Direct Payments to Farmers (Reductions and Simplifications) (England) (Amendment) Regulations 2021

Baroness Bakewell of Hardington Mandeville Excerpts

Monday 22nd March 2021 Lords Chamber

[Baroness Bakewell of Hardington Mandeville (LD) [V]]

My Lords, I thank the Minister for his time, and that of his officials, in providing a briefing on these two instruments, and for his introduction. I regret that I am not able to be in the Chamber, due to underlying health conditions, but do not apologise to the noble Earl, Lord Caithness.

The first SI deals with this year’s reductions in direct payments for England only. I understand that there will be future, annual SIs to cover each year’s payment reductions. The noble Lord, Lord Rooker, referred to this, and to having the information sooner rather than later. Farming is not a short-term function. Paragraph 7.5 of the Explanatory Memorandum refers to the abolition of the 5% reduction for payments over €150,000. The SI itself, in the table under paragraph (3), refers to amounts above £150,000 being reduced by 25% and then, in paragraph 7.3, refers to substituting 25% for 17.5%. I understand that this relates to the young farmers payments, but would be grateful if the Minister could provide some clarity on this issue.

The simplified processing of applications of cross-border farmers who have land in England and other parts of the UK, is to be welcomed. This should make everything easier and simpler. Can the Minister give reassurance that the devolved Administrations are completely on board with this aspect? The noble Baroness, Lady McIntosh of Pickering, referred to this matter. The simplifications and flexibility on rules and inspections are also welcomed, but this may lead to some confusion among farmers. The noble Earl, Lord Devon, referred to notice of inspections. Again, can the Minister provide some clarity over this?

The second SI, on agriculture financial assistance, deals with four schemes, as has already been said: ELMS, the tree health pilot, the Countryside Stewardship scheme and the farming investment fund. ELMS has been the subject of ongoing pilots and we now appear to be in a position to ask for expressions of interest. The process will continue in June, when eligibility will be checked. Can the Minister say whether this is extended to tenant farmers or is the scheme open only to landowners? It is important to restructure payment to smaller farmers, as the noble Baroness, Lady Bennett, indicated.

The tree health pilot is ahead of a three-year pilot which will be launched in the spring and summer. If I understand it correctly, it will monitor and cut down diseased trees and ensure that we have the right trees in the right places. That sounds sensible. However, given that trees take an age to reach maturity and often grow because of seed dispersal by birds, animals, and the wind, I am somewhat concerned that if it is discovered that a tree has grown in the wrong place, it may be felled. I realise this is only a short pilot, but I am worried about the impact of this scheme.

It is not clear just how finance will be allocated to those taking part in the initial pilot or the following three-year pilot. Can the Minister confirm that the tree health pilot is likely to be funded from the Forestry Commission and give some indication of just how the funding for this scheme will be allocated, and against what criteria?

The Countryside Stewardship scheme is a transition from the EU schemes and the move towards ELMS—other noble Lords referred to this. I welcome the fact that this allows farmers to exit the EU scheme as and when they are accepted on to ELMS. However, what will happen to those who are not accepted on to ELMS and fail the eligibility test?

The farming investment fund allows farmers to apply for grants for equipment and new technology and receive support from a specified list. How does a supplier of equipment and technology get on to this specified list? What happens if a farmer requires a grant for investment but for something which is not on the list? Does the UK infrastructure bank have a role in assisting farmers to modernise their farms to help them meet the Government’s environmental agenda?

The Explanatory Memorandum refers in the fourth bullet point of paragraph 6.1 to the discretion of the Secretary of State over matters of non-compliance. It is welcome that a more flexible approach is being taken but this could lead to some confusion for farmers. Can the Minister give some clarity over the three-stage process for appeals on non-compliance, which other Peers referred to? The Explanatory Memorandum refers to agreement holders having to keep records and provide certain information. Does this mean less paperwork for farmers or will it result in more?

I was disappointed that the consultation on the changes in this SI was directed only at a limited number of stakeholders and ran between 4 August and 1 September last year. This was a very short period and the stakeholders have flagged up several concerns and questions in the Explanatory Memorandum.

There is a lot of change in this very short SI, and this will have implications not only for farmers but for the Rural Payments Agency. The RPA has not had a wonderful reputation in the past and I wonder whether it will cope. Does the Minister feel that there is sufficient capacity in the RPA for these changes to be effected smoothly and without a detrimental impact on farmers? The noble Lord, Lord Rooker, referred to that.

Lastly, I completely agree with the noble Lord, Lord Berkeley of Knighton, on thoughtless waste and littering. It really is time for much stricter penalties in this area.

Food Prices: Agricultural Policy

Baroness Bakewell of Hardington Mandeville Excerpts

Thursday 18th March 2021 Lords Chamber

[Lord Gardiner of Kimble (Con) [V]]

My Lords, noble Lords will remember, and as I have said, Section 1(4) of the Agriculture Act is precisely to ensure that financial assistance schemes are within that context, and it is the duty of the Secretary of State to consider food production. Our purpose is to ensure that there is healthy food for all to eat at affordable prices.

[Baroness Bakewell of Hardington Mandeville (LD) [V]]

My Lords, the Government’s ambitious plans to move farmers from direct farm payments to a system whereby they manage their whole business differently to deliver profitable food production and the recovery of nature must be a step in the right direction. However, as other noble Lords have said, we are currently seeing the queues at food banks increasing as people struggle to feed their families. Surely food prices are likely to rise and increase the cost of food for those on low incomes. The Government say they have strategies to deal with this but give no details. Can the Minister give some detail on how feeding those on low incomes will actually happen?

[Lord Gardiner of Kimble (Con) [V]]

There are two points. In the last year, food prices have fallen by 0.8% and, as I mentioned, there is the £280 billion of support. Obviously with a successful economy, recovery from Covid and more people returning to work, matters will improve. There will always be a safety net and that is why I mentioned that £280 billion has gone towards supporting the vulnerable.

EU: Fishing Industry Negotiations

Baroness Bakewell of Hardington Mandeville Excerpts

Thursday 4th March 2021 Lords Chamber

[Lord Gardiner of Kimble (Con) [V]]

My Lords, again, I am interested in what the noble Lord has said because my experience, certainly at Fisheries Councils, is of strong collaboration between all the devolved Administrations. The Secretary of State has had regular dialogue with Fergus Ewing and that will continue, because we have a mutual interest in advancing the export and domestic consumption of excellent products from both Scotland and the rest of the United Kingdom.

[Baroness Bakewell of Hardington Mandeville (LD) [V]]

My Lords, there is a balance to be struck between a thriving fishing industry and the conservation of fish stocks. The network of marine protected areas is at risk. Information from Greenpeace shows that destructive fishing boats spend hundreds of hours fishing inside places that are meant to be protected. While I do not condone the actions of Greenpeace, it is true that bottom trawlers and scallop dredgers are ripping up protected seabeds with impunity. What are the Government doing to correct this?

[Lord Gardiner of Kimble (Con) [V]]

We are ensuring through our sustainability objectives that all of the marine environment in the UK system is protected. That is what we intend to do, and that is why there were deliberations on the now enacted Fisheries Bill. We will be working on ensuring an improvement in our marine ecosystem.

Fishing Sector and Coastal Communities

Baroness Bakewell of Hardington Mandeville Excerpts

Thursday 25th February 2021 Lords Chamber

[Lord Gardiner of Kimble (Con) [V]]

My Lords, we had many deliberations on sustainability during the passage of the Fisheries Bill. It is absolutely at the heart of the legislation, which is why we believe that there is compatibility between sustainable fishing and modernising and rejuvenating our fishing sector with new technology, new nets, REM and all the things we want to do. This is an important source of food, but the harvest needs to be sustainable.

[Baroness Bakewell of Hardington Mandeville (LD) [V]]

My Lords, coastal and fishing communities are suffering extreme economic decline due to Covid. The Prime Minister’s exit road map will help tourist communities, but not as quickly as they would like. However, fisher men and women are in the depths of despair, as has already been said. They were promised prosperity but have received a slap in the face—especially shell fisheries. The Minister has given various figures on support, but how will this affect individual fisheries, especially in Cornwall?

[Lord Gardiner of Kimble (Con) [V]]

My Lords, the recent announcements are UK-wide. We want all coastal communities across the United Kingdom to benefit from these schemes and funds. We think that there is a strong future for the communities. They will command a lot of public support in terms of fiscal support, as I have described, and I am far more confident than I think the noble Baroness is portraying. There are difficulties, and we need to overcome them and advance.

UK Shellfish Exports

Baroness Bakewell of Hardington Mandeville Excerpts

Tuesday 9th February 2021 Lords Chamber

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

[Inaudible]—to Commissioner Kyriakides, because we want to restore the trade in undepurated live bivalve molluscs. That is the issue here. We think that the interpretation that the Commission has come to is not correct, and we wish to have discussions with the Commission about it. A 25% uplift in fishing opportunities is an important part of the trade and co-operation agreement, and we will be working on that. As the Government have announced, not only is there a £23 million fund for those who have been in difficulty in these early stages but we will invest in a £100 million fund for fishing over the next three years. There is a lot of promise and a lot of opportunity for British fishing interests and the shellfish industry as well.

[Baroness Bakewell of Hardington Mandeville (LD) [V]]

My Lords, it is unfortunate for the Government that the BBC is currently screening its series on the Cornwall fishing industry, filmed last year. All see the dramatic effect on the Cornish crab industry of the withdrawal of the Chinese market, and now the EU is refusing to take its shellfish, which was previously acceptable. The Statement says that scallops are less affected than other bivalve molluscs. This is not the impression that I am gaining from the television coverage of the scallop fisheries in Scotland. However, can the Minister explain what the exact problem is with the class B waters around Wales and the south-west? If these waters were acceptable before 3 February, why not afterwards?

[Lord Gardiner of Kimble (Con) [V]]

The noble Baroness has hit on why we wish to have discussions with the Commission. It interprets the matter as being one of public health. The point is that all molluscs exported from class B waters have to be depurated. That is undertaken by businesses near to the market on the continent, and it is on that we are seeking redress. The Commission made it clear in September 2019—and I can put copies of the correspondence in the House Library along with the letter to the Commissioner—that molluscs exported for purification can be certified. We therefore think that there is an issue that we need to clarify.

Genetically Modified Food

Baroness Bakewell of Hardington Mandeville Excerpts

Monday 8th February 2021 Lords Chamber

[Lord Gardiner of Kimble (Con) [V]]

Let me be clear: our endeavours in this matter are for better regulation, not deregulation. We think that gene editing has considerable benefits for the natural environment but clearly on a precautionary basis we will be working to ensure that, case-by-case, there is an environmental assessment. We look forward to the responses in the consultation.

[Baroness Bakewell of Hardington Mandeville (LD) [V]]

My Lords, organic farming has risen by 13% in the past year, but organic farms are at extreme risk of cross-contamination from genetically modified crops putting their own crops at risk. How does the Minister propose to protect organic farms from GM contamination?

[Lord Gardiner of Kimble (Con) [V]]

My Lords, organic farmers undertake a very important role in producing great products. There are regulations about these matters and the way in which GM crops are engaged in the environment, and they will continue.

Brexit: Farmers

Baroness Bakewell of Hardington Mandeville Excerpts

Tuesday 2nd February 2021 Lords Chamber

[Lord Gardiner of Kimble (Con) [V]]

Not only at the end of the transition period but throughout this process, it is essential that farmers in this country produce very good food for the nation and for abroad, while working in collaboration to enhance the environment. That is our purpose throughout the transition and beyond.

[Baroness Bakewell of Hardington Mandeville (LD) [V]]

My Lords, biodiversity is key to ensuring the success of ELMS and the Government’s whole strategy, as set out in the 25-year environment plan. There is, however, no clear rationale for how ELMS will provide financial recompense for those farmers changing from the countryside stewardship scheme to that scheme. Can the Minister now provide some badly needed clarity to reassure farmers?

Organic Production (Organic Indications) (Amendment) (EU Exit) Regulations 2020

Baroness Bakewell of Hardington Mandeville Excerpts

Wednesday 27th January 2021 Grand Committee

[Baroness Bakewell of Hardington Mandeville (LD) [V]]

My Lords, it is a pleasure to follow the noble Baroness, Lady McIntosh of Pickering; I agree with a large proportion of what she said. I thank the Minister for his extensive introduction to this SI and for his time and that of his officials in providing a briefing on it.

Organic food production is at last increasing in the UK. At the start of the process of the Agriculture Act we were informed that the UK had the lowest rate of organic production of any of the EU countries engaged in organic farming. I am delighted that more producers are engaging with organics—there has been a 12% increase in the last year. There is, of course, great demand for organically produced Welsh lamb, although currently getting it through the customs regulations is a bit of a sticking point.

My noble friend Lady Parminter queried why the SI is being introduced so urgently. I share her concern.

When I read the SI, I was prematurely delighted that all organic produce was to be labelled as such, along with a UK organic logo, and that the place where the agricultural raw materials had been farmed would appear on the packaging. This would ensure that some of our iconic UK produce would be safeguarded and its authenticity proved. However, this was short lived; although the SI refers to a UK organic logo, this logo has not yet been produced but is being “developed”. The most obvious question, which I am sure the Minister is prepared for, is: how long will it take to get agreement from the organic producers on this logo? It is vital that the increasing sector has reassurance that its produce will be recognised. Even if the instrument provided for UK organic products to be so labelled, this is undermined by there being no specific, easily recognisable logo, as my noble friend Lady Parminter flagged.

The instrument states that the organic sector is worth £2.3 billion per annum to the UK economy and represents over 6,000 operators. The SI protects them to some extent, but it could go much further, including on consulting the public and the devolved Administrations.

Paragraph 7.3 of the Explanatory Memorandum states:

“Organic food and feed must be inspected and certified within the scope of a regulated framework.”


The Minister has referred to this already, but can he say whether this will mean more or less paperwork for the producers? We have all seen the problems occurring at border points, with the correct paperwork not being readily available. It is important that these “teething problems”, as the Government put it, are sorted out quickly to the benefit of our producers trying to supply the markets they set up prior to Brexit.

I understand there has been consultation with the United Kingdom organic certifiers group. However, its response is not recorded. Can the Minister give an update on the view of the UKOCG?

The SI states that the impact has no changes on direct costs. I presume this relates only to labelling and that there are no changes to other paperwork. Can the Minister confirm this is the case?

I welcome the change the SI makes to ensure that UK organic produce properly labels its origin and that it is organically sourced, but I remain very concerned that the agreement on a certified organic logo is still under review. I would like the Minister to give a definitive date when this will be agreed and begin to be widely used. I fully support my noble friend Lady Parminter’s comments. This is an important issue, which should be progressed urgently.

Fertilisers and Ammonium Nitrate Material (Amendment) (EU Exit) Regulations 2021

Baroness Bakewell of Hardington Mandeville Excerpts

Tuesday 26th January 2021 Grand Committee

[Baroness Bakewell of Hardington Mandeville (LD) [V]]

My Lords, I thank the Minister for his introduction and for his time and that of his officials in providing a briefing on this statutory instrument. I share the dismay of the noble Baroness, Lady Bennett, about the Environment Bill and agree with many of her comments.

Our farming and horticulture sectors have come to rely on fertilisers to ensure that their businesses thrive. However, many of the chemicals contained in fertilisers do not improve soil quality—quite the opposite. The Government rightly set great store by not only improving soil quality but preventing runoff from land, which can carry topsoil away.

As I understand it, this SI has two parts: one relates only to the Northern Ireland protocol—as the original SI was implemented in February 2019, before the protocol was in place—and the other to labelling. Again, if I have understood it correctly, the “UK fertiliser” label can be used in Northern Ireland. However, as the noble Baroness, Lady McIntosh of Pickering, said, producers who do not currently trade with the EU and are based in the UK cannot use the same label.

I understand that the Agriculture Act now allows the UK to set a different set of standards for fertilisers from those being used in the EU. Are these differing standards stricter in the UK than in the EU, or are the EU ones tighter?

I am aware that a radical review of fertilisers is being undertaken both in the EU and the UK. The UK review is an ambitious programme to change and modernise the use of fertilisers. How long with this review take and when will its findings be published? Is it likely to be completed before the end of July this year?

I note that the devolved Administrations have been consulted on this SI. Are they also to be consulted on the ongoing review of the use and type of fertilisers? It will be important to harmonise fertiliser use across the country and not have different practices in different devolved Administrations. The noble Lord, Lord Dodds, referred to the lack of consultation and agreement with Northern Ireland. This is unacceptable.

Widening the subject, I am encouraged that some of our waste will be recycled into soil enhancers. Can the Minister say more about plastics contamination in waste products which are to be used in this way? Like him, I am in favour of a circular economy, and delighted that we may be able to use our waste from both recycled green, on-farm composting and from water boards as soil enhancers and improvers. However, antibiotics from water board waste are entering the soil. In the past, the overuse of antibiotics has been widespread in the treatment of both human and animal diseases. Can the Minister reassure the Committee that the level of antibiotics in the soil improvers will be closely monitored?

Overall, I am happy to support this SI. As other noble Lords have said, it is very complex. I look forward to the Minister’s response to the questions which I and others have posed.

Official Controls (Animals, Feed and Food, Plant Health etc.) (Amendment) (EU Exit) (No. 2) Regulations 2020

Baroness Bakewell of Hardington Mandeville Excerpts

Tuesday 19th January 2021 Grand Committee

[Baroness Bakewell of Hardington Mandeville (LD) [V]]

My Lords, I am grateful to the Minister for his introduction. I will begin with the official controls regulations on animals, feed and food, and plant health. As has been said, we debated regulations with the same title on 2 December, and here we are again going over the same ground. The first SI had to be passed by December to comply with our third-country status. The noble Lord, Lord Bilimoria, referred to safety in our sanitary and phytosanitary systems—SPS—and possible costs to businesses. I know that everyone was working flat out before Christmas and that some legislation had to be left until after 1 January, but I hope we will not come back yet again to debate the same issues but with minor amendments throughout 2021.

On this occasion, we are concerned with border control posts. As we have seen on regular news reports, the number of forms required to be completed to comply with EU official controls is very burdensome. SPS checks will, apparently, vary proportionately, depending on risk factors. This includes the import of live animals, products of animal origin or plant materials, depending on whether they are exported from a country with any current known incidence of relevant animal or plant diseases. If animal and plant products are imported from a country that has a known disease, this is a considerable risk to our farming and horticulture sectors. Can the Minister reassure us that he is confident that such imports will be disease free? The noble Earl, Lord Caithness, also referred to this.

I am pleased that the devolved Administrations have been consulted, with the Scottish and Welsh DAs having given consent. I understand that the SI does not apply to Northern Ireland. Like many others, I am extremely concerned about what I am seeing happening in Northern Ireland, with food shortages and some empty supermarket shelves. I am being somewhat opportunistic in mentioning the crisis in Northern Ireland; although it is not part of this SI, a situation has developed that needs urgent attention. Public confidence in the Government’s legislation post Brexit will be severely dented by what people see happening in Northern Ireland due to border controls.

Annexe 2 lists 30 operable amendments made by this instrument to EU exit legislation. I can see many old friends in that list. Many relate to products for human consumption. In the past, lax regulation of animal feedstuffs has led to some catastrophic disease outbreaks—I refer, of course, to BSE. We have learned many lessons along the way, but it is easy to relax rules, thinking we are safe, only to find that some unknown variant has crept back in through the back door. I ask the Minister: are there similar restrictions on the import of foodstuffs destined for animal consumption to those that there are for food destined for human consumption?

I turn to the plant health amendment regulations, which also deal with import controls from third countries. New plant health passports needed for qualifying Northern Ireland goods sent to the UK will apply only one way. Can the Minister say why plant passports are not needed for goods going in the opposite direction? The noble Baronesses, Lady Fookes and Lady McIntosh, touched on this.

Now that we are in a different regulatory and legislative regime, there is much that concerns us about how rules we have been used to relying on are being somewhat arbitrarily changed. The lifting of the ban on neonicotinoids to assist the sugar beet growers is one such example.

I know the Minister has long been an advocate of bees, and he will have his own personal views. It must therefore be difficult for him to feel any great enthusiasm for the change that the Secretary of State has made, and I would be interested to hear how he has managed to reconcile this dichotomy.

Friends of the Earth, which was referred to earlier in the debate, is concerned about the lack of transparency and access to information. The UK Plant Health Information Portal does not offer transparent or up-to-date information on the activities of the UK plant health risk group, as mentioned by the noble Baroness, Lady Bennett, and the noble Lord, Lord Rooker. This is a serious issue for those who wish to have access to this information. Can the Minister say why this is and whether the Government have any plans to rectify this omission?

I look forward to the Minister’s response to all the queries raised this afternoon. These SIs, although apparently minor, are important. On that basis, I am happy to see them approved.