, the skins and so on. In many cases, there is no abattoir at all.

If we are talking about short-term Government capital investments, it seems to me that there is a desperate need to invest in pop-up abattoirs or mobile abattoirs. There are practical problems with all of that, but if I could get anything across to the Committee, it would be the need to make sure that we have an abattoir network that is fit for purpose over the next few years, and for the Government to invest in creating that. It does not need to be a long-term investment; once it is there, the market can function and support it, but it is getting us there that matters.

[Daniel Zeichner]

Q I should like to take you up a level, in the sense that since the initial iteration of this Bill, we have become very aware of the climate crisis and Parliament has declared a climate emergency. Do you think there is enough in this Bill to reflect that need for urgent action, particularly given the recommendations from the Committee on Climate Change on policies for net zero referred to earlier? If the NFU can look for a target for 2040, should there not be something in this Bill referencing that?

Thomas Lancaster: We have supported in the past, and would still support, a sector-specific target for net zero by 2040, to reflect the ambition of the NFU and others. We would support an amendment to that effect in Committee and beyond. As a statement of intent and clarity on the role that the sector could play in that climate emergency, it is still a really useful thing to look at. We would also stress that, although this is the Agriculture Bill, in the climate change world there is a lot of talk about nature-based solutions such as peatland restoration, coastal habitats and woodland creation, and the Agriculture Bill, particularly through the land management schemes that flow from it, will be the central mechanism for delivering those nature-based solutions and the aims of the Environment Bill.

Thinking about how public money for public goods can support more sustainable food production that is also carbon and climate friendly, it has an important role to play in building soil carbon, potentially supporting minimum tillage systems, cover crops and other land management interventions that build resilience to climate change in the future. We see climate change running through public money for public goods, from farmed and non-farmed landscapes, and the Agriculture Bill is one of the most important pieces of legislation that we have had in the past decade or probably will have for decades to come in helping to meet the climate emergency that we all face.

Christopher Price: I would support—