EU Referendum: Energy and Environment

Calum Kerr Excerpts

Tuesday 12th July 2016 Commons Chamber

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

It is a pleasure to take part in this debate. As well as having a fantastically named constituency—it is much easier to remember than Berwickshire, Roxburgh and Selkirk—the new hon. Member for Tooting (Dr Allin-Khan) did herself proud and stood tall for Tooting today. There were so many Labour MPs on the Benches around her that I wondered whether she was going to make a bid for her party’s leadership.

I also thank my hon. Friend the Member for Aberdeen South (Callum McCaig)—the other half, as he claims, of Team Callum. He failed to mention that he calls himself Callum 2.0. He is taller and has more hair, but anyone who can see his shoes knows that there are clearly some flaws in the design.

[Callum McCaig]

We need a 3.0.

[Calum Kerr]

We do, absolutely.

This has been an excellent debate—it is a shame that we did not have more such debates prior to the referendum. SNP Members did everything in our power to promote the case for the UK remaining in the European Union, and a key part of that was about keeping the protections that EU legislation has brought in the workplace, and on human rights and the environment. Unfortunately, those issues were too often brushed aside in the fierce political contest that we experienced during the referendum. Indeed, as we have heard, the environment scarcely featured in the debate about Britain’s membership of the EU.

The environmental protections that we have enjoyed in this country for decades, which cover areas such as air and water quality, emissions, waste, chemical regulation, and habitat protection, are all underpinned by EU legislation. Britain’s membership of the European Union has had an extremely positive effect on the quality of Britain’s beaches, our water and rivers, and on the air that we breathe. It has underpinned protection for many of our rarest birds, plants and animals, and their habitats. Like so many other questions on the detail of Brexit, the question of how we will continue to protect those precious assets needs a coherent answer.

Whenever we look at an issue in more detail, the value of European collaboration becomes clear. As the hon. Member for Uxbridge and South Ruislip (Boris Johnson) told the country just days after encouraging us to vote to leave:

“There will still be intense and intensifying European cooperation and partnership in a huge number of fields: the arts, the sciences, the universities, and on improving the environment.”

It is not clear how that picture of intensifying European co-operation squares with the Home Secretary’s statement yesterday that “Brexit means Brexit”.

On matters that stretch across a range of different fields that are vital to our prosperity and wellbeing, there has been little more than evasion and confusion from the Government thus far. That is why Ministers must do everything in their power to clarify how they will take forward the protection of the UK’s environment in this new political situation. There is so much about the EU that we do not want to abandon. For example, as part of my other brief, I have noticed in meetings on the digital single market a strong view that it makes sense to continue to adhere to EU directives and projects, even though we have voluntarily given up the capacity to shape them.

It is worth considering how the country’s approach to the environment has been shaped since it joined the EU. As many hon. Members have said, in the 1980s Britain was known as “the dirty man of Europe” because of widespread pollution of air, land and water. There is a risk that Britain will end up regaining that reputation. Although the UK has sometimes willingly followed the drive for environmental standards, and even at times led the way, it has taken years to get this country to meet some standards that are considered the norm in Europe.

When we consider environmental protection, it is worth remembering that in addition to the inherent worth of our landscape and ecosystems, there are key economic benefits to protecting biodiversity. Our natural environment in Scotland contributes an estimated £21.5 billion to the Scottish economy. Scotland also provides the major part of the UK’s contribution to the EU-established Natura 2000 network of protected sites, with more than 15% of our land designated for a wealth of habitats and species.

During the campaign, we heard nothing from the Brexiteers about what a vote to leave would mean for the habitats directive, for the circular economy, with its need for long-term planning and investment, or for issues around water quality, on which the UK still has a lot of catching up to do. What we did hear was a deep and often ideologically driven opposition to “red tape”. That red tape includes measures that protect rare species and unique habitats, and that prevent companies from damaging the environment or using dangerous chemicals in their products. It is now time to put the rhetorical bluster about red tape behind us and move on to focusing on what the Government’s red lines will be as they undertake these negotiations. If their priorities are muddled, or if key protections are sacrificed for short-term gain, we could be living with the impact for generations. Wherever all the moving parts of this constitutional crisis end up, we must ensure that the UK continues on the right path. As a range of environmental groups asserted before and after Brexit, co-operation and collaboration within Europe and with the EU works, because we do not solve such problems in isolation. My nation, Scotland, understands that, but does this House and do this Government also understand?

--- Later in debate ---

[Philip Boswell]

That is an excellent point well made by my hon. Friend.

The legislative changes in that short list can do nothing but discourage investors from investing in new energy production. The cancellation of the £1 billion carbon capture and storage competition initiative set out in the 2015 autumn statement will make it almost impossible for the UK to meet its climate change targets.

[Calum Kerr]

My hon. Friend highlights one reason why there is concern among Opposition Members. I have a degree of faith in the ministerial team who are sitting on the Treasury Bench. The Under-Secretary of State for Environment, Food and Rural Affairs, the hon. Member for Penrith and The Border (Rory Stewart), and the Secretary of State understand the challenges. In this place, however, all too often the Treasury decides. Will my hon. Friend join me in pushing for a member of the ministerial team in the Chamber to become Chancellor?

[Philip Boswell]

I thank my hon. Friend for his commendable comments. I agree with him wholeheartedly.

Matthew Bell, the chief executive of the Committee on Climate Change, said:

“if you don’t have CCS, then you really need to virtually completely decarbonise your transport sector and completely decarbonise your heating sectors, in order to deliver on the 2050 ambition”.

Since both these sectors seriously lag behind in the decarbonisation of energy production, this seems extremely unlikely, to say the least. The underlying message of the changes is that the cost of subsidising renewable energy has been underestimated by the Government. That has led to the Treasury’s withdrawal of the green deals for consumers, housebuilders and energy investors alike. The Government have instead put all their eggs in the dual basket of fracking and nuclear energy, neither of which looks to be progressing very smoothly, and that makes achieving the UK’s mandatory climate change targets highly unlikely. My hon. Friend the Member for Aberdeen South (Callum McCaig) and the hon. Member for Brighton, Pavilion (Caroline Lucas), who is no longer in the Chamber, touched on the problems of Hinkley C. As anyone can see, this history of successive short-termist UK Governments continuously moving the legislative goalposts can only undermine investor confidence. Brexit will only serve to exacerbate that problem further, which was a point well made by the hon. Member for Brent North (Barry Gardiner), who is no longer in the Chamber.

On energy security, last year I was a member of the European Energy Market Design Committee. The Committee was at a very early stage of engagement, but the potential for cross-European energy sharing among EU members via interconnectors and the like was striking. I wonder if that Committee will even sit again this year, given Brexit. It should be obvious to all that an efficient interconnector network and shared energy design across Europe would benefit all. When the wind is blowing in Scotland, as it invariably does, the energy that is generated can be used elsewhere. If there is no wind, but the sun is shining in Spain, we can share that mutual benefit. I sincerely hope the Committee does meet again, but we have just made things much harder for ourselves as we try to co-ordinate European efficient energy supply from without the EU.

I should say at this point that Scotland has no intention of suffering the fallout from Brexit, the ramifications of which are still to be understood. As my hon. Friends the Members for Aberdeen South and for Berwickshire, Roxburgh and Selkirk (Calum Kerr) both pointed out, we are staying in Europe.

I, like most sensible politicians, turn to independent experts for opinions and answers to questions about complex matters such as the natural environment. My points about the circular economy have been well made by other Members, so I will skip on to my next point.

The Institution of Environmental Sciences is currently conducting a survey of its members, in which it asks:

“What impact do you think the UK’s decision to leave the EU will have on environmental protection?”

An overwhelming 81% of highly educated, experienced environmental professionals consider that

“Without binding EU law, it is likely environmental regulations will be weakened or scrapped in the UK.”

A pre-EU referendum survey of members of the Institution of Environmental Sciences showed that 68% were in support of the UK remaining in the EU. The UK has been disproportionately successful in securing funding for research projects in the environmental sciences and other sectors due to the strength of our science base. Under the seventh framework programme, FP7, which ran from 2007 to 2013, €1,704 million was spent on projects falling under the environment theme. Of the 4,055 projects funded under the FP7 environment theme, according to the Community Research and Development Information Services, 603 were based in the UK, which made us second only to Germany, with 645.

Oral Answers to Questions

Calum Kerr Excerpts

Thursday 7th July 2016 Commons Chamber

[George Eustice]

I have regular discussions with my opposite numbers in the devolved Administrations. I hope I will be able to meet the new Welsh Administration when I next go to Council in Europe, which is in about two weeks’ time, and discuss these issues in more detail. I also hope to attend the Royal Welsh show this year.

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

I welcome the shadow Minister and her team to their place. Will the Minister confirm that his plans to ensure the fair allocation of the convergence uplift are on track? Will he tell us when Scottish farmers should expect to receive increased payments?

[George Eustice]

We have always had a commitment to review the allocation of common agricultural policy budgets—the so-called convergence uplift, as the hon. Gentleman refers to it—during 2016. I had a meeting and early discussions with NFU Scotland in January. Now that the Scottish elections are over and we have passed the referendum purdah, I would expect to be able to progress those discussions with the Scottish Government in the autumn.

Tenant Farming

Calum Kerr Excerpts

Tuesday 10th May 2016 Westminster Hall

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

Thank you, Mr Hollobone, for the opportunity to participate in this debate. May I congratulate the hon. Member for Wealden (Nusrat Ghani) on securing it? I thought she made an excellent speech on the issues at play here. It is always welcome in a Westminster Hall debate, as in any debate, when constructive ideas and suggestions are put forward. This forum seems to lend itself better to that than the main Chamber, and that is something we should all consider.

The critical nature of the length and security of tenancies is emphasised by the fact that most tenancies are shorter than the Government period for averaging out profits. That speaks volumes about the need for action. The idea of bringing a long-term plan to farming made me smile. Hopefully it is a lot better than the long-term economic plan, which is clearly a work in progress. I congratulate the hon. Lady on kicking off the debate with lots of ideas, and I have no doubt the Minister was scribbling furiously.

The hon. Member for Strangford (Jim Shannon) is always a champion for Northern Ireland. I have not yet known him to get through a speech without mentioning a union. Quite often it is in my direction, but in this case it was the European Union. I congratulate him on being, as ever, a champion of Northern Ireland and giving us that important perspective as we consider what we should do.

The hon. Member for Eddisbury (Antoinette Sandbach) emphasised the importance of flexibility, and I agree. It is not necessarily a case of one size fitting all. Whatever we do, we should always consider that protection and support are needed for landlords as well as tenants. Rents are an important issue. I fear she is slightly more laissez-faire in her approach to that than I am, and certainly more than the Scottish Government are. I would like to see a lot more action from the Government.

Tenant farming plays a vital role across the UK, but in Scotland it is of particular importance. It accounts for 1.3 million hectares, amounting to more than 18% of our land mass. However, the sector has been declining for decades and has almost halved to just 24% of farmland since 1982. The new Land Reform (Scotland) Act 2016 is an attempt to breathe life into tenanting and to ensure that it thrives. It is also a critical component of the Scottish Government’s drive for a fairer, more equal and more socially just Scotland. According to the Scottish Tenant Farmers Association—they are not here today, but it is rather a longer journey for them—the new Act is

“the most significant reform to tenancy legislation since tenant farmers were granted security of tenure in 1948.”

A central part of the Act is ensuring fairness between tenants and landlords. The creation of a tenant farming commissioner will help with that process and, we believe, improve relations. There will also be a much fairer and more transparent system of rent reviews; improvements in end-of-tenancy compensation; a broadening of the class of relative entitled to succeed to a tenancy; and the creation of an exit route for 1991 tenants to assign their tenancies to new entrants or other farmers if the landlord does not want to buy them out. Assignations are a central feature of the Act, which seeks to protect them while accepting that it is an ongoing process that needs to be subject to regular review.

By taking those evolutionary and common-sense steps, the legislation will bring real and meaningful land reform, which will restore confidence to the sector, address many of the issues faced by tenant farmers and bring vibrancy and certainty. At the same time, and contrary to the claims of some, it should not deter landlords from providing new tenancies and will not materially disadvantage them.

Tenant farming and land reform will always be works in progress, but the Act is a highly positive step forward in Scotland. It will hopefully encourage investment in the sector, address long-standing concerns, build confidence and make our legislation fit for the 21st century. Tenant farmers deserve certainty, security and fairness. That needs to be embedded in legislation, and that is what we are doing in Scotland. Hopefully lessons can be learned for the rest of the UK too.

Oral Answers to Questions

Calum Kerr Excerpts

Thursday 5th May 2016 Commons Chamber

[George Eustice]

I understand the point that my hon. Friend makes, and as I say, these are very difficult times for farmers. People often lay the blame on supermarkets, but we have to recognise that at the root of the problem is the worldwide issue of low commodity prices. There are very low prices in New Zealand—far lower than we have here—and many people have been driven out of business there. This is a global challenge. Some of the supermarkets have stepped up to the plate and offered aligned contracts, and many of them are selling their milk at a loss; we should recognise that and give credit where credit is due. Of course, we are always trying to improve the position of farmers in the supply chain.

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

Perhaps there is a win:win here. The hon. Member for Kettering (Mr Hollobone) made a suggestion about Weetabix; if we advocate having British milk with it, that might offer a little solace. The Minister has spoken about a commitment to strengthening the voluntary code of practice for the dairy sector; when will that be in place?

[George Eustice]

I have already had this discussion with NFU Scotland, and I have offered to meet it to discuss its concerns. The voluntary code of practice for the dairy industry is GB-wide, as the hon. Gentleman knows, but the reality is that it tends to help farmers more in a rising market, when prices are firming, than in a difficult time in which there is over-supply. The crucial element of it is that it gives farmers the ability to walk away at three months’ notice, and that enables them to extract a better price. That obviously only works when market prices are going up, rather than down, but I have offered to meet NFU Scotland to discuss its concerns. We will review the code again with a view to strengthening and improving it where we can.

UK Dairy Sector

Calum Kerr Excerpts

Wednesday 20th April 2016 Westminster Hall

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

This has been an excellent debate, and I congratulate the hon. Member for Ceredigion (Mr Williams) on securing it.

We may have had many debates on this subject, but this one has highlighted the fact that we need time in which to discuss it. What came across to me right from the offset was the desire to resolve the situation. Our farmers get a bit of a bad name sometimes—they have a tough job, with many factors ranged against them, which means that they are sometimes seen as being somewhat negative and complaining. Actually, as one farmer said to me, “To still be in farming, you’re an optimist, because you’re still keeping at it.”

The hon. Gentleman made an excellent starting contribution, which set out the challenges and, critically, put forward proactive and constructive suggestions. As he said, the issue is a complex local and global one, with many factors in play. Fundamentally, the drop in the price received has outweighed the savings from efficiencies in production. He made an excellent point about that.

We are lucky to have my neighbouring MP from across the border, the Under-Secretary of State for Environment, Food and Rural Affairs, the hon. Member for Penrith and The Border (Rory Stewart), responding to the debate, because I am sure that he will talk about concrete steps and not platitudes. He is known for getting his wellies on and getting engaged, and I am sure that he will demonstrate that again today. We need to consider many issues—the Groceries Code Adjudicator was mentioned regularly in the debate, as was the voluntary code of practice, which I will return to—but let us keep it positive and proactive. The hon. Member for South Down (Ms Ritchie) nearly started off a different kind of milk war with her boastful contribution, but such is the nature of politics—it was understandable.

The hon. Member for Shrewsbury and Atcham (Daniel Kawczynski) made some excellent points. I congratulate his all-party group on its work, in particular on the GCA, and it presented a strong case on the badger cull. For reasons of time I cannot go through everyone’s contributions, so I apologise to the many other Members who added to the debate. It has been of great benefit to have present the Chair of the Environment, Food and Rural Affairs Committee, the hon. Member for Tiverton and Honiton (Neil Parish). He summarised the key points about the market for milk, the important distinctions between fresh and processed milk, how critical labelling is and the role that Government procurement has to play.

It is fair to say that the dairy industry throughout the UK is in crisis, and that is particularly true in Scotland, as we have heard. The downturn in milk prices has led to a fall in returns of some 50% for many Scottish dairy businesses. My hon. Friend the Member for Argyll and Bute (Brendan O'Hara) wanted to be present today, but is in the main Chamber. His concerns for his constituency, and the figures involved, are worth reviewing. Only three years ago, the farmers whom he represents were receiving 32.5p per litre; now, they obtain a farm-gate price of just 15.8p per litre, even though the milk is costing them 26p per litre to produce.

We cannot leave the milk pricing issue simply to market forces. There is a pressing need for action and more imaginative solutions. Collaboration involving Government and the entire supply chain is needed, with urgent action across a range of areas. In the short term, it is critical that banks are involved in the planning process and are prepared to extend credit to dairy farmers. That makes business sense, because global experts believe that the long-term outlook for the sector is promising. We need to maintain a viable UK industry through the lean times, and to do that we need collaboration and innovation now.

Above all, we need to deal urgently with the fact that we have a broken supply chain, with fundamental imbalances exacerbated by short-term opportunism. The chain needs to be fair, workable and responsible. Unless we have that, milk producers and others will continue to get a raw deal and will not have the confidence to invest.

For a start, we need the dairy voluntary code of practice to be refreshed. NFU Scotland says that that is potentially the key to the viability of the sector, and I agree. The code is designed to set out minimum good practice, and as long as it is respected and there is a commitment to it, it could be effective. So far, however, it has not developed enough momentum. The NFUS has warned that to date, and despite Government support, vested interests have undermined the uptake of the code of practice, and that the code is not being allowed to deliver the benefits that it could provide. I know that the Farming Minister is committed to strengthening the code in relation to the milk sector, and I welcome that, but it must include the whole supply chain. If for any reason we cannot make progress with a voluntary code, we need to look again at the option of compulsory contracts.

Another way to assist the dairy industry—this ties in closely with the voluntary code—would be to strengthen the role of the Groceries Code Adjudicator. Some Members have already made specific recommendations, but I will summarise the three main possibilities: allowing her to initiate her investigations rather than waiting until a complaint has been received; taking in smaller retailers and indirect suppliers; and reporting on the balance of pricing across the whole supply chain. Another useful step forward, as we have heard, would be to encourage retailers to use labelling to identify the origin of the product, giving consumers the power to buy local and from the home nations.

We cannot allow the retail giants and others to keep on milking our dairy sector. Firm action is needed and firm action must come—we owe that to our farmers, our consumers and our national self-sufficiency. Without wasting another moment, let us give our dairy sector the help and support that it deserves.

Oral Answers to Questions

Calum Kerr Excerpts

Thursday 17th March 2016 Commons Chamber

[Elizabeth Truss]

We are making progress. My hon. Friend the Minister of State, who has responsibility for farming, has recently had a meeting on the issue. We need common standards across Europe to make sure that we can freely trade with those other countries. As I have just said, that is particularly important for the sheep sector, 40% of whose products are exported to the EU.

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

Even with the EU common agricultural policy payments, farmers are currently struggling because of supply chain issues and low commodity prices, and yesterday’s Budget offered them little help. As the National Farmers Union has pointed out, the

“continued focus on reducing corporation tax does nothing to help the 90% of UK farm businesses who are unincorporated”.

Will the Secretary of State meet the Chancellor to highlight those issues and the need for a fairer tax regime that treats incorporated and unincorporated businesses equally?

[Elizabeth Truss]

This April, farmers will be able to average their tax over five years, enabling them to deal with the volatile prices they currently face. We have also improved the capital allowances regime for farmers and farm businesses. We are not complacent: we continue to work in areas such as public procurement, with our Great British Food campaign, to make sure that we sell more British food here and overseas.

Oral Answers to Questions

Calum Kerr Excerpts

Thursday 4th February 2016 Commons Chamber

[Elizabeth Truss]

The hon. Lady is right: farmers are facing difficult cash flow at the moment. We are doing all we can to get those payments out as soon as possible. It is the most complicated common agricultural policy that has ever been introduced. We were still getting the final details of it in February last year, but up to 77% of farmers are now being paid, and £1 billion has gone out the door to farmers. We are working to make sure that the farmers get their money as soon as possible.

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

Scotch whisky is a great Scottish and UK success story, with exports totalling £4 billion annually. Does the Secretary of State agree that reducing the 76% tax burden on an average bottle of Scotch in the coming Budget would send an important message that the Government support the industry? Will she speak to her friend the Chancellor and ensure that such a reduction is included in his statement?

[Elizabeth Truss]

I am sure that the Chancellor and the Treasury team have heard what the hon. Gentleman had to say. I agree with him that Scotch whisky is our top international export. Other products such as Scotch gin, which I promoted recently with the Scottish gin trail, taking people from the golf clubs of St Andrews to the distilleries around the north of Scotland, can also play a massive part. We have fantastic products in Scotland and fantastic products right across the UK. The Great British Food Unit is all about promoting them around the world. I am happy to work with the hon. Gentleman on that.

Food Security

Calum Kerr Excerpts

Wednesday 6th January 2016 Westminster Hall

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

This feels like a visit to the Celtic Connections festival. We have the Irish, the Cornish and the Scots; we just need a few more Welsh. I do not know where—[Interruption.] Does Grimsby count? Not really!

Thank you, Mr McCabe, for giving me the opportunity to speak. I congratulate the hon. Member for St Ives (Derek Thomas) on securing this important debate. He kicked it off superbly well by emphasising how important rural farmers are to the rural economy in many ways. It is not just about the food that they produce, but about the way they contribute to the land and the communities in which they live. The hon. Gentleman also outlined the severe pricing challenges, which has been a common theme throughout the debate.

I am acutely aware of the importance of labelling—not just the labelling of products but how they are sold in supermarkets. I wrote to the chief executive of Tesco about its selling of New Zealand products under a Scottish banner and received a fairly poor response, which I have had to follow up on. Supermarkets need to be clear in their practices when selling as well as in their labelling. There may well be salmon that have been to Scotland and Norway, but we need a lot more clarity than just lumping different geographical locations together.

I always enjoy having the hon. Member for Strangford (Jim Shannon) here. I will not even try to compete with the number of products that he referenced from his constituency—he wins hands down.

We also heard from the hon. Member for Shrewsbury and Atcham (Daniel Kawczynski). I will come on to the issue of the Groceries Code Adjudicator; I agree that it is important. Bovine TB is clearly a big issue down here, but less so north of the border. I agree that it should be at the forefront of our minds lest it spread and become an issue for other parts of the country.

My hon. Friend the Member for Kilmarnock and Loudoun (Alan Brown) focused on the need for farming to be profitable. I will return to a couple of the themes that he raised.

It is always a pleasure to be in Westminster Hall with the hon. Members for South East Cornwall (Mrs Murray) and for Great Grimsby (Melanie Onn), who fly the flag or rather sail the ship for the many fishermen around the country.

It is also a delight to see the hon. Member for St Austell and Newquay (Steve Double). Taking part in this debate also serves the purpose of making me more familiar with my many wonderful fellow MPs. He can now visit his father-in-law safe in the knowledge that he has referenced him in a debate in Parliament, so I congratulate him on that.

[Jim Shannon]

Has it convinced you of the need for the Union?

[Calum Kerr]

There are many unions, so it depends on which one the hon. Gentleman is referring to. I personally would prefer to stay in the European Union and I look forward to the Westminster Hall debate on Cornish independence as well.

Food security is vital. That is why food supply is classed as a critical national infrastructure sector and DEFRA assesses it annually. Of course, large elements of this area are devolved to Scotland, and last June the Scottish Government drew up their own agricultural discussion document, setting out a vision for Scottish agriculture, which includes contributing to global food security, with a particular focus on Malawi, where the Scottish Government have an involvement.

International interdependence is critical. More than half the food in the UK is home-grown and on the whole, as we heard, our prices are the lowest in the world after those in the US, but we still need to maintain strong supply chain links to other countries. There will always have to be imports, as the UK does not have the growing conditions to supply all the types of produce for which there is demand, but that also offers an opportunity in terms of the capabilities for exports.

I am particularly interested in branding—national or regional branding—for both food and drink. That is particularly important in Scotland, where the sector has promoted itself to great effect with its reputation for high-quality, distinctive and environmentally sustainable produce. We have just finished promoting our Year of Food and Drink and it has been a great success story. Turnover has risen by more than 24% since 2008 to more than £14 billion, and the industry is on target to reach next year the figure of £16.5 billion.

Before raising a couple of specific points on agriculture, I would like to mention fishing. When we talk about food security, it is easy to forget about fishing, yet it is a fantastic contributor to food security and the Scottish economy, with exports worth £600 million. Fishing takes a lot of pressure off land production. Of course it has to be sustainably managed, which presents some challenges, as we heard from the hon. Member for South East Cornwall, but when done well, it is a very profitable and successful source of food.

Let me now talk from a farming perspective. My hon. Friend the Member for Kilmarnock and Loudoun has already raised a couple of the old chestnuts that the Minister is very used to. However, it is worth emphasising again that the CAP is critical. I think that as Members of Parliament we have to be very careful with our language in this area, and I welcome the comments about getting away from the idea of subsidy. Our farmers need support. Most farmers in Scotland would be underwater financially if it were not for the CAP payments. As we go into a debate on the EU referendum, which has been mentioned several times, we have to be very careful on and clear about what an EU exit would mean for this industry. For farming in Scotland, without a comparable payment system, it would be a disaster.

The supply chain is well established, but I totally agree with the comments about the importance of addressing the inequalities in the supply chain. That affects all areas of farming, but in particular the dairy industry. It is of course important that we have reasonable prices, because lower income households are hit disproportionately hard by higher costs, but farmers have the right to a fair price for their quality product. We need to do more in terms of regulation in this area. I appreciate that it may not be a DEFRA area of responsibility, but it is clearly an area in which the Minister takes a keen interest.

The office of the Groceries Code Adjudicator was set up in 2013 to oversee this area, but the powers do not go far enough and she cannot respond adequately to the failures in the supply chain. The adjudicator can deal only with retailers with a turnover of more than £1 billion and with direct suppliers, and can act only if a complaint has been received. Those are things that need to be visited and addressed so that we can reduce the inequalities in that area. When I raised the matter with the Secretary of State for Environment, Food and Rural Affairs, she told me that she seeks an adjudicator that will operate across the EU, and better transparency in the European supply chain. Regardless of that, I am keen for efforts to be made and clarity to be achieved in this area as soon as possible.

My hon. Friend the Member for Kilmarnock and Loudoun raised the convergence uplift, and I appreciate that I am something of a broken record on that subject. Slowly, elements of progress have been made on the timescale, but we need to push the Minister harder on the matter, and I look forward to future discussions with him. We have a meeting coming up at which I will seek clarity on the process and some timescales for achieving a resolution in this area, where we feel that Scottish farmers have been badly let down.

Overall, we need longer term thinking, and strong, durable, fair, safe and secure supply chain relationships. As the NFU has pointed out, those are key to success. Farmers in Scotland and the UK are the primary source of our food security, as well as being major economic contributors, hugely important sources of rural employment and guardians of our landscape. They support us, and we need to support them in return. Let us ensure our food security and sustainability by doing so.

Flooding

Calum Kerr Excerpts

Tuesday 5th January 2016 Commons Chamber

[Elizabeth Truss]

I pay tribute to my hon. Friend for all the work he has done to support his local community in Tadcaster. I visited local businesses with him. We saw the Army, which was there to help out, and a massive group of volunteers helping out. I know that people there are desperate to put the town together again so that people can cross over to the other part. That is an absolute priority for the Government. The floods envoy, my hon. Friend the Member for Scarborough and Whitby (Mr Goodwill), who is sitting on the Front Bench, is charged with coming up with a plan early next week to ensure that we get the bridge in place as soon as possible.

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

I, too, pay tribute to the emergency services, volunteers, local authorities and others who worked tirelessly over the holiday period to protect homes and help families left devastated by the floods. Scotland was hit extremely hard, but my SNP colleagues and I fully appreciate that devastation was caused right across the UK. Our sympathies are with everyone who has been affected.

The Scottish Government take flood prevention very seriously. However, as we have seen, exceptional rainfall still presents huge challenges. The reduced financial award made to Scotland by the Government has forced Ministers in Edinburgh to make difficult decisions. As a result of the cutbacks, the grant in aid provided to the Scottish Environment Protection Agency has been reduced by 6%. However, Scottish Ministers have ensured that the flood forecasting service, which is undertaken by SEPA, has had its funding protected in its entirety. It is important to make it crystal clear that flood prevention is not a SEPA responsibility. North of the border, local authorities are responsible for it as part of their capital settlement. Councils have historically received strong support from the Scottish Government.

The Flood Risk Management (Scotland) Act was passed by the Scottish Parliament in 2009 and a further 42 protection schemes are proposed between now and 2021. On top of that, an extra £4 million has been directed to support flood-hit householders, businesses and councils, including in my borders constituency. Of course, the Bellwin scheme has also been activated. All in all, that is a comprehensive response.

There certainly seems to be—[Interruption.] As the third party, we are entitled to make a statement. So far, we have heard no mention of Scotland. There certainly seems to be less scepticism about the actions of the public agencies in Scotland than in England. At the weekend, I received an email from my cousin Kirsty, who lives in Yorkshire. She told me that her community felt angry and powerless at what it saw as a completely ineffective response. Her message said:

“The Tory government have completely failed us. And I believe they will continue to fail us. If it’s not in London or the Home Counties, they don’t care.”

That is not the response felt in Scotland—[Interruption.]

[Mr Speaker]

Order. Let me try to help the hon. Gentleman by making two points. I am being very fair-minded about this. First, as he is representing the third party, he certainly does have—and rightly has—longer than Back Benchers. That has always been the case and will always be the case. I will protect his rights and those of his colleagues.

Secondly, although the hon. Gentleman probably used it as a figure of speech, he certainly does not have a right to make a statement. What he has a right to do, at slightly greater length than other colleagues, is to make some opening remarks by way of response to the Secretary of State, but those need to be followed speedily by a series of questions. All that needs to take no more than two minutes—[Interruption.] Order. He has taken considerably longer than that.

These are very sensitive matters and I have no desire to spoil the hon. Gentleman’s opportunity today, but he does need to get to his questions and briefly to get through them.

[Calum Kerr]

Thank you, Mr Speaker, for that guidance. It is appreciated.

The scepticism that I have outlined is in sharp contrast to the response we have experienced in Scotland. Friends of the Earth Scotland is one organisation that agrees that flooding is a higher political priority north of the border.

Given the Scottish Government’s response, I ask the Secretary of State to reflect on Scotland’s experience and on our comprehensive approach to flood prevention to see whether there are lessons for her. Finally, will she assure my cousin Kirsty and communities like hers that the Government really do care?

[Elizabeth Truss]

As the House is aware, this is a devolved matter. We have worked closely with the Scottish authorities to share information and expertise while the floods are happening.

We are doing all we can to help the people of Yorkshire get back on their feet as soon as possible. That is why the financial support was made available within three days of the flooding taking place. I wonder what the record is in Scotland.

Climate Change and Flooding

Calum Kerr Excerpts

Tuesday 15th December 2015 Commons Chamber

[Calum Kerr (Berwickshire, Roxburgh and Selkirk) (SNP)]

Mr Speaker, thank you for allowing me the opportunity to take part in this debate. I should like to urge Opposition Members in particular to pay close attention to what I have to say. Unfortunately, the motion shows a fundamental lack of understanding of the reality on the ground in Hawick and the Scottish borders, which is my constituency and which suffered serious flooding earlier this month.

[Tom Elliott (Fermanagh and South Tyrone) (UUP)]

Does the hon. Gentleman accept that in my constituency in Northern Ireland there has been serious flooding in the past 10 days, and the motion makes no reference to that? Even today, at least 16 roads are still closed in the constituency.

[Calum Kerr]

That is an excellent point. My constituency is mentioned in the motion, yet it has not been mentioned once in the debate so far, and the hon. Gentleman has had the same experience. It is extremely disappointing that the motion makes a fundamental error in terms of the funding process for flood defences in Scotland. I hope to explain this and say why I make this statement up front.

On 5 December the River Teviot broke its banks and it is true that some 600 people had to be evacuated in Hawick. A total of 333 homes were impacted, as well as 45 local businesses. However, the town reacted magnificently to the crisis. I was among the volunteers, along with the Scottish Minister for Community Safety and Legal Affairs, Paul Wheelhouse, putting down sandbags under the direction of Hawick flood group, with the police and emergency services, who all did a fantastic job. The reality is that, had it not been for their help and intervention, things would have been a lot worse. I pay tribute to all their efforts, including Scottish Borders Council. We all know that our councils tend to be the whipping boys on occasion, so I pay particular tribute to it for co-ordinating the effort.

The damage and disruption caused by the Hawick flood has been significant. The Scottish Government made it clear from the start that the Bellwin scheme would be implemented to fund repair work. They also emphasised that money was available to fund a full flood prevention scheme. A preferred scheme has been chosen, and we are now moving to detailed design. It is critical to get this right, as a wrongly built scheme can fail or even make things worse. This swift response has eased the worries of people in the town and shown the Scottish Government to be empathetic and fast acting.

[John Woodcock]

Just so that I am following the hon. Gentleman’s speech, is he saying that the Scottish Government have been exemplary and wonderful, and there is nothing else that he would ask them to do on behalf of his constituents in this important matter?

[Calum Kerr]

That is a wonderfully glowing tribute to everyone in my constituency. I thank the hon. Gentleman. If he would like to listen a bit more, I will go on to explain the process in more detail. If anyone says that nothing can be learned, they are mistaken. There is always potential to improve the response and do better next time. The flooding that took place will be examined in detail, and will inform the flood defences that are put in place.

Right across Scotland, there was a first-class and highly impressive multi-agency response. However, the stark truth is that we will never be able to stop flooding fully. It has been with us throughout history. Both the Old Testament and the Koran tell us the story of Noah and the Ark. I am afraid that there must have been people in Scotland and indeed in the constituency of the hon. Member for Carlisle (John Stevenson) who thought they were extras in the sequel. As we cannot prevent water flows, we must do our best in redirecting them. In Scotland, all the flood defences we had in place held. In Galashiels in my constituency, they stayed in place, and in Selkirk, although only half built, they did their job. This highlights how well-designed schemes can make all the difference.

The Scottish Government regard reduced flood risk as a priority and provide annual funding of £42 million for councils to add to and invest in major flood prevention schemes.

[Patrick Grady (Glasgow North) (SNP)]

Does my hon. Friend accept that there is also an issue of urban flooding, which has perhaps been slightly less reported? Summerston in my constituency has been renamed an island because all the major access roads were blocked by sudden flooding and overflowing drains. It is important that local authorities are able to invest the money appropriately.

[Calum Kerr]

I thank my hon. Friend for that excellent point. It is absolutely not just a rural challenge. The flood damage in urban areas is exacerbated by the concentration of dwellings.

[Geraint Davies (Swansea West) (Lab/Co-op)]

I was in charge of flood risk management for Wales, so I know how important devolved Administration is in this respect. Has the hon. Gentleman considered the capture of water on buildings in butts to reduce the amount that goes into sewers or investing in the resilience of particular properties by putting plugs up walls, waterproofing and so on? No defence is 100% reliable.

[Calum Kerr]

The hon. Gentleman displays an admirable knowledge of the subject. If I ever live in a house built on a floodplain by the Conservatives, I will know where to go for advice.

It is important to consider all aspects. The debate is about climate change and flooding, but many other issues such as land use and planning could be covered in a lot more detail. We must always plan to prevent flooding at a local level and mitigate where we can. The hon. Gentleman makes an excellent point, and I thank him.

The Scottish Government enacted their Flood Risk Management (Scotland) Act in 2009. This introduces a sustainable and modern approach to flood risk development which considers the problems of climate change. For instance, it creates a revised and streamlined process for protection schemes as well as a framework for co-ordination between organisations involved in flood risk management. New methods have also been put in place to ensure that stakeholders and the public have an input into this process, as is happening in Hawick now.

Another hugely important piece of legislation is the Climate Change (Scotland) Act, again enacted in 2009. This sets some of the toughest climate change targets in the world, with an interim 42% reduction by 2020 and an 80% reduction target by 2050. Ministers are required to report regularly to the Scottish Parliament on progress and emissions. Earlier this year, the Committee on Climate Change concluded that Scotland had continued to make good progress towards meeting these ambitious greenhouse gas reduction targets. We are on track to meet that 42% target ahead of schedule. In fact, we continue to outperform the UK as a whole.

In western Europe, only one of the EU15 states, Sweden, has achieved greater reductions. The Scottish Government have not hit all their targets, partly because of data format revisions, but they should be applauded for their ambitious vision and for seeking to lead the way. The determination is that Scotland should continue to be a world leader in this area. That, surely, is the right approach. We should acknowledge their ambition and successes so far. I hope that in this Chamber we will recognise that there is a lot to learn from them in terms of best practice. For instance, the Scottish Government have pledged some £1 billion of funding over two years for climate change action and have plenty of reason for optimism.

Last year, renewables overtook nuclear as Scotland’s largest source of electricity. Only last month, wind turbines produced 131% of the electrical needs of Scottish households. These are highly encouraging figures. However, no nation can operate in isolation in this area. Only by working together can world leaders properly address this, the greatest global environmental threat of our age. At last week’s Paris summit, we finally managed to achieve a universal agreement—one that has been signed up to by rich and poor countries alike. I congratulate the Secretary of State on her role and hard work in securing success at that historic event, which was also attended by Scotland’s Environment Minister and First Minister. The deal reached will not by itself solve global warming. It is not a panacea. But Paris finally showed that the will, along with a firm commitment, is there.

[Caroline Lucas]

The hon. Gentleman will know that emissions from aviation and shipping were left out of the Paris agreement. Does he agree that that is a fatal omission and, similarly, that airport expansion, be it at Heathrow, Gatwick or anywhere else, would fatally undermine the UK’s ability to make a fair contribution to keep global warming well below 2 °C, let alone the 1.5 °C goal that is a matter of survival for many vulnerable countries?

--- Later in debate ---

[Calum Kerr]

The hon. Lady makes an excellent point. It is notable that the recent carbon report made the same point about excluding the contribution of air quality in this regard. We must start looking at the whole picture.

Paris did, however, show that the will exists, along with a firm commitment. As long as the 196 nations which signed up to the declaration are prepared to prove that their word is truly their bond, we can look forward to a future that is bright and a future that is green. In Scotland, as in so many other countries, this agreement could literally reshape our landscape. At present, increasing rainfall and changes in patterns mean that our 50,000 kilometres of rivers are likely to flood more often. That could affect most of our major airports, which are on low-lying land, as well as places such as the petrochemical complex at Grangemouth. Rising sea levels also mean that some of our coastal habitats could be lost entirely.

There is another effect. Climate change affects lungworm, a disease which affects sheep and renders their lungs unusable as food. I hope not to disturb my colleagues but sheep lungs are, of course, a key ingredient in haggis, which is central to Scottish culture. What would Burns night be without haggis? There could be a threat to our very nationhood! Hopefully, though, we can now avoid some of the worst consequences of climate change and the consequent risk to one of our finest native foods.

Since the election in May, the SNP has argued strongly against UK Government moves to roll back support for renewable energy. Subsidies to onshore wind, solar and power station conversion to wood or biomass are being reversed, and green deal funding scrapped. I know that some of my colleagues plan to talk about this in more detail and about the Treasury’s decision to cut investment in carbon capture and storage technology, which is unwise and short-sighted.

Some environmentalists say that we are now going through the worst period in green policy for 30 years. The need for positive and dramatic action stares us in the face. Climate change can no longer be denied. After Paris, every nation will have to be bolder. This offers us a real opportunity to change the direction of travel. It is the perfect time for Ministers to reverse their recent negative attitude towards renewables and, like Scotland, turn the UK into a leader. They must walk the walk. This is our moment of choice. We can, literally, turn back the tide. For us, and for our children and grandchildren, while there is still time, I implore this Government to help to do so.