Agriculture Bill

Baroness Wilcox of Newport Excerpts

Report stage & Report stage (Hansard): House of Lords & Report: 1st sitting & Report: 1st sitting: House of Lords
Tuesday 15th September 2020 Lords Chamber

Like the noble Lord, Lord Rooker, I think these amendments are extremely important. The Minister may say they are flawed, but I trust he will not, because what is vital here is the essence of these two amendments. He will know that if these amendments are passed—we will support them if moved—this is where the government lawyers kick in, iron out any problems and address with the movers an acceptable and more targeted plan for making sure that we support this vital sector for the United Kingdom. He is a very experienced Minister, so I am sure he will understand what I am saying. I therefore look forward to what the Minister says and, after that, to what the movers of the amendments wish to do.

[Baroness Wilcox of Newport (Lab) [V]]

My Lords, we welcome the tabling of these amendments, which will allow Ministers to go into more detail on the balance between direct support for agriculture, and other related purposes, and the emphasis that the noble Earl, Lord Devon, puts on the word “agriculture”. We understand that the National Farmers’ Union supports this amendment as a means of ensuring that the Agriculture Bill is truly agricultural in nature.

Following the first two groups, where there were amendments focusing on areas such as countryside access and public health, we understand the concerns of some that, with a limited pot available to Defra, it is important to ensure that the lion’s share delivers for farmers. We certainly want farmers to get the support they need, and to ensure the Government follow through with the many promises they have made to rural communities in recent years. However, as my noble friend Lady Young of Old Scone so clearly noted, there will have to be a wider purpose for land, as it will have to work several times over to deliver its multiple objectives.

However, as we have all said during the Bill’s progress, our departure from the CAP is an opportunity to do things differently. Two of the biggest criticisms of the CAP are about its rigidity and the fact that it has not kept pace with real-world developments. Many concerns stem from the lack of detail and certainty regarding the new schemes that are due to come on stream in 2021. In this respect, my noble friend Lord Grantchester’s Amendment 41, which would require the Government to demonstrate the readiness of year 1 schemes before commencing the seven-year transition, may be of interest.

[Lord Gardiner of Kimble (Con)]

My Lords, I thank noble Lords who have contributed to this debate. Wearing my farming hat, as I have declared my interests, I very much hope in promoting this Agriculture Bill that its essence is how we work with farmers and land managers on the quests that we have for food production and enhancing the environment. I repeat that it is about enhancing the environment and providing the ingredients for future agricultural production.

I take this opportunity to reiterate that this Government are committed to supporting the agricultural sector, not only with the promise that the budget for agriculture will remain the same during this Parliament but in supporting that sector through Clause 1 and many other elements of the Bill, which I started to outline in earlier debates today. Interestingly, my figures are that 69% of land in the United Kingdom is farmed and 10% of land is in woodland. As such, we will be relying on our farmers and land managers for the public goods which, in our view, they are so well placed to deliver.

As currently drafted, Clause 1 enables the Government to provide financial assistance to land managers—and I encourage noble Lords to look at the way it is crafted—in return for their delivery of public goods. Indeed, the new ELM scheme is a vehicle to provide such funding to those who manage land and water to deliver these environmental goods. I have no doubt that the overwhelming majority of participants in ELM will be farmers. It is proposed that tier 1 of the scheme will be aimed specifically at farmers and will pay for actions that the majority of farmers can take across their land, such as nutrient, pest and soil management.

However, the Government recognise that environmental benefits can be provided across a large variety of land or water types, including farms, rural properties and estates, woodland and other open or green spaces. Many landholdings and farms will embrace not only land that is farmed but wetlands and woodlands—all of which the farmer will, in the contribution of their own ELM scheme, bring forward in terms of land, woodland and water.

For the ELM scheme to be successful, it needs to work for a wide range of farmers, foresters and other land managers, as it will help us to maximise the environmental benefits that can be delivered. This will ensure that the ELM scheme acts as a powerful vehicle for the delivery of the 25-year environment plan goals and the Government’s commitment to net zero. The noble Baroness, Lady Young of Old Scone, mentioned that specific point.

It is also the case that the challenges we face will require landscape-scale change. That is why we have proposed that tier 3 of the ELM scheme could fund projects such as woodland creation, peatland restoration and flood mitigation. My view is that it will be overwhelmingly on land which is farmed by owners or tenants, and be a vital part of that landscape change that we all very much need. These are all examples of large collaborative projects which would allow us to improve the health of our environment, as set out in the 25-year environment plan, while helping us to deliver our commitment to achieve net-zero emissions by 2050.

I say to my noble friend Lord Caithness that existing agri-environment schemes—such as special areas of conservation, sites of special scientific interest and land that supports priority species—are open to those not involved in agricultural production. We feel that accepting this amendment would significantly narrow the scope of future schemes and the benefits they deliver. I emphasise that I have no doubt that the catchment areas and landscape ranges in tier 3 will embrace many farmers. It may be that, as part of that, there is a woodland owner or land managers other than farmers. It is important that we look particularly at those in tier 3, which is why I emphasise it. I raised this specific point in discussion with the noble Earl, again emphasising my farming interests and understanding of the concerns that farmers have about change. In my view, we should not narrowly restrict the ability for financial assistance to go to those other than farmers, although obviously the overwhelming majority of the funding from the Bill will go to farmers and land managers.

On Amendment 26, in the name of my noble friend Lady McIntosh, it is intended that the ELM scheme will provide funding to those who carry out the management of the land or water to deliver environmental public goods being funded. This might be the tenant or landowner, depending on the specific activity carried out and the arrangements in place. I emphasise this important point to my noble friend: engagement is ongoing with a wide range of farmers and land managers, including landowners and tenants, to ensure that ELM is designed in a way that works for all to maximise the delivery of environmental outcomes, while ensuring effective use of public money.

Representatives of landowners and tenants sit on our core stakeholder group on ELM design. We recently ran a number of sessions looking at ELM for different sectors, including those with tenancy arrangements, common land and uplands. We have six tests and trials that are working with farmers to assess how ELM can work best on tenanted land. In the national pilot, we also plan to have participants from a range of tenancies to ensure that we test the scheme from different land tenure perspectives.

We will discuss this on other amendments, but we clearly see a very strong future for the tenancy sector of agriculture. We think it is often a way in which land can be successfully farmed, sometimes by new entrants. I emphasise the importance that the Government place, through the tests and trials, on finding the right way to have an ELM which is successful for tenants and landowners. That is how we will have more and more land coming forward for contemporary and modern tenancy arrangements.

The Government would find it very difficult to restrict the eligibility for financial assistance in the way that the noble Earl has outlined. This is specifically not because I am suggesting that the funding is going to move from farmers to many other resources but because, by tier 3, we are going to need to work with people beyond farmers: for instance, woodland owners. There needs to be that ability to work with those beyond what I would call “the farming community”, who are four-square at the core of this.

The construction of the Bill, in Clause 1(2), is also designed absolutely to ensure that those starting and improving agricultural, forestry and horticultural activity are supported. I have looked through the Bill, and at every turn its clauses are about how we best look after and improve the situation for farmers. Yes, it is in a period of change, and that is why there is a seven-year transition.

But with those points in mind—I am mindful that I have to work quite hard, as there is a suggestion that this may be a matter for consideration by the House—I hope that the noble Earl and my noble friend will understand why the Government wish to have that flexibility, being mindful of the importance of the farmers of this country. I hope that the noble Earl will feel able to withdraw his amendment.