Budget: Implications for Farming Communities
Daniel Zeichner Excerpts(3 months, 1 week ago)
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Mr Alistair Carmichael (Orkney and Shetland) (LD)
(Urgent Question): To ask the Secretary of State for Environment, Food and Rural Affairs if he will make a statement on the implications of the Budget for farming communities.
The Minister for Food Security and Rural Affairs (Daniel Zeichner)
I welcome the right hon. Gentleman to his place—he will make an excellent Chair of the Select Committee on Environment, Food and Rural Affairs—and thank him for the opportunity to talk about this important issue.
As the Minister for Food Security, I can assure the House that food security is national security. The Government’s commitment to supporting farmers and rural communities is unwavering. We have committed £5 billion in the agricultural budget over the next two years—the biggest ever budget for sustainable food production and nature recovery in our country’s history. We are also releasing £60 million to support farmers whose farms have been devastated by severe flooding, and investing £208 million to protect the nation from potential disease outbreaks that threaten our farming industry, food security and human health.
However, as we are all only too aware, the Conservatives left behind a £22 billion black hole in our nation’s finances—[Interruption.] Yes, you did. And this Government have had to take tough decisions on tax, welfare and spending to fix the foundations and deliver change, including a series of decisions on tax to protect the payslips of working people. That is possible only by making changes to other taxes, such as agricultural property relief, which was previously available to all agricultural property at a rate of 100%. Currently, small farms can find themselves facing the same levels of tax bills as much larger farms, despite having a much smaller asset. Twenty per cent of agricultural property relief is claimed by the top 2%; 40% is claimed by the top 7%. That is not fair, it is not sustainable, and sadly, it has been used in some cases by wealthy landowners to avoid inheritance tax. That is why the Government have announced plans to reform agricultural property relief.
The Secretary of State met National Farmers Union president Tom Bradshaw this morning. We absolutely understand—[Interruption.]
Mr Speaker
Order. Dr Mullan, I heard you before, and I am certainly not putting up with it this time. If you want to leave, do so now, because I want to be able to hear others. Do we understand each other?
Daniel Zeichner
The Secretary of State met Tom Bradshaw this morning. We completely understand farmers’ anxieties about the changes, but rural communities need a better NHS, affordable housing and public transport, and we can provide that if we make the system fairer. The reforms to agricultural property relief mean that farmers can access 100% relief for the first £1 million and 50% relief thereafter—an effective 20% tax rate. That means that an individual can pass up to £2 million, and a couple up to £3 million between them, to a direct descendant, inheritance tax-free. Currently, 73% of agricultural property relief claims—
Mr Speaker
Order. I do not know whether you are aware, Minister, but you only have three minutes. How long will you be now? Are you coming to the end at this minute?
Daniel Zeichner
Seventy-three per cent of agricultural property relief claims are for less than £1 million. The vast majority of farmers will not be affected. They will be able to pass the family farm down to their children just as previous generations have always done. It is a fair and balanced approach that protects family farms while also fixing the public services that those same families rely on. It is part of a Budget that will restore economic stability and begin a decade of national renewal.
Mr Speaker
I call the Chair of the Environment, Food and Rural Affairs Committee.
Mr Carmichael
I remind the House of my entry in the Register of Members’ Financial Interests.
Thank you, Mr Speaker, for allowing this urgent question. I also thank the Minister for his statement, but I fear that it illustrates rather well some of the lack of understanding that has brought us to this point. More than any other industry, farming relies on stability and long-term planning. That is why many people in the industry relied on undertakings given by the Secretary of State when in opposition that the Labour party in government would not change inheritance tax reliefs for farming.
Every farming business is capital-rich but revenue-poor. Those businesses also trade in a market that has been more heavily influenced by government intervention than any other. Agricultural property relief is not a loophole; it has been a deliberate policy of successive Governments for the past 40 years, designed to avoid the sale and break-up of family farms. Is that still a goal to which this Government adhere? As the NFU put it, the Government have seemingly failed to grasp
“that family farms are not just small farms, and that just because a farm is a valuable asset it doesn’t mean those who work it are wealthy.”
As the Minister will be aware, some of the figures he has just given the House have been vigorously challenged over the past few days, particularly the assertion that only one in four British farms will be affected. Will the Minister and his Treasury colleagues publish the data behind those figures? In particular, does the figure that 73% of farms will not be affected rely on the inclusion of very small holdings?
These changes will have a ripple effect across the whole rural community. Will the Government publish their impact assessment for other rural businesses? Can the Minister also explain why the Treasury has removed the ringfence around farm support to be spent in Scotland, Wales and Northern Ireland? That ringfence was introduced after the Bew review. If it needed a review to introduce it, how can it just be abolished now out of the blue?
The Prime Minister has said in the past, and the Minister has repeated today, that food security is national security. Can the Minister point to one measure in this Budget that makes achieving that aim easier, rather than harder?
Daniel Zeichner
I thank the right hon. Member for his questions, which are serious and important, as one would expect. Let me start by pointing out that until 1992, this relief did not exist. The system has existed before and people have operated differently, although I accept it has been different for the past 30 years.
Turning to the figures, I encourage people to reach for the detail—to look at the actual figures. The only thing we can go on is the claims, and the figures coming from the Treasury on claims for the last year available absolutely reflect that 73% figure. The right hon. Gentleman raises an important point about the ringfence; that point is under discussion, but I have made assurances that the devolved Administrations will be closely informed about, and involved in, what happens. These are important points, and they should be treated seriously.
Tonia Antoniazzi (Gower) (Lab)
I do not really care for the high-profile voices that we have got attacking a Labour Government, but I do care about the family farms in my constituency. I know that the Minister cares for those farms as well, as does the Prime Minister. I welcome the figures we have been given. However, those figures do need to be translated to our family farmers; they need to see what it is like on the ground. I would welcome a meeting with NFU Cymru and the Minister to discuss what things are going to look like for farmers, especially in Gower and the rest of Wales, where there is a completely different landscape.
Daniel Zeichner
I thank my hon. Friend for her contribution. Can I say how much I enjoyed visiting Wales, with the Welsh Minister, very early in my tenure? It was an important sign from this Government that we take farming seriously across the entire United Kingdom.
I share my hon. Friend’s very strong points about the importance of the family farm. What we are doing here is protecting the family farm. I have visited right around the country over the past five years, and on almost every visit, people have told me that they are concerned about people coming from outside—they often say “up London” or “down London”—with a lot of money and buying up local farmland over the heads of local people, not because they care about farming but to use that farmland for tax evasion purposes. This policy can be helpful to family farms and protect them against—[Interruption.] The hon. Gentleman on the Opposition Front Bench says from a sedentary position that it will not, but it is people from his area who have been telling me about these problems. They repeated them constantly when we were in opposition, and here are a Labour Government doing something about it.
Robbie Moore
How does the Secretary of State expect farmers to do more with less? Why is he happy to hand our next generation of farmers an impossible tax bill?
Next, the Government claim that small family farmers will be protected, yet the Country Land and Business Association and the NFU have today disputed the Government’s figures. Will the Minister commit to releasing a full assessment of his policy, including an impact on national food security?
While the changes to inheritance tax relief have been gaining the national headlines, there are many other negative impacts on farming businesses from the Budget. Increased national insurance contributions, coupled with a lower national threshold; an accelerated reduction in de-linked payment rates; higher taxes on double-cab pick-up vehicles; new taxes on fertilisers—I could go on, but this all begs the question: does the right hon. Member for Streatham and Croydon North (Steve Reed) actually know anything about farming at all? More importantly, after the Secretary of State looked British farmers in the eye and specifically promised them that there would be no changes to agricultural property relief, how on earth can farmers believe a single word that his Minister is about to say?
Daniel Zeichner
I am very grateful to the hon. Gentleman for promoting me to Secretary of State—I hope he has similar success in the coming hours.
The hon. Gentleman raises a whole series of questions. He asked again, as others have, about other elements in the Budget. The figures are absolutely there; they were published by the Treasury and are there for all to read. They are the facts on the estates that have made claims on agricultural property relief in the last year available. [Interruption.] They are there for everyone to see. It is not difficult, it is not complicated—they are there.
Something that perhaps has not been said, but which should be, is that there were many calls to reflect the changing way in which farming operates by including environmental land management schemes within the scope of agricultural property relief. I hear nothing from Opposition Front Benchers about that. Do they not understand the way in which British farming is changing?
Helena Dollimore (Hastings and Rye) (Lab/Co-op)
Many farmers in my constituency of Hastings and Rye are feeling the impact of 14 years of Conservative failure. In particular, they have faced many challenges with flooding. Can the Minister tell me what steps we have taken in the Budget to protect small family farms and how we will continue to support farmers facing flooding?
Daniel Zeichner
I am grateful to my hon. Friend because she makes some important points. Ahead of the Budget, there were lots of predictions about what would happen. Of course, what happened is that this Government have protected the farming budget—indeed, raised it—and we are absolutely committed to paying out to farmers the £60 million that they deserve for flooding. That is £60 million, of course, that was not really budgeted for by the Conservatives, as part of their £22 billion black hole. The difference between us and them is that we are taking a responsible approach, which means that farmers can look forward to a stable future, as opposed to the chaos of the last decade.
Tim Farron (Westmorland and Lonsdale) (LD)
Farmers across the United Kingdom are coping with the lingering legacy of betrayal—betrayal from the trade deals that happened under the last Government, which threw them under a bus; and betrayal from the transition from the old payment scheme to the new one, which saw many of them going bust or forced into making business decisions that they would never, ever have chosen. That legacy of betrayal is one that hangs heavy, and it is why farmers in my constituency and elsewhere feel so utterly disappointed by this Government’s Budget last week.
Let us look first at the agricultural property relief changes. There are 1,500 farms in Cumbria and 440 in my constituency affected by this. Has the Minister done an investigation into the number of farmers who are living on less than the minimum wage each year in terms of income, but who have a property that will be affected by these changes, particularly given the 41% decrease in farm incomes under the Conservative Government over the last five years? Will he also assess the impact on tenant farmers? Some 50% of my farmers are tenants and will be affected by the disruption that this change will create. Would it not be wise for him to implement the Rock review of tenant protections before introducing something like this? Will he also look again at the £2.4 billion budget and increase it by £1 billion, just as the Liberal Democrats suggest? If we do not feed ourselves, we are a failing country.
Daniel Zeichner
The hon. Gentleman is a well-informed, thoughtful person, and I listen closely to what he has to say on these issues, but I do wonder sometimes about the Liberal Democrats’ approach to economics, because that £1 billion would have to come from somewhere. I am afraid that the difference between Labour and the Opposition side of the House is that we are determined to get the public finances in order, because it is upon that basis that future prosperity in the farming sector will come.
In terms of farm incomes, the hon. Gentleman is absolutely right that many farms are very marginal. We know that, and it is complicated, but I would say to everyone in this House that the entire inheritance tax system is complicated; I must say I have read a lot over the weekend that was perhaps a little short on accuracy. He is also right about tenant farmers, and we are in close conversation with the Tenant Farmers Association about how the changes can perhaps be used to good effect, because another element which has not been raised so far, interestingly, by the Conservative party is the generational challenge we face in farming. I will not be telling farmers how to run their lives, but it is worth reflecting on the fact that sometimes it is difficult to make that transition and we need to get more younger people into farming.
Andrew Pakes (Peterborough) (Lab)
I put on record that I am an officer of the all-party parliamentary group on farming. I also put on record my thanks to farmers who, through a torrid decade, have produced food and sustenance for us in this country. We should all recognise that. Farmers will rightly be anxious after the experiences they have had in the past few years. Does my hon. Friend the Minister agree that that anxiety will only be heightened by the scaremongering from some Members of this House, and will he commit to working with hon. Members, the National Farmers Union and farmers to ensure that the positive elements around food security in this Budget are delivered in the years to come?
Daniel Zeichner
My hon. Friend and near neighbour is right to pay tribute to our food producers. One thing we know for sure is that we are going to need food into the future, and farmers are essential to the future of this nation and our economy. That is why we will treat them with the utmost respect and seriousness and have a serious debate about how we transform farming. Again, while this has not been picked up much in the debate so far, the effect of this Budget is to speed up still further that transition to an environmentally friendly, nature-friendly way of farming, alongside producing the food that our country needs. That is a really important transition—I pay tribute to the current Opposition, who started that process in government, but I have been unwavering in my support for it for a number of years and I am determined to see it through to a proper conclusion. My hon. Friend is also right that we will work with everyone involved to get good, sensible outcomes, because that is what this Government are about.
Dr Luke Evans (Hinckley and Bosworth) (Con)
The National Farmers Union tweeted:
“In 2023 Prime Minister Keir Starmer looked farmers in the eye and said he knew what losing a farm meant. Farmers believed him. After today’s budget they don’t believe him any more.”
What is the Prime Minister going to do practically to resolve that?
Daniel Zeichner
When we came to power a few months ago, the thing I was asked most strongly to do was to provide stability for the future. Through a series of interventions over the past few months, I have tried to indicate that that is exactly what we will do, whether through the environmental land management schemes or any other issues. The Government faced a huge challenge at this Budget—we all know that. Decisions had to be made. However, I am absolutely convinced that farmers and all those other people who live in rural areas want and need exactly the same decent health services, housing and transport as others do. They will be able to carry on farming, as they have done, but the difference is that that will be in a stable economic system, which means they will not suffer in the way they have over the last decade.
Jo White (Bassetlaw) (Lab)
Many farms in my constituency were under water for months after the floods last year. What is the Minister doing to support those farms as they recover from last year’s horrific storms?
Daniel Zeichner
Extreme weather events have clearly become a growing challenge for us all, which is part of the reason that we are so determined to make the transition to a more environmentally friendly form of farming. Last year, a scheme was in place to help farmers. The then Government increased it; as I say, I am not sure that they exactly identified where the money was coming from, but we have identified the money. We have honoured it and will be paying the £60 million out to farmers in the next couple of weeks.
Charlie Dewhirst (Bridlington and The Wolds) (Con)
The Minister implied earlier that farmers in my constituency of Bridlington and The Wolds support this measure. I can categorically tell him that they do not; they are shattered by this announcement. The impact on my community will be devastating. I ask the Minister today to do the right thing and withdraw these plans.
Daniel Zeichner
I look forward to many more such exchanges over the Dispatch Box with the hon. Gentleman. What I said earlier was that on my many visits around the country, people consistently told me that they were concerned about how the system was being abused and how people were coming in and buying up land over their head. That is what I said, and that is what I stand by. As for these measures, I am afraid that this is a Budget that stands in its entirety—and the whole country needs stability, so it will stand.
Ms Julie Minns (Carlisle) (Lab)
A few months ago, I visited my constituents Andrew and Ada, who farm in a remote north-east corner of Cumbria. Sadly, after 14 years under Conservative Governments, they are largely getting by on Ada’s pension. Will the Minister set out what support will be available to farmers such as my constituents, following last week’s Budget?
Daniel Zeichner
My hon. Friend is absolutely right; many people in this country, and many farmers in particular, are struggling to get by. That is why it is very important that in this Budget we maintained the budget for the support schemes that people are getting used to; it is interesting to note that they are now being subscribed to in much higher numbers. That support will be available to help people to make the transition and to go on supplying food for this country, which is so important.
Sarah Dyke (Glastonbury and Somerton) (LD)
It has now been more than 10 years since devastating floods wrecked the Somerset levels and moors, causing untold damage. At the time, affected communities were told that money was no object when it came to protecting the area, but now, deep in the Budget document, there is a hint that the farming and flood defences budget might be cut. Can the Minister explain to my farmers in Glastonbury and Somerton, who are terrified of more flooding devastation this winter, how the Government aim to protect them?
Daniel Zeichner
I remember those awful times very well. “Money is no object” is not something that was said by my party, I can tell her; it was said by the now Opposition, and perhaps it was not exactly the right way to put it. Extreme weather events are a challenge for all of us across the country. My colleagues and I will work with everyone to find the best ways to resolve them, but let us not for one moment imagine that this is a simple issue to solve. The flooding challenges are very real and we are working on them. I look forward to further discussions with the hon. Lady.
Sam Carling (North West Cambridgeshire) (Lab)
The Minister knows lots of farmers in my constituency—he is a near neighbour of mine—and farmers are grateful for his engagement with them. He knows that farmers’ incomes fell year on year under the Conservative Government. Will he outline what measures there are in this Budget to support farmers in North West Cambridgeshire and help the industry to get back on track?
Daniel Zeichner
I thank my hon. Friend, who is another of my near neighbours. I did not use to have many near neighbours who were anywhere near as friendly as my new near neighbours, but Cambridgeshire has changed. Cambridgeshire has changed for a very clear reason: Cambridgeshire lost trust in the Conservative party. I am determined to build trust across the entire country by maintaining, over a prolonged period, the levels of support necessary to allow people to farm successfully. My answer to my hon. Friend is to look at the Budget, where we saw an increase in the farming budget. We will look to maintain proper support into the future because, exactly as has been said, these are long-term businesses and long-term interests. The reason that they are long-term is that we are all going to need to eat.
Kevin Hollinrake (Thirsk and Malton) (Con)
The Minister talks about the transition. I talked to my farmers in Bedale on Friday, and the only transition they can see is the transition from family farms to the state. Does he realise that the farming industry is one of the least profitable sectors in the country? The return on capital employed is 0.5%—that is the Government’s own figure—and that is around a 20th of the typical profit margin in the UK. Other than by some warped socialist ideology, how can he justify taking away 40 years of profits for the typical farmer?
Daniel Zeichner
The hon. Gentleman may wish to remember that the agricultural transition was embarked upon by the previous Government. It is a seven-year transition process, and we are just over halfway through. It is important that it is maintained in a stable and sensible way, and that is exactly what we are doing. My answer to his question is that the challenge put to me was to maintain stability and not to tear up those schemes—to maintain them and make them work—and that is exactly what we are doing.
Sam Rushworth (Bishop Auckland) (Lab)
I met farmers in my constituency in the days just ahead of the Budget. The biggest concern that they raised with me was not inheritance tax, but the transition from basic payments to ELM schemes. I welcome the fact that the Budget not only maintained the agriculture budget, but grew it, which the Conservatives said they would not do. There is a concern that under the previous Government, despite having the budget, the system was written in such a way that the smallest farms could not easily access that funding. That is the single biggest threat to agricultural businesses in my area. I rather think the Conservatives are raising a smokescreen. Will the Minister comment on what this Government will do to ensure that we can draw down that budget and ensure that local farms can take advantage?
Daniel Zeichner
It was striking that under the previous Government the agriculture budget was so substantially underspent. We are fixing that and making it possible for people to access those schemes in the way that my hon. Friend describes. It is interesting that the issue that came up most for him was basic payments. The issue that came up time after time on my visits was rural crime. That is the thing that has troubled so many people on farms and in the countryside. That is why it is so important that this Government are setting up a proper integrated rural crime strategy.
Simon Hoare (North Dorset) (Con)
The Minister is seeing silver linings in the clouds hanging over family farms and tenanted farms in North Dorset, but I must confess that I fail to see them. I will give ask the Minister a simple yes or no question: yes or no, will he come to North Dorset to meet farmers in my constituency and explain these wonderful silver linings that he can see in the clouds but none of us on the Opposition Benches can see?
Daniel Zeichner
I love visiting farms all over the country, and I am sure North Dorset will feature on my list at some point in the future.
On this whole question of optimism, pessimism and the stress and strain in the countryside, my hon. Friend the Member for Peterborough (Andrew Pakes) earlier warned about some of the things that are being said. I urge people to be temperate in their language on these issues, because people are stressed, anxious and worried. My task is to be calm, sensible and reassuring to them, and to remind them that the vast majority will be able to pass on their farms just as they have before. Just as pressing is to tackle those other real issues that they face. I do not underestimate the challenges that people face—of course it is difficult, and we know it is hard, but this Government will do everything we can to support people and to maintain their prosperity into the future.
Louise Jones (North East Derbyshire) (Lab)
Many of the farmers in my constituency have regularly raised concerns with me over protecting farms and our food system from animal diseases. Will the Minister please outline what steps he is taking to protect our food and farming systems?
Daniel Zeichner
I thank my hon. Friend for raising that important point, because among the many, many stressful things for farmers is not just the weather of the past few years, but the disease threats. Whether that threat is avian flu or bluetongue, we are committed to helping. As part of that, in the Budget we committed more than £200 million to start the process of upgrading the facilities at Weybridge, which is so very important for our future biosecurity. Biosecurity is so important. I was staggered that the previous Government did not take swifter action to protect our borders from African swine fever. We have toughened the rules on that.
Daniel Zeichner
I see the hon. Gentleman nodding. He is well versed in that; he knows.
Mr Speaker
Order. Can I just say that brevity will be helpful? I believe that everybody has a constituency interest, so I really want to get everyone in. If we can have shorter answers, that would be better. Also, if the Minister looked at me now and again, that would help me hear what is being said.
Sir Geoffrey Clifton-Brown (North Cotswolds) (Con)
I declare my interests as a farmer.
A 75-year-old farmer emailed me last week and said
“we work long hours, usually alone.”
He said that agriculture
“has one of the highest suicide rates of any industry. There is a great deal of talk these days about mental health and the need to alleviate stress in the workplace, yet”
last week the Chancellor and the Secretary of State for agriculture
“destroyed everything I have ever worked for.”
How would the Minister answer that?
Daniel Zeichner
I would reassure that farmer. I am afraid that I do not think he is correct on that, and we are absolutely determined to ensure that he can hand on his farm, as others have done before, but let us ensure that he gets the proper advice.
Ashley Dalton (West Lancashire) (Lab)
I spent about 14 months in this place asking the former Government about water management, but I was always on a hiding to nothing. Does my hon. Friend recognise that the farmers in my constituency have a lot of expertise in water management and land management? Will he tell us how the Budget supports farmers to bring that expertise to the fore and work in partnership with us to manage that land and water?
Daniel Zeichner
I am grateful to my hon. Friend. The schemes we have in place will help us to work with farmers on those issues—alongside, of course, the payment of the £60 million that the previous Government promised.
Seamus Logan (Aberdeenshire North and Moray East) (SNP)
The Minister has asked Members to be temperate in their language, but there is deep anger in Scotland and in my constituency about these announcements, which the policy director for the NFU in Scotland has stated will be devastating for farmers and crofters. Will the Minister tell us how these announcements will increase food security and national security?
Daniel Zeichner
Once again, I would say that it is by having a stable, sensible approach to farming support in the coming years. Clearly in Scotland this area is devolved, and it is for the Scottish Government to determine how they operate, but we are setting the overall context, and in a stable economy in the future farmers will thrive.
Luke Myer (Middlesbrough South and East Cleveland) (Lab)
I am proud to represent proud North Yorkshire farmers in my constituency. Will the Minister set out the steps he will be taking to ensure that small family farms will be protected by the Government? Additionally, will he endorse polyhalite, a fantastic crop nutrient fertiliser that is produced in only one place in the world: North Yorkshire?
Daniel Zeichner
I am grateful to my hon. Friend. I will always look with keen interest at anything that can help us to make progress. In terms of how we provide support and reassurance to those small farmers, that again is by making sure that we have a strong, stable economy.
Jerome Mayhew (Broadland and Fakenham) (Con)
I refer to my entry in the Register of Members’ Financial Interests. Is the Minister surprised by the reaction of the farming community?
Daniel Zeichner
I thank my fellow East Anglian MP for his contribution. Am I surprised? No, I am not entirely surprised, because people are very fed up and depressed, and they have been depressed for a long time. I understand why it is difficult, but my job is to reassure and talk calmly to people, and that is what I shall continue to do.
Mr Luke Charters (York Outer) (Lab)
I am proud to represent many wonderful farming communities. The young farmers I meet tell me that one of their biggest challenges is accessing rural mental health services. Does my hon. Friend welcome the record £22 billion extra going into the NHS, which will support access to rural mental health services?
Daniel Zeichner
My hon. Friend is absolutely right. The core message of the Budget is to get our finances stable and on track, which will allow us to invest in the public services that everyone needs, and particularly those in rural areas who are struggling with those issues.
Helen Morgan (North Shropshire) (LD)
One of many emails I have received in the past week is from a farmer who has an archetypal family farm of 330 acres of mixed dairy and arable that they are planning on passing on to their son, even though they are struggling to make ends meet. He is typical of farmers in my constituency, and he is very concerned. We have not seen any investment in public transport or any of the other sweeteners that the Minister mentioned earlier. Can he explain what investment will go into rural transport, and why he has set the threshold for APR so low?
Daniel Zeichner
I think the hon. Lady should wait a bit longer to see transport improvements—it has only been a week. The level has been set by the Treasury based on the figures that we have, to try to make sure it is fair. As I said, the vast majority will not pay anything. I hope she will find that reassuring.
Joe Morris (Hexham) (Lab)
For 14 years, farmers in my constituency were let down and betrayed by the Conservative Government on things like the Australia and New Zealand trade deal, and repeated broken promises that saw thousands of farm businesses across the country close. Does the Minister share my assessment that they were betrayed for those 14 years?
Daniel Zeichner
I do not think it is my assessment, but that of the voters, who made it very clear.
Lee Anderson (Ashfield) (Reform)
Sam Wilson is a farmer in Ashfield. He is not a rich man; in fact, he has not drawn a wage in the past four years. Will the Minister look me in the eyes and tell me how many farmers he has spoken to in the past few months who agree with this hare-brained scheme?
Daniel Zeichner
The last farmer I spoke to over the weekend congratulated me on what we were doing.
Dave Robertson (Lichfield) (Lab)
There appears to be a lot of discussion about agricultural property relief on inheritance tax today. Could the Minister confirm what percentage of the farms that claimed more than £1 million of agricultural property relief in the past two years actually received any agricultural income in the past five years?
Daniel Zeichner
I will have to go away and get the answer to that, and I will write to him.
Stuart Anderson (South Shropshire) (Con)
South Shropshire farmers were in touch with me over the weekend. They are up in arms about changes to APR that the Labour party told them would not happen. Will the Minister reverse this rural vandalism and back British farmers?
Daniel Zeichner
We will back British farmers, by making sure that they have a stable system in which they can flourish.
Bill Esterson (Sefton Central) (Lab)
It is extraordinary that a small number of wealthy landowners have been using agricultural property relief to avoid inheritance tax. What is more extraordinary is how the Conservatives have defended tax avoidance in the way that they have. Will my hon. Friend confirm to the farmers in my constituency and across the country that the Budget will benefit family farmers through investment in public services as well as through the agriculture proposals?
Daniel Zeichner
My hon. Friend makes a powerful point. Not only do those people seem to relish finding ways of creatively running their accounts, but some of them even take money to write columns about it.
Dr Caroline Johnson (Sleaford and North Hykeham) (Con)
I declare that my husband is in agriculture and farming, and therefore I have an indirect financial interest in the topic. This Government promised that they would not raise national insurance contributions, but they have. They promised that they would not reduce agricultural property relief, but they have. They have also added a fertiliser tax and a tax on pick-up trucks as a way of compounding the misery. Has the Minister done an impact assessment on food security and food prices following the Budget, and will he publish it?
Daniel Zeichner
The hon. Lady will know that many things impact food prices. I gently suggest to the Conservatives that they might want to look more closely at food price rises over the past few years before giving us any lectures on how to manage things. I am confident about this, because I have looked at the figures issued by the Treasury on the number of claims made in the past few years, and our figures stack up.
Claire Young (Thornbury and Yate) (LD)
I have previously raised in departmental questions that the farmers I speak to are reluctant to sign up for ELMS due to the complexity, and because they do not want to get locked into a deal when a better one might be around the corner. That may account for the £200 million underspend last year. In the Budget, the Government committed to maintaining the funding at the current level, including the underspend, but said that it would be reviewed in 2025-26 to ensure it is “affordable”. Does the Minister agree that that leaves farmers even more in the dark about their future, at a time when they are struggling to get by?
Daniel Zeichner
The hon. Lady raises an important point. I suspect that in the months ahead it will come out that, actually, over the last few months there has been a big uptick in the number of people making sustainable farming incentive claims. That says to me that we are now on track to make these systems work for people. I do not disagree with her that under the previous Government it was a very long painful process, but we are now making progress and we need to make it work.
Priti Patel (Witham) (Con)
Does the Minister recognise that the changes not only break the Government’s previous promises on APR to farmers, but that they will add significant burdens and costs to family farms and disincentivise food production?
Daniel Zeichner
I also wish my fellow East Anglian MP, the right hon. Lady, good luck in the coming hours. The reason we can look forward to a successful and stable future for farmers across the east of England and the rest of the country is that we have absolutely committed to stability. The reason things have had to be different is that we found—I found this in my Department, just as fellow Ministers found it in their Departments—that the situation was far worse than we had been led to believe. We had to tackle that problem.
Ann Davies (Caerfyrddin) (PC)
Diolch, Mr Llefarydd. As a tenant dairy farmer myself and chair of the Farmers’ Union of Wales Carmarthenshire, I perhaps understand this issue more than anybody else in the Chamber. The Government are trying to portray farming as an industry of super-wealthy landowners and that is simply not the case in Wales, let me tell them. Welsh upland farmers in mountainous and hilly areas have an average annual income of £18,600—yes, you heard correctly: £18,600. That is far below the national living wage for hours that are way beyond the average 40-hour week. What assessment has the Minister made of the impact of the changes to APR in Wales, where wages for farmers are so low?
Daniel Zeichner
The hon. Lady is absolutely right that farming is very tough right across the country and very difficult in Wales. It is a devolved issue, so I will not comment on specific schemes in Wales, but I point her back to the Treasury figures that show the number of people who made claims for APR. It is relatively few, and I would say it is probably relatively few in Wales.
John Glen (Salisbury) (Con)
I spent most of the past six years looking at Treasury figures and I have a great deal of sympathy for the hon. Gentleman. I fear he is a victim of a hit-and-run exercise by the Treasury on the Department for Environment, Food and Rural Affairs budget. He would do well to think about the lessons learned from the pasty tax, because if he is not careful this measure will be of a similar dimension for this Government.
Daniel Zeichner
I am very grateful for the right hon. Gentleman’s concern, but I have to say I do not agree with him.
David Chadwick (Brecon, Radnor and Cwm Tawe) (LD)
Can the Minister confirm how many farms in Wales will be impacted by the changes to APR in the Budget?
Daniel Zeichner
I am grateful to the hon. Gentleman for his question. I do not think it is broken down by national area at the moment, but it is something we can go away and look at.
Kit Malthouse (North West Hampshire) (Con)
I draw the attention of the House to my entry in the Register of Members’ Financial Interests. Farmers and family businesses are deeply alarmed, because an important principle on which they have relied for decades has been breached. It is obvious from the Red Book that the Chancellor will have to raise tax again in the future. Is this the end, or can farmers and small businesses expect yet more demands on death?
Daniel Zeichner
The right hon. Gentleman says decades. I think it was in 1991 or 1992 when the current rules were introduced. I can absolutely assure him that we are now on track for a stable future. That will allow farmers in his constituency and across England to flourish.
Richard Foord (Honiton and Sidmouth) (LD)
Family farms are very often cash poor. Each time the average farm is passed from a parent to a child, the family may have to generate an extra half a million pounds. They may deal with that by trying to make each acre produce an additional £40 of profit. That could send into reverse the agricultural transition to a more nature-friendly farming approach, if they revert to more agrichemicals and intensive methods. As I asked the Minister in an Adjournment debate last week, what did he do ahead of the Budget to combat this appalling measure?
Daniel Zeichner
The hon. Member asks what we did. What we did was look at the farming budget and ensure that we protected it, to allow his constituents and constituents across the country to take part in the schemes that will support them in that important transition.
Sir Julian Lewis (New Forest East) (Con)
How does the Minister reconcile his sensible acceptance of the fact that food security is vital to national security with farmland being split up and sold off, probably for development, as a result of the Budget changes?
Daniel Zeichner
The right hon. Gentleman has raised an important point. We will be addressing it through the land use framework, which will be delivered in the next couple of months. Of course there are trade-offs. There are a range of pressures on our land, in respect of housing, food, energy and so many other things. We need to have a rational way of making those decisions, and that is exactly what we will introduce.
Richard Tice (Boston and Skegness) (Reform)
Are the Minister, the Secretary of State and the Chancellor aware that so serious are the consequences of this policy that the heads of farming families in their 80s and 90s are seriously considering committing suicide before it comes into place? [Hon. Members: “Shame!”] Shame on you! [Interruption.]
Daniel Zeichner
I find it hard to respond to a question like that. I spoke earlier about using language carefully, and I would just reiterate that point.
Sir Roger Gale (Herne Bay and Sandwich) (Con)
In the rural England that I am privileged to represent part of, they say that you should live as if you are going to die tomorrow and farm as if you are going to live forever. Do the Government not understand that if we inheritance-tax our farms out of existence, there will be no forever, and there will be no food from what was once the garden of England?
Daniel Zeichner
The right hon. Gentleman is very knowledgeable about these issues. I just gently ask him to look closely at the detail and the figures, which show that the numbers are low. I do not recognise his characterisation of the future.
Mike Wood (Kingswinford and South Staffordshire) (Con)
According to statistics published by DEFRA last Thursday, an average farm in England measures 88 hectares, which is roughly one hectare for every word that Labour had to say about farming in its last manifesto. What assessment has the Minister made of the typical value of a farm of that size—about 88 hectares?
Daniel Zeichner
I think the hon. Gentleman will know that the definition of a farm is actually rather complicated. That is what makes this quite a difficult debate, and I am not going to comment on individual farms, but the overall assessment—[Interruption.] Let me return to the point about the Treasury figures, which show that the number of claims likely to be affected by this change is relatively low.
Jayne Kirkham (Truro and Falmouth) (Lab/Co-op)
Before the election, farmers in my constituency were very concerned about the environmental land management system, which had not worked for a long time but which they felt was just beginning to work. Will the Minister please reassure them that the Government will be proceeding with it?
Daniel Zeichner
I can absolutely give my hon. Friend that assurance. As I said earlier, throughout the last five years in opposition, I was a consistent supporter of the agricultural transition, and I am determined to ensure that it is successful.
Wendy Chamberlain (North East Fife) (LD)
I am conscious of the need to use temperate words, but one of my constituents said to me that the Government had left farmers the choice between selling now in a managed way and leaving their farms to their heirs, who would be at the mercy of HMRC and the banks. Either way, family farms would fall.
The Minister has talked extensively today about the challenges of wealthy individuals coming in to buy up farmland. Do the Government accept that this measure will potentially increase that problem, and, if it is a problem, what additional legislative steps will they take?
Daniel Zeichner
No, I do not. For the reasons that I outlined earlier, I think that it will act as a disincentive for people to do that.
Anna Dixon (Shipley) (Lab)
Farmers in my constituency have told me that they are struggling, owing to the abysmal implementation of a transition payment scheme by the last Government. There have been huge delays in receiving payments and they have been caught up in bureaucracy. Will the Minister reassure me, and those farmers in my constituency, that this Government are fixing those problems and speeding up payments to our farmers?
Damian Hinds (East Hampshire) (Con)
Ministers keep saying that we should not worry about APR because far more people think they will pay it than will actually be caught. Does he not recognise that that is part of the problem? People have to make business decisions now for an uncertain future, and this policy will have a depressive effect on the investment that we need in agriculture.
Daniel Zeichner
I do not agree. If the right hon. Member looks at a number of the more thoughtful commentators in the debate over the last few days, he will see that there are some very different views out there on the impact this policy will have.
Jacob Collier (Burton and Uttoxeter) (Lab)
I thank the Minister for his comments about rural crime, which is a real issue in my constituency of Burton and Uttoxeter. We have heard no apology from the Conservative party for cutting policing across our constituencies. Will the Minister say more about the steps that this Government will take to protect farmers from theft, antisocial behaviour and fly-tipping?
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.
Catherine Fookes (Monmouthshire) (Lab)
In my constituency of Monmouthshire, farmers are anxious and worried. Will my hon. Friend seek to reassure small family farmers by spelling out the figures? Last week, the Exchequer Secretary to the Treasury said:
“these exemptions mean that if someone has no other assets and is passing it on to a direct descendant, a farm or farming business worth up to £2 million can be passed on without paying any inheritance tax at all.”—[Official Report, 31 October 2024; Vol. 755, c. 1036.]
Daniel Zeichner
I am grateful to my hon. Friend. I am very reluctant to offer tax advice to anybody, but the advice I have been given is that the figure may even be more than that. I urge people to look closely at the detail, rather than jumping to the worst conclusion.
Martin Vickers (Brigg and Immingham) (Con)
Reference has been made to rural crime. May I suggest that a whole new definition of “rural crime” is the proposals contained in the Budget? The Labour party has yet again shown that it does not understand the rural community. If family farms close, there will be a knock-on effect for grain merchants, farm machinery dealers and so on. Can the Minister explain what assessment has been made of the impact on the total rural economy?
Daniel Zeichner
I agree with the hon. Gentleman that the rural economy is closely integrated and that one thing has an effect on another, but the thing that will be most beneficial for the rural economy is a strong economy, which we are building. We are putting the foundations in place.
Mr Speaker
Order. Sit down, please. The question was long enough. We do not need to start playing politics around the Chamber.
Daniel Zeichner
I do not recognise those figures. When I look at the figures that the Treasury gave for the number of claims in the last year available, that is very close to the number in the hon. Lady’s own constituency, which seems unlikely to me.
Rupert Lowe (Great Yarmouth) (Reform)
First, I should declare an interest as an active farmer of 865 acres. Secondly, I represent a constituency with some of the most fertile farmland in the country, and since the Budget I have yet to come across anyone who thinks that this is anything other than a terrible decision. Speaking at the Country Land and Business Association conference before the election, the then shadow Secretary of State—now the Secretary of State—was asked whether Labour intended to change inheritance tax relief for farmland. The response was:
“We have no intention of changing APR”.
While I feel for the Minister in trying to defend the indefensible, would he like to take the opportunity today to apologise to the British farming community and, most importantly, commit to the reversal of this cruel assault on British family farms?
Daniel Zeichner
The hon. Gentleman well knows the financial state of the country that we inherited. Difficult decisions had to be made.
Harriet Cross (Gordon and Buchan) (Con)
The average farm in Aberdeenshire is 490 acres, and average values are about £5,000 an acre for bare land. Once the farmhouse, building machinery and livestock are added, that is suddenly well over the inheritance tax threshold and have a huge IHT bill of hundreds of thousands of pounds coming your way. DEFRA figures show that 19% of farms do not make a profit and 24% make less than £25,000, so does the Minister suggest that farmers sell the land they use to grow the food, sell the machinery they use to harvest the food or sell the buildings they use to store the food, in order to pay this bill?
Daniel Zeichner
The hon. Lady will know that farming policy is different in Scotland, but on the tax issues, which are UK-wide, that is absolutely right, but I would suggest that she gets her farmers to look in detail at these proposals, and what they will find is the vast majority—[Interruption.] When they look at them in detail, they will find that the vast majority will be absolutely fine.
Ben Obese-Jecty (Huntingdon) (Con)
As a fellow Cambridgeshire MP, and having already announced a forthcoming ban on neonicotinoids for our sugar beet farmers, what message will the Minister give to the Cambridgeshire farmers so gravely impacted by the Government’s family farms tax that will lead to farmland being sold, and potentially see more of our best and most versatile land being used for vast solar farms? How does the slashing of agricultural property relief help farmers in Cambridgeshire?
Daniel Zeichner
It is very good to see my near neighbour. What I will say to Cambridgeshire farmers is that the thing they need most of all is a stable economy, and they also need a sound environment in which they can farm. The measures that we are putting in place will ensure their prosperity for the future.
Iqbal Mohamed (Dewsbury and Batley) (Ind)
Can the Minister reassure the House and the people of my constituency and our country, that the Budget will not add to the cost of producing food and will not result in consumers having to bear the brunt of rising prices, higher inflation and higher interest rates?
Daniel Zeichner
The hon. Gentleman makes an important point. The people of this country suffered gravely under the last Government, and we will do nothing to make their situation more difficult. In fact, this Budget protects the pay packets of the vast majority of the British people.
Greg Smith (Mid Buckinghamshire) (Con)
There are already very low margins on every farm, including those in Mid Buckinghamshire. Will the addition of between £50 and £75 a tonne on the price of fertiliser, through the Government’s proposed carbon tax, increase food prices? Who will shoulder that burden? Will it be the farmer, or will it be the consumer?
Daniel Zeichner
As the hon. Gentleman knows, a whole range of factors go into food prices. What is very good news is the establishment of GB Energy and a move to a much more affordable and reliable form of power for farmers as well as our consumers. We will all be better off.
Mr Joshua Reynolds (Maidenhead) (LD)
On Friday, I visited an agricultural college in my constituency, where I heard concerns about how the changes in this Budget will potentially strip an industry of young farmers. What discussions did the Minister have with farming stakeholders on changes to the agricultural property relief prior to the Budget?
Daniel Zeichner
The hon. Gentleman will know that tax discussions during the run-up to a Budget are a delicate issue. However, there was no shortage of discussion in newspaper columns across the country, so there has clearly been discussion. Younger people who want to go into farming face real obstacles, and this change could help.
Daniel Zeichner
The hon. Gentleman shakes his head but, if he talks to people who know about these issues, they agree with me.
James Wild (North West Norfolk) (Con)
Does the Minister accept that agricultural relief was introduced to protect family farms from being broken up, precisely to reflect their role as food producers and custodians of our countryside? Will he rethink this, do what Labour originally promised, and withdraw this proposal?
Daniel Zeichner
As a fellow East Anglian MP, the hon. Gentleman will know just how complicated farming is, how much it has changed over the last 30 years, and how much it is likely to change in the future. We have to ensure that farming is in the right place to benefit from the changes that we are seeing globally and nationally and, most importantly, that farming can operate in an environmentally and nature-sensitive way. Without that, we will all be in deep trouble.
Stuart Andrew (Daventry) (Con)
In the Minister’s opening answer, we sadly heard more Government slogans and soundbites than real understanding of the fear that Daventry farmers have been telling me about. I can assure him that they have been looking at the detail in great detail. One of them, whose father is sadly coming to the end of his life, is now actively looking to sell off land because they simply cannot make the farm work. That is the next generation gone. That is food that feeds NHS patients gone. Does the Minister not think it is time to reverse this policy?
Daniel Zeichner
I think it is time for people to take up the opportunities of the schemes that the previous Government introduced and that we are continuing, which allow them to farm in an environmentally and nature-friendly way. It will be good for the future and will produce food for this country. There is a very bright future for British farming.
Alison Bennett (Mid Sussex) (LD)
Given the varied estimates of how many farms will be impacted by these changes to agricultural property relief, will the Minister confirm how many farms he thinks will be impacted?
Daniel Zeichner
I refer the hon. Lady to my earlier answer. The figures are in the Treasury papers for all to see.
Matt Vickers (Stockton West) (Con)
Since Wednesday, I have been contacted by devastated farmers from across Stockton West. Their families have farmed for generations, and they know that, as a result of this Budget, they will be the last generation to do so. Has the Minister made any assessment of the impact this APR change—this family farm tax—will have on the viability of tenant farming?
Daniel Zeichner
Yes, we have, because we have looked at the figures. Again, I do not recognise the hon. Gentleman’s characterisation although, given some of the things that have been said over the last few days, I understand why people are alarmed.
Daniel Zeichner
I understand the point but, first, much of this can be avoided through proper planning. Secondly, Devon is one of the counties where we most often hear it said that people are coming in and buying up land for the wrong reasons.
John Cooper (Dumfries and Galloway) (Con)
Farmers in Dumfries and Galloway, who have been contacting me over the weekend, are not shroud-waving—let us be clear about that. Less clear are the figures. The NFU says that as many as 50% of farms that are producing food, meeting environmental targets and providing jobs in remote and rural areas could be at risk. Napoleon knew that an army marches on its stomach, and he also said that a good retreat is better than a bad stand. This Government are making a bad stand, and they have a chance to reverse this decision. Will they not do that?
Daniel Zeichner
“Could be at risk” has a very broad definition. The figures are absolutely clear, and I suggest that the hon. Gentleman looks at them.
Manuela Perteghella (Stratford-on-Avon) (LD)
Unlike in many countries that are dominated by vast corporate agribusinesses, the British rural landscape, including that of my Stratford-on-Avon constituency, is defined by small, family-run farms. They are our local food producers, and they are part of our communities. How do the Government plan to protect this heritage against the pressure to sell to multinational agribusinesses in the face of a significant inheritance tax burden?
Daniel Zeichner
We treasure our wide range of farms, which are very different in different parts of the country. The agricultural budget is at its highest level ever and it will provide support, particularly to small farms. The previous Government ended the five-hectare minimum level. I strongly support that and it will continue to be the case.
Nick Timothy (West Suffolk) (Con)
Farming families in West Suffolk feel deep anxiety, in common with those in other constituencies, as hon. Members from across the House have explained. When those families hear the Minister say that they do not understand the detail, or that they should listen to commentators who agree with the Minister but not them—commentators who probably have nothing to do with farming in the first place—they will be furious with him. Will the Minister apologise to those people? If it is not such a big deal, will he explain why more than 130,000 people have already signed the NFU petition telling him to change the policy?
Daniel Zeichner
At no point did I say that farming families did not understand the detail. What I asked was for Members on the Conservative Benches to look at the detail, because when they look at the detail, they will find the truth.
Calum Miller (Bicester and Woodstock) (LD)
Family farmers in my constituency of Bicester and Woodstock are left confused and angry by this betrayal by the Government over APR. They want to know whose daft idea it was. Will the Minister clarify whether the measure was proposed by DEFRA, as part of the stability for farms that he outlines, or did it come from the Treasury?
Daniel Zeichner
There is nothing daft about putting this country’s finances on a sound footing. I say to the hon. Gentleman’s constituents, if they want a decent health service, schools and transport, this Budget will deliver that.
Dr Kieran Mullan (Bexhill and Battle) (Con)
May I politely suggest to the Minister that the time for his weekend reading was before deciding the policy, not afterwards? Farmers in my constituency, including Jonathan Vine-Hall, tell me that the change to the relief will make it financially non-viable to pass on his very typical 450 acre farm. Does the Minister agree with me that the likely outcome of that will be that disinterested investors will buy the farm instead, which is exactly what he seeks to avoid?
Daniel Zeichner
The likely outcome will be that people will put arrangements in place to pass on their farms at the appropriate time, pulling more younger people into farming, which will be a good thing. My overall message to farmers across Britain is, “This Government are on your side. We will support you. Look at the agricultural budget and the money that has been paid out of the flood budget. We are with you. Don’t listen to these people.”
Agricultural Land: Protection
Daniel Zeichner Excerpts(3 months, 2 weeks ago)
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The Minister for Food Security and Rural Affairs (Daniel Zeichner)
My thanks to my hon. Friend the Member for Aylesbury (Laura Kyrke-Smith) for securing today’s debate, delivering such an excellent and thoughtful speech and speaking so eloquently about her lovely constituency, and also—like my hon. Friend the Member for East Thanet (Ms Billington)—for teasing out some of the challenges, particularly around housing and the importance of nature.
Nature underpins everything from our personal wellbeing to our economy, but the truth is that nature is in crisis. That is why the Government are committed to charting a new course and ensuring that nature is truly on the road to recovery. Ensuring nature’s recovery is one of my Department’s five key priorities, alongside cleaning up our rivers, lakes and seas; moving to a zero-waste economy; supporting farmers to boost our food security; and protecting communities from flooding. It is nature’s recovery that will support and complement those other priorities and contribute to the Government’s central mission for economic growth.
My hon. Friend the Member for Aylesbury raised the important issue of planning reforms. The Government are determined to transform the planning system to ensure a win-win for house building and for nature. Nature recovery is a top priority, alongside the need to overhaul the planning system, grow the economy and reach net zero. It is not a matter of choosing one of these priorities over another. Sustained economic growth depends on a healthy natural environment.
The Secretary of State has already confirmed that the Government are undertaking a rapid review of the environmental improvement plan. Our review will ensure that it is fit for purpose to deliver on our legally binding Environment Act 2021 targets and our international commitment to protect 30% of England’s land and sea by 2030. So this debate is extremely timely, and I will seek to address and respond to the points raised.
To restore nature, we need to create, restore and connect wildlife-rich habitat at scale, reduce pressure on species, including from pollution and climate change, and take targeted action to recover specific species. The Government will deliver for nature, working in partnership with civil society, communities and businesses to restore and protect our natural world. Working with farmers and landowners to deliver nature recovery will be crucial, which is why we are fully committed to the environmental land management schemes.
Tessa Munt (Wells and Mendip Hills) (LD)
Would the Minister be keen to meet some of my constituents, who are threatened by the actions of EDF and Hinkley Point C, which wish to create salt marsh on land that is currently farmed in north Somerset? That is causing a huge amount of distress to people locally, including young Sophie Cole, whom I met this weekend and who has just started on her path as a young farmer. She is 28, and she and all the villagers in Kingston Seymour are very keen to make sure that the Minister understands the tensions between the creation of salt marsh at the behest of Hinkley and their natural desire to carry on farming that has taken place for hundreds of years.
Daniel Zeichner
I would be happy to learn more about the issues that the hon. Lady has raised.
The Government will optimise ELMS so that they produce the right outcomes for all farmers while delivering food security and nature recovery in a just and equitable way. We will confirm plans for the roll-out of schemes and our wider approach as soon as possible. ELMS, including the sustainable farming incentive, countryside stewardship and landscape recovery, will contribute to the biodiversity targets at scale by supporting nature-friendly farming and creating and restoring wildlife-rich habitats. They will also help to restore and improve the condition of protected sites, including sites of special scientific interest. From this year, ELM agreements are expected to bring or maintain up to 480,000 hectares of eligible SSSI habitat in England under favourable management, and to create or restore up to 300,000 hectares of wildlife-rich habitat, in addition to up to 200,000 hectares of peat and woodland by 2042.
In addition to the action that we will take to recover nature by creating and restoring habitat, we will take action to effectively protect wildlife-rich habitats and species. That protection is crucial, as species are in decline. That includes important farmland species such as farmland birds, including the turtle dove, which has declined in the UK by 97% since 1994. However, where nature-friendly farmers and major partners such as the Royal Society for the Protection of Birds, the wildlife trusts and the National Trust, have put the right ELM measures in the right places, we have seen increases in scarce farmland bird species such as chough, cirl bunting, and stone curlew.
Our work to protect nature will include action to restore our protected sites, which are vital wildlife havens facing increasing pressures from climate change, pollution, and invasive non-native species. Natural England is working to get protected sites into favourable condition. That includes piloting new powers to put in place protected sites strategies to deliver improvements in partnership with others and working with the SSSI major landowners group to develop landscape-scale approaches. Natural England is also working with farmers through the catchment-sensitive farming programme to improve water and air quality on farms around protected sites. That includes helping farmers to secure funding to make management changes to improve their condition.
We will also protect our most beautiful landscapes and help our national parks and national landscapes to become wilder, greener and more accessible to all as we deliver our commitment to protect 30% of land for nature by 2030.
Richard Foord (Honiton and Sidmouth) (LD)
The Minister talks about partnerships, and among the key partners in restoring nature are, of course, small family farms. I have heard speculation that Wednesday’s Budget might remove agricultural property relief on inheritance tax. Of course, the Minister will not be able to comment on the Budget—I will have to wait until Wednesday for that—but if somebody were to float such an idea, would he combat it?
Daniel Zeichner
The hon. Gentleman is not going to tempt me. He will have to wait until Wednesday, I am afraid.
One of the key criteria for land to contribute to our 30by30 commitment is protection, as areas counting towards the target should be protected from loss or damage to important biodiversity. Land contributing to 30by30 should be secured for long enough to secure good biodiversity outcomes, generally for at least 20 years. Some areas, including those under intensive farming, are not suitable for 30by30, but our approach recognises that nature-friendly land uses may be able to play a role in supporting our goal.
Jim Shannon
It is disappointing that the good work done by wildfowling clubs across this United Kingdom of Great Britain and Northern Ireland is not often mentioned. They rent and own salt marshes—they own land as well—and they manage them so that wildlife and plant life can blossom. It is done in partnership with landowners, Natural England and many others. Will the Minister recognise the good work that wildfowling clubs do and their contribution to a better life?
Daniel Zeichner
Of course, I join the hon. Gentleman in recognising the role of wildfowling clubs and many others who play an important role in the countryside.
The Government also place great importance on our agricultural land and food production. The national planning policy framework sets out how the best and most versatile agricultural land should be reflected in planning policies and decisions. The framework is clear that, where significant development of agricultural land is necessary, areas of poorer quality land should be preferred to those of a higher quality.
Meeting our ambitious targets on nature restoration, alongside our priorities on food security and accelerating to net zero, will require careful thought about how we use our land, which is why the forthcoming land use framework for England will consider cross-governmental issues such as energy and food security, and how we can expand nature-rich habitats such as wetlands, peat bogs and forests.
The 16th UN biodiversity summit is currently under way in Colombia, where the importance of biodiversity and ensuring that we achieve our national targets and international commitments will once again be in the spotlight. The Government have also recently appointed Ruth Davis as the UK’s first envoy for nature, and she will champion our ambition to put nature at the heart of our foreign policy and help us to deliver our commitments for nature recovery.
I finish by thanking my hon. Friend the Member for Aylesbury for securing today’s debate. I look forward to working closely with her and others to ensure that we begin to make real progress on the Government’s priorities of nature recovery and boosting our food security.
Question put and agreed to.
Pie and Mash: Traditional Speciality Guaranteed Status
Daniel Zeichner Excerpts(3 months, 3 weeks ago)
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Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
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The Minister for Food Security and Rural Affairs (Daniel Zeichner)
It is a great pleasure to serve with you in the Chair, Sir Mark. I congratulate the right hon. Member for Basildon and Billericay (Mr Holden) on securing this debate on the potential for traditional speciality guaranteed status for pie and mash. I was delighted to hear him say that he will start small, because I can guarantee him that this Government will go big on food and regional food in general. I am so pleased to see that Opposition Members now have time on their hands to tour the very best hostelries in their constituencies. The right hon. Gentleman can rest assured that we are absolutely determined to celebrate our great British food.
I will start by talking about pie and mash. As a hearty meal with roots in the docks of London, pie and mash has long been cherished as a working-class staple, part of the rich culinary heritage of our capital city. Of course, it is not alone in being a recognised feature of London’s food landscape. London cure smoked salmon, produced in east London for over a century, is already recognised with a protected geographical indication. Products such as those show how local traditions can thrive and how we can celebrate them for their authenticity and tradition, which has been developed over a long time.
Let me say a little about the policy background to the debate. Geographical indications, or GIs, are an internationally recognised mark of quality and authenticity. They help to protect and promote the heritage, tradition and production methods of our most iconic food and drink products. They provide consumers with the confidence that they are purchasing genuine, high-quality products. Each one of the UK’s 93 protected products is the result of a unique combination of geography, history and know-how. Products such as Welsh lamb, Scottish salmon, Lough Neagh eels and Sussex wine showcase the diversity of our cuisine and highlight how GI schemes promote a range of traditional products.
Those designations can also play a role in enhancing tourism, attracting visitors eager to experience authentic local flavours. Many places proudly promote the GI status of their cherished foods in marketing campaigns to highlight the visitor offer. Through national recognition, local producers are celebrated and their industry sustained for future generations, creating new jobs and opportunities.
One example of using protected status to celebrate place and tradition is the Cornish pasty story, which was mentioned. That is underpinned by its protection as a PGI, but there are many others. Other products have become the focus of events, such as the Melton Mowbray food festival celebrating the region’s renowned pork pie, and the “Taste of Scotland” initiative championing Scotch whisky and beef. The Government are keen to see those fantastic products and events continue to grow in strength and reputation in future.
GI products represent around 25% of the UK’s food and drink exports by value. There is strong demand for British products around the world, with GIs indicating quality and providing a means of unlocking international markets for our producers. The protection of GIs through free trade agreements offers a platform for exemplary UK produce and supports their export growth while broadening market access opportunities.
Those agreements safeguard the principle of the UK’s GI system and maintain its high standards of protection. My colleague the Business and Trade Secretary announced in July that the Government would restart trade talks with a range of countries, such as India, South Korea and Turkey. We will seek protection for our world-class GIs through those negotiations. GI protection in trade agreements will not only support our rural communities and traditional industries, but help us to build the UK’s global reputation for excellence in food and drink production.
The Government want to see GIs grow in stature as part of our national food culture. Our GI conference held on 3 September was a key step in that effort, bringing together stakeholders from across the sector to discuss how we can best promote our GI products. By sharing the stories behind our GIs and highlighting the passion and craftsmanship that go into making them we can help to ensure that more consumers both here and internationally are aware of and appreciate the value of these products.
Mr Francois
I thank the Minister for giving way. Perhaps through him I could take up the gauntlet that my neighbour and right hon. Friend the Member for Basildon and Billericay (Mr Holden) threw down in a friendly manner. Although Robins Pie & Mash will be difficult to beat, I will pitch my pie and mash shops against his, perhaps for charity, and we will see who the winner will be.
Daniel Zeichner
Although I am grateful for that intervention, I certainly would not want to stand in the way or promote rivalry between the two right hon. Gentlemen. I am sure they can sort it out between them, achieving a satisfactory outcome for all.
In conclusion, the Government are committed to celebrating the UK’s GIs and will continue to promote them at home and abroad, working to ensure that the benefits are felt across the country. Although due process prevents me from commenting today on whether pie and mash would qualify for TSG status, I would warmly welcome a formal application. I am pleased that my officials are working closely with the proposer.
Question put and agreed to.
Government Support for the RSPCA
Daniel Zeichner Excerpts(4 months, 1 week ago)
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The Minister for Food Security and Rural Affairs (Daniel Zeichner)
It is a great pleasure to serve with you in the Chair, Mr Twigg. I join in the congratulations to my hon. Friend the Member for Newport West and Islwyn (Ruth Jones)—and she is indeed a very good friend—on securing this important debate. Her opening speech setting out the history and the issues was very thorough, and absolutely typical of her deep knowledge of these subjects, which she displayed, of course, when she served with me as a member of the shadow team over many years. I am delighted that my hon. Friend continues to be a staunch advocate for animal welfare in this place, and that her commitment to this cause was recognised last month, when, I am told, she won the Nature 2030 award for animal welfare. I also thank the shadow Minister for his kind words for my colleague; they are very well received.
I pay tribute to the RSPCA’s outgoing chief executive, Chris Sherwood, and wish him well in his new role, which I am told is at the National Society for the Prevention of Cruelty to Children.
I am delighted to take part and reply in today’s debate celebrating the RSPCA’s 200th anniversary and some of the achievements since that first meeting in the London coffee shop in 1824. It has been a very good debate. I was warned in advance that probably a number of people’s pets would be mentioned, and we have had Bella from Waveney Valley and Ted from Westmorland and Lonsdale. I will not add my own.
I welcome new Members to this happy band that joins these regular Westminster Hall debates. I suspect we shall all get to know each other even better over the next few years. Of course, no debate like this would be complete without a contribution from the hon. Member for Strangford (Jim Shannon)—I will come to some of his comments in a minute. I am particularly pleased to welcome my hon. Friend the Member for Clwyd East (Becky Gittins), who made important points about the microchipping consultation. I can tell her that they are under very serious consideration. The points she made about the database were well made, but these are inevitably complex issues.
I am pleased to see the hon. Member for Waveney Valley (Adrian Ramsay) here; he made a series of important points. There are clearly issues around greyhound racing and welfare. Those involved in that sport are making considerable efforts to address those issues, but we are monitoring them carefully and if action is needed, it will be proportionate and sensible.
The hon. Gentleman also raised important points about poultry production. Of course we want to improve animal welfare in any way we can, but I gently say to him that the trade issues are complicated, and there is no point in our moving unless we can move in tandem with others. Exporting cruelty does not solve the problem. This is a complicated set of issues, but we clearly want to make as many improvements as we can.
I was pleased to hear the important points that my hon. Friend the Member for Sheffield Brightside and Hillsborough (Gill Furniss) raised about animal testing. I will come to them in a moment.
As we always say, we are a nation of animal lovers. The RSPCA plays a crucial role and should be given significant credit for helping shape the attitudes towards animal welfare that underpin our society. The comments by the hon. Member for Strangford about the USPCA informed my thinking; I was not entirely aware of its work. The inspectors and animal rescue officers of the USPCA and the RSPCA work—in often extremely challenging circumstances—to investigate and rescue animals from harm, and they deserve our thanks and praise, as do the staff and volunteers who work tirelessly to rehabilitate and rehome so many animals and give them a better life. The RSPCA has proven to be a formidable champion of animal welfare over the past 200 years, and successive Governments have greatly benefited from its expertise and advice.
Hon. Members have raised a number of campaigns and issues, and I will try to set out our position on some of the main ones. In our manifesto, we outlined that we are committed to ending puppy smuggling. Since the pet travel rules were harmonised with the European Union in 2012, there has been a significant increase in the number of non-commercial pet movements into the UK. Sadly, it tripled since 2011 to more than 320,000 dogs and cats in 2023. The number of dogs, cats and ferrets imported under the commercial rules has also significantly increased over the past few years. I listened closely to the comments of the hon. Member for Strangford about cat movements. By the nature of the crime, we cannot know the true extent of pet smuggling operations, but we know that commercial imports of dogs and cats are being disguised as non-commercial movements, as they are subject to less stringent checks.
Sadly, there is also an emerging market for the importation of heavily pregnant dogs and dogs with cropped ears—a painful practice that has been rightly banned in the UK for more than 15 years. We intend to clamp down on unscrupulous traders who prioritise profit over welfare. This problem is linked to dog breeding issues. We are working closely with the UK Brachycephalic Working Group to reduce the number of dogs affected by that condition.
My hon. Friend the Member for Newport West and Islwyn mentioned the overriding recommendation of the 2015 Law Commission report into wildlife legislation—namely, that wildlife laws in this country need to be consolidated. I cannot today commit to bringing about that consolidation, but it is clear that we need more consistency and clarity. Our general election manifesto included an explicit commitment to bring an end to the use of snare traps, which I am sure hon. Members will welcome, but I am conscious that questions are posed about the humaneness of other wildlife traps. The law should be there to improve the protection of our wild animals, not only from an ethical standpoint but because the protection of wildlife is a crucial part of our approach to meeting our nature recovery ambitions.
Adam Jogee (Newcastle-under-Lyme) (Lab)
I thank the Minister for his speech; it is wonderful to see him in his place. I spent five years before my election to this House working in the office of my hon. Friend the Member for Newport West and Islwyn (Ruth Jones), and in the shadow DEFRA team with the Minister, so it is very good to be here listening to him. On that point, I urge him to be bold and ambitious. The shadow Minister’s speech was like a rehash of a previous life, but his rose-tinted version did not quite match my recollection. We seek to have the strongest approach to animal welfare, so let us be bold and do what the Conservatives did not.
Daniel Zeichner
I shall always listen to my hon. Friend’s exhortations to be bold. Watch this space in the coming few months.
Finally on wildlife, significant sanctions are available to judges for those convicted of most wildlife crimes, but there are questions as to why there are different penalties for similarly abhorrent acts against different species. Bringing more consistency seems worthy of closer consideration. The Government will look at how best to deliver nature restoration and enforce animal welfare standards for wildlife.
Moving on to points raised especially by my hon. Friend the Member for Sheffield Brightside and Hillsborough about phasing out the use of animals in experiments, the use of animals in science is a highly sensitive issue. We agree with the RSPCA that it is essential to replace the use of animals with humane alternatives. That is why we made in our manifesto a commitment to partner scientists, industry and civil society as we work towards the phasing out of animal testing. We are engaging with key stakeholders with an interest in animal research as to how we will take that commitment forward. I note that my hon. Friend the Member for Newport West and Islwyn asked for a timetable in her opening statement; I assure her that it will be done in due course.
The UK is world leading in the development of alternative methods to using animals. This Government are keen to ensure that such methods are used wherever possible. However, technology is not quite yet at the stage where animal testing can wholly be replaced. We want to replace the use of animals in scientific procedures where we can, but for now the carefully regulated use of animals in scientific research remains necessary if we are to protect humans and the wider environment.
The use of animals in such testing is limited to specific purposes. Furthermore, the use of animals in scientific procedures is permitted only if no alternative is available, where the number of animals used is the minimum needed to achieve the scientific benefit, and where the potential harm to animals is limited to the absolute minimum needed to achieve the scientific benefit. Those are collectively known as the three Rs of replacement, reduction and refinement.
I also recognise the significant public interest in the welfare of farmed animals, and the immense contribution that the RSPCA has made to help raise farm animal welfare standards through its lobbying and its farm assurance scheme, RSPCA Assured. I heard the comments by the hon. Member for Waveney Valley, but I am confident that the work that the RSPCA is doing will restore confidence in that very important scheme.
I appreciate the strong public demand for clearer animal welfare information on the food people buy, to help them make purchasing decisions that align with their values. The public consultation on fairer food labelling was undertaken earlier this year by the previous Government. That consultation sought views on proposals to extend existing mandatory methods of production labelling. We are carefully considering all the responses to the consultation before deciding on next steps. We will publish a response to the consultation in due course.
On cages and confinement, I am very much aware of the strong public feeling about keeping farm animals in cages and of the recent campaigns, including by the RSPCA, urging the Government to publish consultations on phasing out the use of enriched colony cages for laying hens and of farrowing crates for pigs. I appreciate the RSPCA’s role in leading the way on encouraging high standards when it comes to this issue, with RSPCA Assured not permitting the use of colony cages for laying hens or farrowing crates for pigs.
I am encouraged that the market itself is driving the move to alternative systems for laying hens—primarily free range and barn—away from the use of cages. The transition to non-cage egg production has been supported by the major supermarkets, which have pledged to stop selling shell eggs from hens kept in colony cages by 2025. That shift by retailers has accelerated the move away from colony cage systems. Free-range eggs account for more than 60% of total egg throughput in the UK.
We will not, however, leave the issue to market forces alone. The transition to cage-free systems is being supported by grants in England for laying-hen and pullet farmers with flocks of 1,000 birds or more to refurbish or replace existing housing, including those looking to make the transition from colony cages to higher-welfare non-cage systems.
As with cages for laying hens, the issue of ending the use of pig farrowing crates does not only affect the UK industry, but is something that our European trading partners are also considering.
Jim Shannon
I know that the Minister and I, and hopefully everyone else in this Chamber, appreciate the efforts and contributions of farmers who, by and large, want their animals to be well looked after and try to achieve that. The National Farmers Union here and the Ulster Farmers Union back home are working alongside farmers to improve things. Sometimes in debates we can get a wee bit lost in these things. It is important to remember that many people are trying their best to make things better.
Daniel Zeichner
I absolutely agree with the hon. Member. It is important to make the point that of course all our farmers want to raise their animals to the highest possible standards, but they need the right regulatory frameworks to make that possible, which is what we are working on. As with any change to our farming systems, as I said earlier, we need to consider the implications for trade.
Adrian Ramsay
The Minister says that he wants to be ambitious on animal protection and has asked us to watch this space, which we will do, given the cross-party interest in this roomin animal protection issues. He mentioned market forces and trends in animal welfare. May I highlight, therefore, that we are seeing a proliferation of huge industrial chicken sheds in Norfolk and Suffolk, and I am sure around the country? Tens of thousands of birds, and in some cases pigs, are kept in really unpleasant, cramped indoor conditions that are not consistent with welfare standards of the type that the Minister talks about. What action will the Government take to stop that trend? This is about animal protection, river pollution and environmental standards.
Daniel Zeichner
I disagree with the hon. Member’s assumption that animal welfare standards are lower in larger-scale production facilities; that is a false premise. I urge him to look at some of the smaller premises that are sometimes undercapitalised and, I am afraid, do not always achieve the welfare standards that we are looking for. I do not think it is as simple as he makes out.
The trade issues are really important. We already lead in Europe—I am going back to the pig sector here—in having a significant outdoor pig sector. Some 40% of the national sow breeding herd farrow freely on outdoor units, with no option for confinement. DEFRA’s statutory welfare code of practice for pigs states that the aim is for farrowing crates to no longer be necessary and for any new system to protect the welfare of the sow as well as her piglets.
In the meantime, under the new “Get funding to improve animal health and welfare” service, a fully funded vet visit known as the animal health and welfare review is available to pig farmers to improve pig health and welfare.
It is fair to say that the United Kingdom is rightly proud of the high animal welfare standards that underpin our high quality British produce, and we will work to ensure that we address low confidence and provide stability for the farming sector.
In conclusion, the Government look forward to delivering the most ambitious programme for animal welfare in a generation. I very much hope we can build on the excellent relationship that we have forged with the RSPCA over many years to progress the various important animal welfare issues that have been raised today.
Farming and Food Security
Daniel Zeichner Excerpts(4 months, 1 week ago)
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The Minister for Food Security and Rural Affairs (Daniel Zeichner)
I am grateful to have the opportunity to close the debate. The hon. Member for Keighley and Ilkley (Robbie Moore) spoke for so long that it will not be possible to answer many of the questions he posed, but I am grateful to have the opportunity to show my gratitude and support to farmers working hard to feed the nation and protect our environment up and down the country.
We have heard some excellent first speeches from new Members today, and I want to pay tribute to them. From my hon. Friend the Member for Derbyshire Dales (John Whitby), we heard about the housing crisis and about the beauty of the constituency—from toe wrestling to Chatsworth. From the hon. Member for South Cotswolds (Dr Savage), we also heard about a beautiful constituency, as well as about the glorious breakfasts available in Cirencester and a eulogy to the Thames. Importantly, she made the point about young new entrants being able to enter farming, which is a passion of mine and something that we will be pursuing with vigour.
We heard from the hon. Member for Brecon, Radnor and Cwm Tawe (David Chadwick) about the beautiful spa towns of his constituency, as well as the health issues that he has faced and health systems. I very much recognise the points that he made. The hon. Member for Sutton and Cheam (Luke Taylor) talked about his internationally diverse community with real passion.
We also had excellent speeches from a range of people. My hon. Friend the Member for York Outer (Mr Charters) talked about water scarcity. My hon. Friend the Member for South Norfolk (Ben Goldsborough) talked about the need for reservoirs. My hon. Friend the Member for Hexham (Joe Morris) talked about depopulation and the need to get young people into farming. My hon. Friend the Member for Bathgate and Linlithgow (Kirsteen Sullivan) endorsed the sensible call from the president of the National Farmers Union for balance in our attitude to solar farms.
My hon. Friend the Member for Northampton South (Mike Reader) talked about food hardship. We heard powerful interventions about the mental health issues and challenges facing our farmers and the challenges of rural crime, and we heard from my hon. Friend the Member for North East Hertfordshire (Chris Hinchliff) on the need for a land use framework.
I have to say that, from listening to Conservative Members, they do not seem to have grasped the level of their own failure. The Conservative Government failed farmers and rural communities. We have heard about low levels of confidence, 12,000 businesses going out of business, and input costs and energy costs spiralling. That is why rural communities voted them out in their droves. It will be very different in the future.
We have heard the complaints about budgets for the future. I am sure that right hon. and hon. Members on the Opposition Benches have the experience to know how spending reviews work. They will find out in time where the money is. But, of course, given that they spent the money many times over, they know the problems that we are having to clear up. What we have heard is the need for stability in the future to overcome the economic problems that we have inherited from their failed Government.
Farmers are the backbone of rural communities, our environment and our economy, but they face multiple challenges from flooding and droughts to soaring input costs and rural crime. We need a proper long-term strategy that works. We will do away with the sticking-plaster approach that we have seen for the last few years and replace it with a new deal for farmers that genuinely will boost farmers’ resilience in the face of climate change and wider external shocks.
We will work in partnership with farmers, listen to their concerns and their ideas and tackle the root causes of the long-term issues that they continue to face. Only after those discussions and considerations will it be possible to deliver the changes that farmers really want to see. In summary, that will be a long-term approach—a Labour approach. That approach will be good for farms, good for consumers, good for the environment and good for nature—frankly, a real change from the short-term, quick-fix operators now deservedly relegated to the Opposition Benches.
Question put.
Sheep Farming
Daniel Zeichner Excerpts(5 months, 1 week ago)
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The Minister for Food Security and Rural Affairs (Daniel Zeichner)
It is a pleasure to see you in the Chair, Dr Huq, and to follow the shadow Minister, the hon. Member for Keighley and Ilkley (Robbie Moore). I am sure that a number of us will spend a lot of time in Westminster Hall debating issues in the months and years to come. There was always a positive and constructive relationship, in particular with the junior Ministers at DEFRA, and I am sure that that will continue. I welcome the Liberal Democrat spokesperson, the hon. Member for Glastonbury and Somerton (Sarah Dyke).
I was struck by how the debate covered all four countries of the United Kingdom. I have been to all four in the past few months to try to start the process of building a closer relationship, absolutely respecting the devolved Administrations and devolution settlements but also recognising the importance of the UK Government’s working closely with them.
Most of all, I thank my hon. Friend the Member for Hexham (Joe Morris) for bringing forward this debate and raising points of considerable importance to the sector in what I thought was an excellent introductory speech. I am very fond of his constituency; I remember being at the northern farming conference a few years ago. I look forward to working closely with him.
We have had some excellent contributions. Among those from Government Members, I particularly commend that of my hon. Friend the Member for North Northumberland (David Smith), whose points about the need for new entrants were very well made. Long-term parity is absolutely required by the sector. The land use framework has been long promised and we will be working on it with urgency.
I was also struck by the contribution from the Member for the Western Isles, my hon. Friend the Member for Na h-Eileanan an Iar (Torcuil Crichton). I was in Shetland recently, where there are similar issues, I suspect. The points about crofters are very well made. I absolutely respect the role of the Scottish Government, while reflecting the points that I have already made about the role of the UK Government.
The UK Government are grateful to our sheep farmers. I echo the points made by Opposition Members: we commend sheep farmers for all their work to provide us with products that meet such high environmental and welfare standards and to support the domestic food supply chain and strong export markets. They play a very important role in supporting rural communities, with some 150,000 jobs contributing to economic growth.
Sheepmeat production was worth £1.6 billion in 2023 and is crucial to our food supply chains. Sheepmeat is a protein-rich food that is produced in often challenging environments that are not necessarily suitable for other livestock. Sheep farmers, I am glad to say, are experiencing record high prices: prices in June 2024 were up 24.4% year on year and 42.5% higher than the five-year average, with further benefits coming from stronger export markets, and with new markets such as the United States opening up.
Hon. Members made important points about past trade deals. I do not think we need to rehearse the arguments; certainly we on the Government Benches know what happened, and it is really important that we learn lessons for the future. Issues around our relationship with the European Union are very important as we go into renegotiations. Many of the points that have been raised would be dealt with by negotiating a better phytosanitary agreement, as this Government are very much committed to doing.
It is very important to make the supply chain work more fairly and to prevent shock rises in bills by tackling energy prices through GB Energy. We want to help protect farmers from flooding, through a new flood resilience taskforce. We will use the Government’s purchasing powers to back British produce. Overall, we will achieve a new deal for farming by listening closely to people on the frontline, in this case sheep farmers and everyone who has a stake in our food and farming system. The Government are looking at the data and will set out detailed plans in due course. I was delighted to attend the National Sheep Association’s 2024 event in Malvern, which gave me a chance to listen, learn and say a little about our plans for the future.
Several hon. Members touched on the farming budget and environmental land management schemes. I reiterate our full commitment to those schemes. I would not believe everything that one reads in the newspapers about budgets: there is a spending review process going on and announcements will be made in due course, but our commitment to the agricultural transition to a different form of farming is absolute. We will be trying to improve those schemes; as the shadow Minister acknowledged, there is room for improvement. We will make sure that they produce the right outcomes for all farmers, including sheep farmers, and the wider industry and that they ensure food security and nature recovery in a just and equitable way.
The schemes work across the country, supporting a wide range of grassland and moorland types, including action to support productive improved grasslands, extensive low-input grasslands and grazed priority habitats. They include a range of actions to support arable farmers, including the management of herbal leys and winter cover crops. They have been designed to support farmers who wish to reintroduce sheep and other livestock to their arable rotation, which is certainly a very salient issue in my part of the world, the east of England.
There are opportunities for sheep enterprises as part of sustainable farming systems to introduce livestock to some farms that have not had them for more than a generation. Anyone who goes around the east of England will see the evidence that there was a different farming system in the past. The expanded sustainable farming incentive also includes an improved offer, which has been much demanded—and, I hope, welcomed—by upland farmers, including sheep farmers. We hope that it will offer a wider range of actions and greater flexibility.
I have already touched on the trade and border issue. We are absolutely determined to make sure that our trade strategy promotes the highest food production standards. The UK is a net exporter of lamb and mutton; it exports approximately a third of domestic production. More than 90% of exports go to EU destinations. The Government recognise the continuing importance of the EU as one of the sector’s biggest export destinations and, as I have said, we recognise the importance of negotiating a new agreement to prevent unnecessary border checks while maintaining biosecurity.
We will also support our farmers by setting a clear target for half of all food purchased across the public sector to be locally produced or certified to higher environmental standards. In the supply chain, we absolutely recognise that fairness is important. We want farmers to get a fair price for their products and are committed to tackling contractual unfairness where it exists. We will continue to work closely with stakeholders from all sectors on how best to achieve that.
Jointly with the Welsh Government and in tandem with the Scottish Government and the Northern Ireland Government, DEFRA has consulted the industry on proposals for a new carcase classification and price reporting system; the shadow Minister raised a query about that. We understand the importance of the new system to the sheep industry in providing stronger price certainty by setting out a clear, consistent and robust scheme for carcase classification and price reporting. The consultation closed in March 2024. We are now looking at it and will make announcements in due course.
Welfare and disease issues are very important to this Government. We are alive to the challenges and threats posed by lameness and by diseases such as bluetongue serotype 3 and peste des petits ruminants. New controls suspending personal imports of certain sheep and goat commodities, such as unpackaged meat, were announced on 21 August to safeguard Britain’s sheep and goat populations from PPR.
The shadow Minister queried the work that we are doing on bluetongue. Clearly there were outbreaks in Norfolk some 10 days ago; we are deploying the tried and tested procedures for animal disease control, with which I am sure he is familiar, in response to the cases found in Norfolk and Suffolk. We decided to permit the use of the currently available vaccines for this virus serotype under certain circumstances. However, I am advised that they only reduce clinical signs; they will not produce immunity to the disease. Animal keepers will need to work closely with their vets to make a decision on usage.
The animal health and welfare pathway is live. It enables farmers with more than 21 sheep registered in England to apply for funding to improve animal health and welfare. That service provides diagnostic testing for priority diseases and conditions, alongside bespoke advice to improve health, welfare and biosecurity, supporting the responsible use of medicines, including antibiotics. DEFRA also continues to work closely with sheep sector bodies on plans to enhance the statutory sheep movement reporting service over the next 18 to 24 months; I think the shadow Minister raised a question about that issue.
Finally, DEFRA supports the sheep sector through conserving valuable genetic resources to help to increase sustainable food production and help breeders to adapt to climate change and new diseases. DEFRA research is also exploring how genetics can help farmers to increase productivity while mitigating greenhouse gas emissions.
I thank all hon. Members for their contributions. I expect that we will be having further discussions; I have to say that my experience of Westminster Hall debates on this sector is that there has always been a relatively small group of interested people. I am looking forward to building those relationships over the months and years ahead, and I am sure that we will all learn a lot from one another. My responsibility is to provide Members with answers to their questions. I will do my very best, and this afternoon is the first step in that process. Overall, the Government recognise the value of a thriving and productive sheep sector and look forward to working with Members and with the sector to achieve that.
Food Security
Daniel Zeichner Excerpts(6 months, 2 weeks ago)
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The Minister of State, Department for Environment, Food and Rural Affairs (Daniel Zeichner)
Thank you, Madam Deputy Speaker, and it is very good to see you in your place.
I thank the right hon. Member for South Holland and The Deepings (Sir John Hayes) not only for his very kind words and warm welcome, but for his customarily thoughtful speech, and not least his very comprehensive account of his wonderful county of Lincolnshire and the huge contribution that it makes to our food production. I also thank the other hon. Members who made very thoughtful contributions to the debate.
I cannot tell the House how delighted I am to stand at the Dispatch Box on the Government side of the Chamber for the first time as Minister for food security and rural affairs. The very title is a clear statement of this Government’s commitment to rural areas, and as has been said, this Government absolutely recognise that food security is national security. That is why we need a resilient, secure and healthy food system that works with nature, but also supports British farmers. This Government are offering a new deal for farmers to boost rural economic growth and strengthen Britain’s food security, and we will set out more details in due course.
Frankly, climate change is one of the most significant threats to our food security. We have seen it this year in the extreme weather events that farmers are having to deal with. It is absolutely the case that taking the difficult decisions now to address climate change will enhance, rather than threaten, our food security. We have to face up to the challenge of an energy transition to achieve that, and in doing so must plan how we will use land in this country to ensure a proper balance between food security, restoring and preserving nature, and clean energy.
I was interested to hear the observations from Opposition Members after their 14 years of opportunity to do the things that they are now keen to do, but we will pick up on many of their suggestions. Certainly one of the key ones will be to publish a land use framework; that was promised by the previous Government, but there were many delays, and we are now picking that up. It will work in tandem with our spatial energy plan.
I can assure the House that communities will quite rightly continue to have a say on proposals for their area. It is important for this Government that where communities host clean energy infrastructure, they should directly benefit from it. However, we will not get into a position where the clean energy that we need does not get built and the British people end up paying the price.
Credible external estimates suggest that ground-mounted solar used just 0.1% of our land in 2022. The biggest threat to nature, food security and our rural communities is not solar panels or onshore wind; it is the major climate crisis, which itself threatens our best farmland, food production and, indeed, the livelihoods of farmers. The Government will absolutely proceed on the basis not of hearsay and conjecture, but of evidence.
One of the Government’s five missions, which I am sure people have heard much about, is our commitment to making Britain a clean energy superpower. That is part of a wider ambition to deliver on existing net zero emissions targets. Farming has a big role to play in contributing to net zero; 70% or so of UK land is used for agriculture, and farmers are custodians of the natural environment. They absolutely work hard to manage their land responsibly while providing the food we all need.
I am glad that there is now consensus around the need for farmers to produce food. There was a curious period a few years ago when it seemed as though food production had somehow been forgotten. I can see the right hon. Member for South Holland and The Deepings nodding wisely because he knows to what I refer, and I am pleased that we have all moved on and can agree on the notion that food production is so important.
Sir John Hayes
The previous Government, albeit belatedly, changed planning guidance to give additional protection to grade 1, 2 and 3a land of the kind that I described. Furthermore, they said that when an energy developer expressed an interest in developing a site—of solar panels, for example—any assessment of the soil should be entirely independent. Those seem to be perfectly reasonable policies—reasonable enough for a reasonable man to accept.
Daniel Zeichner
The right hon. Member tempts me into a level of detail that I am afraid I am not prepared to go into this evening. We are examining all these issues and will come to a considered position. We want to get the balance right and that is what we will do, because the transition to more climate-friendly practices does not need to come at the expense of food production or farm profitability. In our view, net zero can absolutely support economic growth, including by accelerating the uptake of innovative technologies to increase productivity and efficiency in the agriculture sector. That, in turn, will support net zero food production, the efficient use of land and nature recovery.
Our intention is to work closely on that necessary transition with not just the farming industry, but all stakeholders involved. We will work with farmers to ensure that we avoid imposing unnecessary costs, and—this, I hope, will be welcome to many in the sector—we absolutely guarantee that we will protect farmers from being undercut in trade deals.
The right hon. Member, as I rather anticipated, mentioned solar in particular. As with all major infrastructure projects, there is a rigorous application process, and food production is rightly considered in it. I point hon. Members to the decision letters on these solar projects, which are available on the Planning Inspectorate website. That is the normal procedure in planning decisions. All the documentation will be found there, not just the final decision letters. I hope that makes it clear that all objections, relevant evidence and points raised throughout the planning inquiry are addressed and given weight in coming to a planning decision. I appreciate that the decision letter is a long, complex document, as indeed it should be, given the important issues raised. There is a limit to what I can say, as I am bound by the planning propriety guidance, which is clear that during the legal challenge period, planning Ministers and officials cannot comment on the decision, summarise it or interpret it.
Graham Stuart
Does the Minister see any merit in legislating for a food security target?
Daniel Zeichner
That is under consideration, and we will come back to that in due course. I note that, where appropriate, solar projects can be designed to enable continued livestock grazing. There is also a science of agrivoltaics developing, in which solar is integrated with arable farming in innovative ways. Solar energy can be an important way for farmers to increase their revenue from land less suited to higher-value crop production. There is also evidence that solar can improve biodiversity. We recognise that, sadly, confidence among farmers is at a record low, but this Government want to change that. We look forward to working closely with farmers to strengthen food security, progress the energy transition and boost rural economic growth.
I thank everyone who has contributed to an interesting and informed debate. As ever, most importantly, I thank the right hon. Member for South Holland and The Deepings, and not just for securing the debate today. I am sure the debate will continue, and I look forward to conducting it in the same constructive manner in which we have started it tonight.
Question put and agreed to.
Planning, the Green Belt and Rural Affairs
Daniel Zeichner Excerpts(6 months, 4 weeks ago)
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Steve Barclay
My right hon. Friend gets to the nub of the issue, because if a Government are promising change, they need to be able to say what the timelines are. They need to say what the budget is and what legislation they will pass to deliver that. On all those things, there is silence in this King’s Speech.
The Labour manifesto has lots of high-sounding things that are hard to disagree with. Labour wants more food security, and says that food security is national security, and we on the Opposition Benches agree. Labour says it wants to raise animal welfare, and we have done a huge amount to do so. That is fine. However, if the Government say they want to end the badger cull, when will they do that? There is nothing in the King’s Speech on that, so what are the timelines? Dairy farmers would like to know. Will the Secretary of State publish the analysis from the chief veterinary officer on what the impact of ending the cull would be on the trajectory? We know that the current approach has seen TB cases come down in England from 34,500 in 2018 to below 20,000. Certainly the advice that I had was that vaccinations would not be ready for some time. Will he publish the trajectory and tell us when the cull will end?
The Minister of State, Department for Environment, Food and Rural Affairs (Daniel Zeichner)
You need to respect the science.
Steve Barclay
Of course we respect the science. The hon. Gentleman chunters from a sedentary position, but I presume he will get the same science brief—in a way, he makes my point—that I got from the chief vet, which was that the vaccinations were not ready and the cull was being effective. In fact, we only need to look at Labour’s policy in Wales, where the opposite is happening, to see that. I hope that, as he represents Cambridge, he will follow the science, because the Government made a commitment that does not. Perhaps that is the sort of change they mean—a change from what they committed to in the manifesto. It did not take long.
Speaking of things at a high level that no one can disagree with, the Government talk about making more use of public sector procurement. Again, the Conservatives not only agree with that, but we have helped the Government with it. The former Member for Colchester did a fantastic review, the Quince review, looking at how that will be done, but the Government are silent on the funding for that. Will it be funded out of the budget of the Department for Health and Social Care, the Department for Education, the Ministry of Defence, local government—or will it come out of the Secretary of State’s budget? It is difficult for him to say, because he does not even know what his budget will be.
The reality is that we have empty slogans from a party that does not care about the rural economy. The Government are not giving clarity to farming and fishing; they barely mentioned farming in their manifesto, and they did not even mention fishing. This King’s Speech does nothing for the farming and fishing communities. The decisions that we have seen so far take vast amounts of farmland out of food production in order to prioritise the eco-zealotry that we have heard so often in this House. I hope the Secretary of State will give the clarity that is sadly lacking in the King’s Speech on what the Government will do—and when—on the budget, on food procurement, and on dairy farmers and the badger cull, and will end the uncertainty that the president of the NFU and so many others in the farming and fishing community currently face.
Under-10-Metre Fishing Fleet: South-West
Daniel Zeichner Excerpts(9 months ago)
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Daniel Zeichner (Cambridge) (Lab)
It is a pleasure to serve with you in the Chair, Ms Rees. I congratulate the hon. Member for St Austell and Newquay (Steve Double) on securing this debate, because the inshore small-scale fleets are vital not just to the fishermen and their families, who rely on them for household income, but, as we have heard, to the shore jobs that they sustain and the wider benefit that those iconic fleets deliver across their coastal communities. There is rightly a proud heritage of fishing at the heart of our coastal towns and villages, not just in the south-west but across the country. It is not unusual to meet fishermen who can trace their fishing families back many generations. I recently met one in Beer who can trace his family’s fishing roots back to the 1600s.
I should say at the outset that we are discussing under-10-metres, but I am mindful that that can seem an arbitrary definition that came into force long ago and perhaps does not properly recognise the differences between a 7-metre open-top boat that launches off a cobble beach and an under-10-metre twin-rig trawler or a 15-metre clinker-built wooden boat, with less power and catching efficiency than some under-10-metres. It is perhaps time to consider whether one size fits all.
These brave fishers who set sail in the smallest of our boats, risking their lives to bring us fish suppers, are in many cases having a really challenging time. The stress and anxiety around the coast are palpable, as we heard in many of today’s contributions. I, too, pay tribute to organisations such as the Seafarers’ Charity, the Fishermen’s Mission and the other charities that help to fund and support our small-scale fleets with mental health and financial support for households when families find themselves without a safety net and nowhere to turn. As we have heard, this debate is timely with the National Fishing Remembrance Day events held a few days ago.
It is indisputable that this sector has struggled in recent years, lurching from one crisis to the next, leaving these micro-businesses, often single-handed owner-operators, to try to piece together a living against a backdrop of, too often, knee-jerk fisheries management. Most recently, the pollock debacle has left so many of these vessels without fishing opportunities for part of the year and with a compensation scheme that, frankly, seems to many to have been rushed through without consultation, with many not receiving much-needed help. Although I understand that the 30% bar set for the scheme may sound reasonable, it does not take sufficient account of those small-scale fleets that earn modest incomes of £20,000 to £30,000 a year, and the hardship caused by losing 20% of their income, with no opportunities to replace it.
I hope the Minister will tell us who fed into that policy and why it was decided that these artisan fishermen would receive nothing. I and many others would be grateful if he could take another look at the scheme, to see what could be done to support those who so far have been forgotten. I will not say too much about the ministerial direction that was required to introduce this scheme, but it is, at best, unusual. I wonder whether the Minister could tell us, in his recollection, how often it has been needed.
I am also interested to hear the plan for managing the angling sector’s catch and retaining of pollock, as we have heard. Almost 12 months after the International Council for Exploration of the Seas published its advice on zero total allowable catch, why has there not been a consultation to consider whether legislation should be brought forward to track and limit recreational catches?
We know from the fascinating correspondence between the permanent secretary at DEFRA and the Secretary of State, to which I have already referred, that pollock has been in decline for many years. I ask the Minister: how many other stocks have been poorly managed and are at risk of big reductions and zero TACs? He may wish to say none but, if he does not, I suspect we can fear the worst. Pollock is just the latest problem demonstrating that the sector has been let down. The Brexit promise of protection to 12 miles was a pie-crust promise, easily made and broken, like so many others. We have had capping exercises that have had to be reversed, entitlement requirements that now seem challengeable, fisheries management plans being rolled out at eye-watering speed, with little understanding of why some stocks were chosen, and several failed starts of the inshore vessel monitoring system, with type approvals certifying items of kit—then suspending them, before subsequently being reinstated and removed—all after some fishers had followed Government guidance and rushed to install them. They have had to endure the CatchAPP, which they were told was fit for purpose when it was not. All of that comes against the backdrop of new codes issued by the Department for Transport, via the Maritime and Coastguard Agency.
Daniel Zeichner
I will not, I am afraid, given that I am very pressed for time.
It seems there was little consideration across Government as to the timing. On the issues raised about the Plymouth fish market, I welcome the comments made by my hon. Friend the Member for Plymouth, Sutton and Devonport (Luke Pollard). Is it any wonder that fishers feel persecuted and left behind? Good fisheries management and enforcement is vital to healthy seas, stocks and food security. Frankly, there can be no doubt that, while this Government have heaped new burdens of epic proportions on this sector in the past few years, they have not delivered their side of the bargain: coherent and considered fisheries management of opportunities, so that families can earn a living and businesses can plan their future.
Finally, I urge the Minister to consider the way in which fisheries management plans and other workstreams have been developed. If he really wants to see more engagement from the sector—if he genuinely wants those people’s views and input—he needs to direct those conducting meetings not to hold them in the middle of the day in the middle of the week, thereby forcing fishermen to choose between losing sea time and earnings, and to consider the cumulative impact of having separate organisations running multiple consultations simultaneously. These are in the Minister’s gift to fix, so I would be grateful if he could commit to that. The under-10 fleet is critical to coastal communities. They are struggling, and more needs to be done to secure their future.
Oral Answers to Questions
Daniel Zeichner Excerpts(9 months, 1 week ago)
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Daniel Zeichner (Cambridge) (Lab)
What are the Government doing to support farmers? Quite a few people are asking that. When one looks at the evidence of what is going on, the survey this week from the National Farmers Union into farmer confidence revealed that a staggering 65% of farmers are facing declining profits, or their business will not survive at all. Their prospects are worse than most Tory MPs, it suddenly seems. Why is it that farmers do so badly under the Conservatives?