Exiting the European Union (Agriculture)

David Drew Excerpts

Tuesday 1st October 2019 Commons Chamber

[Dr David Drew (Stroud) (Lab/Co-op)]

In rising to respond, at least I have the satisfaction of knowing that we have not debated this measure before. I have been trying to find the one that was the missing thread among all the ones we have debated. At least I have put my mind at rest, knowing that I have not missed this in the great mists of time.

I wish to pick up on a couple of things with the Minister. Paragraph 2.10 of the explanatory memorandum states:

“These technical amendments, designed to provide operability ‘fixes’”.

Is that a legalistic term? Is it a Department for Environment, Food and Rural Affairs term? Is it some other term? I know what it is trying to tell me but it is interesting that we talk about “fixes”. This is about trying to look at currency exchange, which is not unimportant, because one reason why British farmers have done less badly is that they have been paid in euros up to this moment in time. That has meant they have done slightly better, because the euro has risen in value against the pound. So there will be some “losers” here in the sense that they will not have that security and protection.

That was just an interesting comment, but now I come to a genuine question. It is about the way in which, certainly through the transitionary arrangements, export refunds will be paid. I accept that they will be paid in pounds, but does this refer both to the UK farmers receiving exports refunds and to EU farmers, who clearly at the moment will have seen this as a seamless operation? It is not now going to be, because it could be occurring in the context of a hard border. These are important aspects. The Government decided that this was not worthy of any priority whatsoever, but it is an important issue about currency conversion, because that can and does mean that the way in which payments are made can be beneficial. That will not be the case in the future because payments will always be in pounds. I would welcome the Minister’s clarification and willingness to look at the economic consequences of that, because in the short run at least British farmers could stand to lose out because of it.