EU Trade and Co-operation Agreement: Fishing Industry

George Eustice Excerpts

Thursday 14th January 2021 Commons Chamber

[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 consequences of the EU trade and co-operation agreement as it applies to the fishing industry.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

As hon. Members will know, before Christmas the UK and the EU concluded a new trade and co-operation agreement, which established tariff-free trade in all goods and, among other things, sets a new relationship with the EU on fisheries. Before turning to the specifics of that agreement, I should briefly set the wider context.

The withdrawal agreement that was agreed by this House in January last year established the United Kingdom as an independent coastal state. Over the course of the last year we have taken our independent seat at the regional fisheries management organisations, including the North East Atlantic Fisheries Commission and the North Atlantic Fisheries Organisation. In September, we reached a partnership agreement with Norway—our most important partner on fishing interests, and with whom we have responsibility for shared stocks in the North sea.

We have also developed new bilateral arrangements with our other north-east Atlantic neighbours, including the Faroes, Greenland and Iceland. We have recently commenced annual bilateral fisheries negotiations with the Faroes in relation to access to one another’s waters, and a UK-Norway-EU trilateral is about to begin to agree fishing opportunities on shared stocks in the North sea. There will also be a UK-EU bilateral negotiation on fishing opportunities for the current year in remaining areas. For the first time in almost 50 years, the UK has a seat at the table and represents its own interests in those important negotiations.

The trade and co-operation agreement establishes an initial multi-annual agreement on quota, sharing and access, covering five and a half years. It ends relative stability as the basis for sharing stocks. Under the agreement, we have given an undertaking to give the EU access to our waters on similar terms as now and, in return, it has agreed to relinquish approximately 25% of the quota that it previously caught in our waters under the EU’s relative stability arrangement. That means that we move from being able to catch somewhat over half the fish in our waters to two thirds of the fish in our waters at the end of the multi-annual agreement. The transfer of quota is front-loaded, with the EU giving up 15% in year 1. On North sea cod, we have an increase from 47% to 57%. On Celtic sea haddock, our share has moved from 10% to 20%. On North sea hake, we secured an uplift from 18% to 54%, and on West of Scotland anglerfish, we have an increase from 31% to 45%. After the five-and-a-half-year agreement, we are able to change access and sharing arrangements further. The EU, for its part, will also be able to apply tariffs on fish exports in proportion to any withdrawal of access.

Although we recognise that some sectors of the fishing industry had hoped for a larger uplift, and, indeed, the Government argued throughout for a settlement that would have been closer to zonal attachment, the agreement does, nevertheless, mark a significant step in the right direction. To support the UK industry through this initial five and a half years, the Prime Minister announced, just before Christmas, that we will invest £100 million in the UK fishing industry, and I will be bringing forward proposals for this investment in due course.

Finally, although it is not a consequence of the trade and co-operation agreement, the end of the transition period and the fact that we have left both the customs union and the single market does mean that there is some additional administration accompanying exports to the EU. I am aware that there have been some teething issues as businesses get used to these new processes. Authorities in the EU countries are also adjusting to new procedures. We are working closely with both industry and authorities in the EU to iron out these issues and to ensure that goods flow smoothly to market.

[Mr Carmichael [V]]

For years, this Government have promised our fishing industry a sea of opportunity, but, today, our boats are tied up in harbour, their propellers fouled with red tape manufactured in Whitehall. Boats that are able to go to sea are landing their catches in Denmark—an expensive round trip of at least 72 hours, which takes work away from processors and other shoreside businesses in this country. Our Fisheries Minister describes promises made by Ministers as “dreams” and apparently did not think it was worth reading the agreement as soon as it was made, even though every second counted. How on earth was it allowed to come to this? The EU trade agreement allows a grace period on customs checks for EU businesses. Why was there no grace period allowed for our exporters, and will the Government engage with the EU as a matter of urgency to make good that most fundamental of errors?

Yesterday, the Prime Minister told the Liaison Committee that compensation is being considered for our fishing industry. Who will be compensated, for what, and by how much? When will our scheme be published and what steps will be taken to help processors, catchers and traders in the meantime? On the loss of quota swaps and other mechanisms, as the Fisheries Minister said yesterday, this could be done Government to Government in-year. Can the Secretary of State explain today how the literally hundreds of producer organisation to producer organisation swaps done every year will be done on a Government-to-Government basis?

Finally, what will happen at the end of a five-and-a-half year transition period? A transition normally takes us from point A to point B. This transition takes us from point A to point A with a new negotiation. Is zonal attachment still the Government’s policy on quota shares?

This is a shambles of the Government’s own making; there is no one else to blame now. When will the Minister start listening to the industry? I make him this offer: I can convene a virtual roundtable of all the affected sectors today or tomorrow. Will he meet with me and them to sort this out? The time for complacency has passed.

[George Eustice]

May I begin where the right hon. Gentleman ended and say that we are looking and working very closely with industry on this matter? We are having twice-a-week meetings with all the key stakeholders and all the key sectors to help them understand these issues. Yesterday, we had a meeting with the Dutch officials; earlier this week, we had a meeting with the French; and, on Friday, we had a meeting with the Irish to try to iron out some of these teething problems. They are only teething problems. When people get used to using the paperwork, goods will flow normally. Of course, it would have been open to the EU to offer us a grace period, just as we have had a grace period for its goods coming to us. For reasons known only to the EU and the way that it approaches its particular regulations, that was not something that it was willing to do, so we have had to work with these arrangements from a standing start and, clearly, that causes certain issues.

The right hon. Gentleman asked what happens after five and a half years. As I said in my opening statement, after that period, we are free to change access arrangements and change sharing arrangements, and we will do so. He asked specifically about swaps. It is important to note that the Department for Environment, Food and Rural Affairs has all of the information on all of the swaps that have taken place in recent years, since each of those producer organisation to producer organisation swaps requires the Government to agree them. It is, therefore, quite possible for us to build those swaps into the annual exchanges. Annual exchanges of fishing opportunities are a normal feature of annual negotiations, and we have also retained the ability to do in-year swaps on behalf of those POs.

The right hon. Gentleman has raised the issue of what the fisheries Minister said yesterday. I think the record will show that she did not say she did not have time to read the agreement; what she actually said was that her jaw did not drop when she was told what was in the agreement. There may be a reason for that, which is that she knew what was likely to be in the agreement for at least a week, since I had been discussing it with her and we were both in regular contact with our negotiators.

Finally, I am aware that the Prime Minister mentioned yesterday that the Government remain open to considering compensation for sectors that might have been affected through no fault of their own. We will look closely at this issue, but in the meantime, we are going to work very closely with the industry to ensure that we can iron out these difficulties.

[Steve Double (St Austell and Newquay) (Con) [V]]

The Secretary of State will be aware that fishermen in Cornwall have been very disappointed with the agreement reached on quota with the EU, and the fact that its vessels can still fish in our six to 12-mile limit. There is real concern that our inshore fleet, which makes up the vast majority of vessels in my constituency, will benefit little from this new deal, so what assurances can he give the fishermen of Mevagissey and Newquay, as well as fishermen across Cornwall, that the Government will be working with our inshore fleet to make sure it can benefit as much as possible from this new deal, and that those fishermen will be in a good position to increase their share of the quota when we come to the end of the adjustment period?

[George Eustice]

We left the London fisheries convention and gave notice under that because it is our intention that the six to 12-mile zone should be reserved predominantly for our own fishermen, and at the end of the five and a half years, that is exactly what we will be seeking to achieve. There are some uplifts for fishermen in the Celtic sea, and in particular those in Cornwall—as I mentioned earlier, haddock has moved from 10% to 20%—and the Celtic sea is also an area that often had its fishing interests affected by the ability of Ireland to invoke Hague preference, which depleted our share of some stocks, notably cod. With the absence of Hague preference, there will be some other uplifts in those areas.

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

Fishing has every right to feel betrayed and let down by this Government. The industry was promised a better deal, but they have not got one. Fishers fear some of the extra quota is just paper fish—fish that might not even exist, or are hard for British boats to catch. The promise to immediately exclude European boats from our six to 12-mile limit was broken, and the catch app and export systems are cumbersome, bureaucratic, and home-grown Tory red tape that the industry can ill afford. Shellfish exporters feel particularly betrayed: they are unable to export until April, because the Government failed to negotiate a deal that included them.

Yesterday, the PM promised compensation for those affected by export chaos, but Downing Street seemed to U-turn on this less than six hours later. Fishers deserve better than this incompetent Government, so when will the distant water fleet be able to go to sea again? When will the new avalanche of paperwork be scaled back? When will the £100 million be available for coastal communities? When will British fishers get the extra quota they were promised? When will the requirement to land more British fish in British ports finally be introduced, and when will this Government actually start standing up for our fishers with action, not just soundbites?

[George Eustice]

I know that in previous debates on fishing the hon. Gentleman has spoken of the importance of tariff-free access to the EU market, and the trade and co-operation agreement gives our fishing export businesses that access, which is particularly important for the shellfish sector.

It is not the case that shellfish cannot be exported at all until April. There have been certain issues regarding bivalve molluscs and getting the correct paperwork, and some issues around depuration and the ability to export stocks that have not been purified prior to export, but they do not amount to a ban on the export of shellfish.

The hon. Gentleman mentioned the distant water fleets. It is a convention that in the absence of agreements on quotas—this is pertinent to the agreement we have with Norway—access is suspended, but we will seek access to Arctic cod in the usual way for those parts of our fleet that benefit from that stock.

The hon. Gentleman asked when fishermen will see the uplift in quota. As I made clear, the EU is giving up 15% of its catch in our waters in year one, so fishermen will see some important advantages in this very first year.

[Robbie Moore (Keighley) (Con) [V]]

We are seeing teething issues arise for our fishing exporters, with health checks and customs documents causing some backlogs in exports to the EU. Will my right hon. Friend outline the steps his Department is taking to ensure that exporters know what is required of them, so that those challenges can be eased?

--- Later in debate ---

[George Eustice]

We have been working closely with authorities, particularly in France and the Netherlands, to understand the sorts of issues that they are finding. At one end of the spectrum, many of the issues are quite trivial, such as where the stamp is; we have even had questions about the colour of the ink used on the forms, pagination and the way pages are numbered. Those are all trivial problems that can be sorted out—indeed, some leeway is being given for such issues in France, given that there is sometimes a difference in interpretation. There are other, more significant issues, notably around import agents failing to pre-declare properly or at all. We are working closely with the industry on those, with regular meetings, to ensure that they are addressed.

[Deidre Brock (Edinburgh North and Leith) (SNP) [V]]

“Stay in the UK,” they said in 2014; “Leave the EU,” they said in 2016; “A sea of opportunity,” they said in 2020—bad advice, backed by lies and disinformation, all down the line, and Scotland’s fishing industry is among those feeling the betrayal. Now, Scots businesses cannot get their product to their European markets, EU fishing fleets can still access our waters, and we are still subject to the CFP but now do not have a say in how it runs. Scots businesses have lost many thousands of pounds and communities are facing job losses. DFDS cannot take groupage loads until Monday at the earliest, because the Government made a mess of the paperwork system. Businesses may close and people may lose jobs because this Government messed up. Jimmy Buchan of the Scottish Seafood Association—once a Tory election candidate—said that Ministers are not doing enough. The sales director of John Ross told UK Ministers that the Brexit deal was worthless unless they took action. It is not just “teething issues”, Minister. It is chaos, and it is costing businesses shedloads of money. Who exactly do they apply to for compensation? Shall I give them the Minister’s mobile phone number?

[George Eustice]

As I said earlier, there have been some teething problems, particularly in Scotland, I know. DFDS established a hub system at Larkhall so it could group consignments together. It has had some difficulty getting the right information from some of the fishing businesses in Scotland. Food Standards Scotland is working hard to address the issue.

The hon. Lady says that the Government made a mess of the paperwork. She will be aware that the paperwork is the responsibility of the Scottish Government. I have spoken regularly to Fergus Ewing about this, and he maintains—I believe he is right—that there is no lack of export health certification capacity; the vets and the fish certifying officers are just trying to get used to complicated new paperwork. I will talk to DFDS later today to see whether there is anything we can do to help, but I pay tribute to the work that it and Food Standards Scotland are doing to work through some of the technical differences. The short answer to the current challenge is to work through each of the problems as they present themselves, so that they are not repeated and goods can flow smoothly.

[Lia Nici (Great Grimsby) (Con) [V]]

The fishing community in Grimsby welcomes the deal agreed by the Prime Minister, particularly the springboard it gives us to take back more quota as the years go on, and our tariff-free arrangements. Can my right hon. Friend confirm when the details of the £100 million fund and the international quota swaps will be made available to us?

[George Eustice]

My hon. Friend’s constituency is home to the UK’s fish processing industry, and tariff-free access will be important for some of those sectors. She asked two specific questions. The first was on the new £100 million fund that the Prime Minister announced. We are working on the details of that and will in the next month or two consult on how the fund should be allocated and used. Secondly, she asked about the issue of swaps. Those negotiations with the European Union and the trilateral with Norway and the European Union are about to commence. We envisage that, probably in the next couple of weeks, there would be a final conclusion on how we manage the North sea, and that would include swapping arrangements.

[Dr Philippa Whitford (Central Ayrshire) (SNP) [V]]

Eight-five per cent. of the seafood caught by my local fishing fleet goes to customers in the EU. Along with boats right across the UK, they are currently tied up, as logistics firms will not accept any more produce due to the current customs chaos. Can the Secretary of State explain how he plans to resolve what he dismisses as “teething problems” and clarify what the Prime Minister meant when he talked about financial compensation for their losses?

[George Eustice]

We are working closely with the industry and DFDS to identify what we can do to address some of the problems that have been encountered. I am aware that late last week, DFDS suspended the groupage service that it was offering to smaller consignments and has focused on single larger consignments, particularly of Scottish salmon. I understand that it believes it has sorted out some of those problems and intends next week to resume some of those groupage consignments. There is a challenge here: in a group of several consignments, maybe three people would have got the paperwork right, but if one person has not, that can cause issues for everybody. We need people to pay attention to the detail and to get that paperwork right. We are working closely with the industry so that it can acclimatise itself to this administrative process.

[Mrs Sheryll Murray (South East Cornwall) (Con) [V]]

My constituent Andrew Trust, the owner of Ocean Harvest, is finding that the high cost of border control charges, export health certificates, the need for a fiscal representative in France and the uncertainty that his fish will reach the buyer in the EU poses a real threat to his business. What compensating measures will the Government put in place?

[George Eustice]

The key thing is to get this process working more smoothly, and that requires traders to familiarise themselves with it. I have also spoken to fish operators in my constituency, which is in that part of the world. Those who have experience of exporting more widely around the world, including to the far east, are quite familiar with these processes and are coping with them, but for those businesses for which this is new, it will take time to get used to the paperwork.

[Cat Smith (Lancaster and Fleetwood) (Lab) [V]]

Fishing communities across the country feel that their genuine concerns have been used for political purposes and they have ended up being sold down the river. Why does the Secretary of State think that fishers in Fleetwood and across the country feel angry and let down by the way they have been betrayed by his Government’s choices, and how much of the £100 million promised to the industry will be spent on improving port facilities in Fleetwood?

[George Eustice]

Port facilities will, indeed, be one of the areas that the new £100 million fund will address around the country; we want to build capacity there as our share of the catch grows. The Government have maintained all along that we were aiming for something closer to zonal attachment. As I made clear earlier, we took an important step towards that objective, with the EU giving up 25% of its catch in our waters as part of the wider agreement. Yes, we would have liked to have gone further, and after the first five and a half years, we will.

[Joy Morrissey (Beaconsfield) (Con) [V]]

Pulse trawling, which uses electrical signals to drive flatfish such as sole from the seabed into nets, is highly controversial and damaging to our marine environment. Many in Marlow and Beaconsfield have written to me about how we can protect our marine environment moving forward. Therefore, can my right hon. Friend confirm that, with the end of the transition period at the beginning of this month, we have seen the last of this practice in UK waters?

[George Eustice]

I can. We have the freedom to regulate through technical measures in our own waters, and we have banned pulse trawling.

[Martyn Day (Linlithgow and East Falkirk) (SNP) [V]]

With fish exporters paying over £500 or £600 a day in extra paperwork since the Tory Brexit deal came into force, in what world does the Secretary of State believe that this represents frictionless, barrier-free trade, as the Prime Minister claimed the deal delivers?

[George Eustice]

There are no tariff barriers. We secured an agreement through the trade and co-operation agreement that means tariff-free trade in all goods, including fish.

[Theresa Villiers (Chipping Barnet) (Con) [V]]

While some of the benefits of leaving the CFP are going to be postponed for five and a half years, can the Secretary of State set out what action he is taking right now, with the powers that we do have, to benefit both the marine environment and the under-10 metre fishing fleet?

[George Eustice]

My right hon. Friend raises an important point, which is that while we have reached a quota sharing and access agreement for five and a half years, we do have the freedom to set our own regulations. We have already banned pulse trawling, and we are consulting on and will soon be bringing forward measures to further protect the Dogger Bank. We will continue to look for opportunities to use technical measures to enhance conservation in our waters.

[Stephen Farry (North Down) (Alliance) [V]]

I am grateful to the Secretary of State for his work to date on the particular fishing issues relating to Northern Ireland, but would he recognise that there are some outstanding matters, including a permanent commitment that Northern Ireland boats can land products in local ports without sanitary and phytosanitary or other checks, addressing the exclusion of Northern Ireland boats from all but two ports in the Republic of Ireland and ensuring that new quota allocations reflect the existing fixed quota allocation units?

[George Eustice]

Yes, there are some issues in Northern Ireland that we are working through. For the purposes of regulation, we have taken the position that Northern Ireland vessels should not require an SPS check or a catch certificate to land in their home port. Such an idea would clearly be ridiculous, so we are not requiring that, and we have agreed that with the Department of Agriculture, Environment and Rural Affairs. There are some remaining issues about the Northern Ireland protocol and some of the easements we have had on trade and what will replace them, and we are working closely with the Commission and with colleagues in DAERA to agree on that.

[Mr Philip Hollobone (Kettering) (Con)]

Catching fish is one thing; landing and processing fish is quite another. If we are to be even more ambitious in five and a half years’ time and catch even more fish, what are the Government going to do in the next five and a half years to develop our fish processing industry?

[George Eustice]

My hon. Friend makes a very important point, and that is why the Prime Minister has announced this new £100 million fund, which will support the infrastructure at ports to cope with a growing share of the catch. We will also look at supporting processing as well, so that we can add value to the fish we catch.

[Mr Tanmanjeet Singh Dhesi (Slough) (Lab) [V]]

The National Federation of Fishermen’s Organisations described the Prime Minister’s EU trade deal as “minuscule, marginal, paltry, pathetic” and some British fishers are now landing their catch straight on to the continent to avoid the Government’s red tape and the impending lorry queues chaos at the border, so does the Secretary of State agree that this is driving jobs away from the UK and hitting hard our coastal communities?

[George Eustice]

I do not agree with that. As I said earlier, we do recognise that fishermen would have liked a larger uplift, and we absolutely recognise that throughout the negotiation we were arguing for a move to a share that was closer to zonal attachment, but this does represent a significant step in the right direction, with a 25% loss of what the EU currently catches in our waters, and that will bring additional fishing opportunities to our own sector.

[Anthony Mangnall (Totnes) (Con)]

The fishermen of Salcombe, Dartmouth and Brixham are now faced with catch certificates, health certificates, and export documentation, all of which is extensive red tape and comes with a cost. What is the Department doing to reform that system, and to improve it and reduce bureaucracy? We are hearing reports from the EU that customs officials are deliberately delaying British exports on the European mainland. What steps have been taken to hold them to account, and to ensure a streamlined process and to ensure that the EU upholds its side of the deal?

[George Eustice]

The bureaucracy that we are having to fill in is obviously designed by the European Union, and in some cases, on many export health certificates, the form is a generic World Trade Organisation form that has not had a great deal of thought given to it. We think the paperwork could be improved, but we would need the EU to agree to engage with that. For now we have to work with the paperwork that it designates. It is EU bureaucracy, but we are working closely with European countries to get a better understanding of what is required.

[Carla Lockhart (Upper Bann) (DUP) [V]]

DEFRA’s consultation letter of October 2020 on future quota arrangements contained much emphasis on zonal attachment and how it might be applied at UK level. With a small maritime zone, that would severely disadvantage Northern Ireland as only 20% of our quota holdings are in the Irish sea, and the Irish sea is shared by the UK’s four Administrations, plus the Isle of Man. Discrimination faced by Northern Ireland’s fishermen at the hands of the EU and its Hague preference must not be replaced by a form of discrimination within the United Kingdom. We believe that any departure from the established principle of fixed quota allocation units will disadvantage Northern Ireland’s fishermen. Will the Secretary of State confirm that he will not allow that to happen, and that Northern Ireland’s fishing fleet will receive its share of the additional quota on the basis of its existing fixed quota allocation share?

[George Eustice]

We have made clear that the existing entitlements that people would have had under relative stability will continue to be issued under the legacy FQA units approach, but when we get additional fishing opportunities, we want to be able to allocate those in a different way. We are working closely with all UK Administrations on a fairer sharing arrangement, and we recognise the particular issues in the Irish sea. We are conscious of that, and we are working closely with the Northern Ireland Executive on getting a fair arrangement.

[Douglas Ross (Moray) (Con) [V]]

I have been contacted by many fishermen from Moray and across Scotland who are raising their serious concerns and frustrations about the current situation, both here with the Scottish Government element at Larkhall, and because of the losses they are currently experiencing. One local skipper, Liam Gray from Buckie, agreed that I could share his returns from this week. He is averaging £30 a box for the fish he is landing, and £47 a box for the prawns. That is half of what he needs to cover his costs. Will the Secretary of State outline the discussions that he is having with the Scottish Government about the problems at Larkhall, and about the compensation scheme that is clearly needed by fishermen right across the country?

[George Eustice]

I am grateful to my hon. Friend for raising those issues. As I have said, I am having a discussion with DFDS later today, to see whether we can offer help. It is working through a difficult situation, and working hard to address these problems, as is Food Standards Scotland. I have had numerous conversations on those matters with Fergus Ewing, and the Government have offered support should the Scottish Government want that to address these problems. January is always the slowest month in the fish trade, and the coronavirus pandemic has caused a lot of problems in the export market generally. The export market is quite weak, which is why the price of some fish has been lower.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP) [V]]

We already know that if the period of disruption that we are witnessing is extended, European consumers will seek alternative suppliers and will be unlikely to return to Scottish suppliers. When asked how long it will take to sort the problems, the Secretary of State’s ministerial colleague, the hon. Member for Banff and Buchan (David Duguid), said on the radio this morning, “How long is a piece of string?” Does the Secretary of State think that that is an acceptable answer for an industry that is facing what it describes as a “catastrophe”?

[George Eustice]

We are working very hard to make sure that that piece of string is as short as possible by having regular daily meetings with industry to try to iron out these problems.

[Virginia Crosbie (Ynys Môn) (Con) [V]]

Prior to our departure from the EU, 90% of Welsh shellfish exports were sent to the EU. Since the new customs system has been in place, The Lobster Pot, a family business on Ynys Môn, has had its imports arrive dead so that they cannot be used, and another, Menai Oysters, has decided to stop exporting until this problem is resolved. Can the Secretary of State please confirm to my Ynys Môn businesses what he is doing to speed up customs procedures and when they can expect to be able to securely export live shellfish?

[George Eustice]

I can assure my hon. Friend that we are working daily with industry to identify specific granular problems that are presenting themselves and then working with authorities in France to ensure that there is a common understanding of what is required so that we can speed up the passage of these goods.

[Jamie Stone (Caithness, Sutherland and Easter Ross) (LD) [V]]

The fishing industry is absolutely crucial to my constituency, and right now, as we have heard, it is in dead trouble. Everyone in the Palace of Westminster knows my stance on Brexit, but I am of a practical frame of mind, and I would like to offer my help to work with Ministers and with the industry to try to get this problem sorted, because that is what we must do. My right hon. Friend the Member for Orkney and Shetland (Mr Carmichael) has made the offer of a roundtable discussion between the Government and industry. May I support that plea? Finally, financial compensation is going to be utterly crucial if the industry is to survive in remote parts of the UK like my constituency.

[George Eustice]

We are having roundtable discussions with the industry formally twice a week and are in conversation with it daily. We have helplines set up at the Animal and Plant Health Agency in Carlisle to tackle any of the technical issues that vets might have. We also have meetings with colleagues in this House to take on board any of the individual issues that they are receiving. I make this offer to any Member of this House who has a constituent bringing up a specific issue: do feed that back to us so that we can address the problems.

[Liz Saville Roberts (Dwyfor Meirionnydd) (PC) [V]]

One catch brought to shore by Porthdinllaen fishing boats is scallops. Fair play to AM Seafoods of Fleetwood, which is still supporting Welsh fishermen by continuing to buy up scallops, but at present they have to be frozen as there is simply no way to get them to continental markets fresh. I am told that paperwork on both sides of the English channel now means an extra cost per consignment of 5%. This looks like a tariff and it hurts like a tariff to an industry that was promised a tariff-free Brexit. Could the Minister tell me how he is working with the Welsh Government to ensure the survival of Welsh inshore fishing, and will he admit that for our fishing communities this bare-bones deal is a no-deal Brexit by the back door?

[George Eustice]

It is certainly not a no-deal Brexit. There is a free trade and co-operation agreement that means that we have tariff-free trade in goods, including in shellfish. One of the key asks of the shellfish sector was that we sought to get a free trade agreement without tariffs. I regularly meet Lesley Griffiths, who attends the sub-committee we have that looks at some of the teething issues at the border, and we are in regular contact with her about the particular challenges in Wales.

[Bob Blackman (Harrow East) (Con) [V]]

Clearly the fishing fleet in the United Kingdom has been suppressed for the past 48 years, and as we come out and set our own policies, it will take time to develop the fishing fleets and, indeed, the fish processing centres. Will my right hon. Friend set out what the Government plan to do to ensure that our fishing fleet and fish processing centres are built up so that we can take full advantage of the fish in our waters?

[George Eustice]

There will be new opportunities with the uplift in quota that we are getting, but also the new requirements that we are bringing in to require vessels to land a greater proportion of their catch into the UK. The new £100 million fund announced by the Prime Minister will indeed go towards supporting that increased capacity at ports and in processing.

[Bill Esterson (Sefton Central) (Lab) [V]]

The shortage of vets to inspect fish, the lack of customs agents to process border forms and there not being enough time for businesses to adapt to new rules of origin are, I would suggest, a lot more than “teething problems”. The Secretary of State might want to rethink his analysis there, but what the fishing communities up and down our country want to know is when he will fix the problems caused by the Government’s failure to prepare for the new border arrangements.

[George Eustice]

We are working with the industry daily to identify the specific challenges that they are encountering, such as individual examples of why the French may have raised a query on an export health certificate. We are trying to deal with that and iron out that problem.

[Scott Benton (Blackpool South) (Con)]

UK fishermen are understandably frustrated by the current situation at the borders. Can my right hon. Friend therefore update the House on what discussions he has had with our European neighbours, since the end of the transition period, to tackle the issue?

--- Later in debate ---

[George Eustice]

My hon. Friend raises an important point, because many of the problems we have are often down to different interpretations of the official control regime in different countries, with Ireland, the Netherlands and France in some cases having different views on what is required. We are working very closely with them. We met Irish counterparts on Friday. We met French officials on Tuesday and have further meetings planned with them, and we met Dutch officials yesterday.

[Richard Thomson (Gordon) (SNP) [V]]

In the lead-up to the trade and co-operation agreement, John Ross Jr in Aberdeen said that it

“had to endure the government issuing a barrage of useless information”.

D. R. Collin in Eyemouth has said that Brexit has more or less finished the business. Prices at the quayside at Peterhead fish market are now 80% below normal. All of that can be taken together with what was described on the front page of the Fishing News as the Prime Minister’s “Brexit betrayal”. Is it not the case that rather than the promised sea of opportunity, through their incompetence the UK Government are now in danger of delivering instead a sea of insolvency for the Scottish seafood industry?

[George Eustice]

The responsibility for issuing the export health certificates that are causing these challenges rests with the Scottish Government, but I would like to pay tribute to Food Standards Scotland, which is working very hard to resolve some of the issues being encountered.

[John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)]

The Minister will be aware of the plight of D. R. Collin, the seafood suppliers in Eyemouth in my constituency. I know that his officials and those at the Scotland Office are working exceptionally hard to find a solution to the problems that it is facing as it tries to export to the EU. I back-up the calls for compensation for those facing losses as a consequence of this, but can he reassure me that those in his Department are doing everything they possibly can to find solutions to the problems that D. R. Collin and others are facing in trying to export and continue to sell their fish to Europe?

[George Eustice]

I can absolutely give my hon. Friend that assurance. I will be talking to DFDS later today. I pay tribute to what it is trying to do to resolve these problems. Some of the paperwork is complex. Its plan for a consolidation hub at Larkhall is a good one. When we iron out these problems, the system will work.

[Ian Paisley (North Antrim) (DUP)]

First, I take the opportunity to ask the Secretary of State to thank the Fisheries Minister for taking a call from us on Christmas eve and again having her office contact us early on Christmas day and Boxing day to clarify the situation. I reject the character assassination that she has been subject to in the past 24 hours, and I think that should be put on record.

I welcome the demise of the Hague preference. That scheme discriminated badly against fishermen in Northern Ireland, but I appeal to the Minister to please not replace that discriminatory process of theft of our fish with a UK replacement that discriminates how quota is shared out within the four nations of the United Kingdom. Northern Ireland fishermen will not tolerate using share-out to placate English fishermen who feel they have been let down. I am appealing to the Secretary of State to ensure that we get a fair share-out of that quota.

From Howth to Greencastle, Northern Ireland fishermen now face a deliberate hard border put in place by the Republic of Ireland. We are told that we cannot land in those traditional ports, yet boats from Skibbereen, in the very deep south of the Republic of Ireland, can catch mackerel in British waters and land them in Lisahally in Londonderry. When will the message go from the Government to the EU that we want a fair share-out in the process? If that cannot happen, I appeal to the Government to invoke article 16.

[George Eustice]

I am very grateful to the hon. Gentleman for his kind words about the Fisheries Minister.  He is absolutely right: she was across the detail of this agreement and was briefing colleagues in the House over the Christmas period.

The hon. Gentleman raises sharing arrangements within the UK. We are consulting closely with each and every part of the UK about how additional opportunities could be shared differently. He is also right that the Hague preference was against the interests of the Northern Ireland fishing fleet. That was a concept that the UK created in the late 1970s to try to get a fairer share, but, as is often the case with the EU, it is a system that ended up being used against our interests.

[Mr Speaker]

Let us head up to Birmingham with Mike Wood.

[Mike Wood (Dudley South) (Con) [V]]

Dudley South, Mr Speaker.

Media reports at the weekend suggested that the EU trade deal prevents the UK from protecting our marine conservation. Can the Secretary of State confirm whether we have the legal powers to regulate the vessels and the forms of fishing that are conducted in British waters if we feel it is necessary to protect our marine wildlife and particularly our marine conservation areas?

[George Eustice]

Yes, I can absolutely make that point. The technical conservation measures are for us, and us alone, to make. There will be times when we may seek bilateral agreement with the European Union on that, but there will be nothing to stop us putting conditions on vessels, provided they are not discriminatory and do not aim to discriminate against the European Union.

[Christine Jardine (Edinburgh West) (LD) [V]]

While I welcome the Minister’s statement that he will be meeting stakeholders, I assure him that those stakeholders understand the issues; it appears to be the Government who have failed to grasp them, particularly with adjusted quota shares, especially in whitefish, which no amount of understanding or explaining forms will fix. When will there be an effective mechanism for allowing co-operation between UK and EU fishermen on adjusting fishing opportunities to fix the mess that this Government have created?

[George Eustice]

A common feature of annual fisheries negotiations, which will continue, is what are called the annual exchanges, where a swapping arrangement takes place Government to Government. We are very aware of the swaps that took place from producer organisation to producer organisation in the past. We have all that data. We are working with the industry to ensure that we get it access to the quotas that it actually fishes.

[Martin Vickers (Cleethorpes) (Con) [V]]

Other Members, including my hon. Friend the Member for Great Grimsby (Lia Nici), have raised the issue of the £100 million fund. When we are talking about infrastructure projects, £100 million is very limited. Can my right hon. Friend give an assurance that he will press the Treasury hard for further funding, and that there can be some cross-working with the other funds that are available for coastal communities and regional funding?

[George Eustice]

Obviously we all know that, on every front, people would always like more money, but we also recognise that the Treasury has to balance the finances as best it can in these difficult situations. It is £100 million of new money, and it is in addition to the money that we have already made available to every part of the UK to replace the legacy European maritime and fisheries fund.

[Joanna Cherry (Edinburgh South West) (SNP) [V]]

Thanks to the United Kingdom Government’s incompetence, the fishing industry is in chaos, not just in Scotland but across the United Kingdom, and many face bankruptcy. In a disastrous interview with Radio Scotland this morning, the Secretary of State’s junior colleague, the Under-Secretary of State for Scotland, the hon. Member for Banff and Buchan (David Duguid), told us that everyone knew there would be challenges with Brexit, so when will the Secretary of State be renaming the “sea of opportunity” the “sea of challenges”?

[George Eustice]

The Under-Secretary of State for Scotland, my hon. Friend the Member for Banff and Buchan (David Duguid) is absolutely right on this issue. We have been clear for the whole year, as we prepared for the end of the transition period, that new paperwork would be needed. It is inevitable that when we introduce the requirement for export health certificates, for instance—these are new processes for customs officials and so on in France to get used to—there will be some teething problems. That is what we are seeing and we need to work hard to iron them out.

[Scott Mann (North Cornwall) (Con) [V]]

As my right hon. Friend and fellow Cornish MP will know, crab and lobster exports are a big part of our fishing sector in North Cornwall. There have been reports in the press of delays specifically around export health certificates. Will the Secretary of State outline how widespread this issue is in the south-west and what we can do to expedite the customs processes to ensure that shipments are delivered faster?

[George Eustice]

The principal issue is that DFDS, which, as well as leading on logistics in Scotland has a significant presence in the west country, encountered some difficulties with the accuracy of the paperwork, in particular the export health certificates, and some particular issues with import agents failing to declare the correct information on the EU’s TRACES system. For that reason, it temporarily suspended mixed consignments—the groupage—until it had been able to iron out those problems. I understand that it may be considering starting that service again next week.

[Margaret Ferrier (Rutherglen and Hamilton West) (Ind) [V]]

Recently, Jimmy Buchan, the chief executive of the Scottish Seafood Association, mooted the idea of an independent clearing house for Europe in Scotland, which would allow Scottish fish producers to receive written clearance for export before their goods had to leave Scotland. What consultations has the UK Government had with the Scottish Seafood Association on the viability of that idea?

[George Eustice]

We are working very closely with the industry on all these matters. In the short term, we have to sort out issues arising with import agents and declarations on TRACES and so forth. However, if in the medium term we can come to further arrangements with the European Union, we can look at that. With the hub at Larkhall, DFDS is trying to consolidate loads and do export health certificates in one place.

[Jacob Young (Redcar) (Con)]

We have taken back control of our fishing waters. Now, I and many in Redcar and Cleveland want to stop supertrawlers damaging our wildlife, harming and sadly killing porpoises and fish off the Teesside coast. Will the Secretary of State outline the steps being taken to protect our seas from the practices of supertrawlers?

[George Eustice]

This is an issue that is often raised and refers, I think, specifically to a Lithuanian vessel that started to access our waters last year, targeting mainly horse mackerel. There are things we can do and are doing through technical measures. We have already banned pulse trawlers, which were predominantly a Dutch part of the fleet. We are also looking at new spatial measures to protect Dogger Bank.

[Stephen Flynn (Aberdeen South) (SNP) [V]]

Mr Speaker:

“as a seafood exporter, it feels as though our own government has thrown us into the cold Atlantic waters without a lifejacket”.

Those are not my words, but those of John Ross Jr., an historic smoked salmon producer based in my Aberdeen South constituency. Will the Secretary of State stop patronising businesses by referring to this Brexit chaos as “teething issues”? Will he apologise to John Ross Jr. and can he confirm when he will deliver full financial compensation for all the damage his Government are currently causing?

[George Eustice]

The salmon industry in Scotland benefits from tariff-free access to the EU market. While there have been, as I said, some problems, particularly around groupage and mixed consignments, the salmon trade has continued. We estimate that there are about 20 to 30 lorries a day crossing the short straits predominantly carrying Scottish salmon.

[Selaine Saxby (North Devon) (Con) [V]]

I thank my right hon. Friend for all the work he is doing to resolve the issues around paperwork for our fishermen. My Ilfracombe fishermen have now brought the fleet in as they cannot transport their fish. Given that these issues are causing losses on both sides of the channel, is there an option for free customs clearance on perishable goods?

[George Eustice]

The solution is for us to work closely with authorities in France to get an agreement on what is required. To be fair to the French authorities, while they have, as I said, encountered some quite trivial paperwork errors, they have generally shown some forbearance and allowed those goods to travel through. There were problems with IT systems in Calais and Boulogne early in the new year that exacerbated the situation. Those have been fixed now. We continue to work with the French authorities to try to make sure that the process can be made as smooth as possible, so that goods continue to travel on time.

[Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

Right now, a few miles from here, there are 10 EU trawlers: eight Irish, one French and a Dutch factory trawler. All but the Dutchmen are steaming south towards the beautiful village of Killybegs—Na Cealla Beaga in Irish—in Country Donegal. In five years’ time, EU nations such as Ireland will lose about 25% of their access to mainly Scottish waters; perhaps two or more of those boats will not be there, but perhaps they will. Regardless, the EU promised Ireland €1.051 billion-worth of help. Will the Minister tell me why politicians such as Neale Richmond say Ireland feels “constant solidarity” from the European Union, while Scotland, which has already been hit by the losses from its biggest market—probably more than 25% right now—is getting little or no solidarity at all from the United Kingdom, certainly not €1.051 billion-worth, which has left fishermen threatening to dump their catch on the gates of Westminster next week?

[George Eustice]

Although we did not get the larger uplift that we wanted, and we did not get as close to zonal attachment as we wanted, we got a significant step in the right direction, with an increase of around 25% in our fishing opportunities, including in the pelagic sector, particularly around the west of Scotland, and in some of the mackerel quota, where there has been some additional uplift. We are aware that there are consequences for the EU fleets. They have had to give up some of that quota, and obviously their own Governments and the EU are considering compensation for their losses.

[Mr Speaker]

I am suspending the House briefly to enable the necessary arrangements to be made for the next item of business.

Agricultural Transition Plan

George Eustice Excerpts

Monday 30th November 2020 Commons Chamber

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

With permission, Mr Speaker, I would like to make a statement on the Government’s agricultural transition plan, published today.

The Agriculture Bill received Royal Assent on 11 November. The Agriculture Act 2020 sets out powers to reward farmers and land managers who protect our environment, improve animal welfare and produce high-quality food in a more sustainable way. These powers will also help farmers to stay competitive, with measures to increase productivity and invest in new technology. We will also improve transparency in the supply chain to help food producers strengthen their position in the market and seek a fairer return for the food they produce.

Today, we are publishing further details of our approach to exercising the powers under the Agriculture Act over the next seven years. We will remove arbitrary area-based subsidies on land ownership or tenure and replace them with new payments and new incentives to reward farmers for farming more sustainably, creating space for nature on their land, enhancing animal welfare and delivering the other objectives set out in the Agriculture Act.

The central plank of our future policy will be made up of the three components of environmental land management. The sustainable farming incentive will pay farmers for actions that they take to manage their land in an environmentally sustainable way. This could include schemes encouraging catchment-sensitive farming, integrated pest management and sensitive hedgerow management. Local nature recovery will pay farmers for actions that support local nature recovery, creating space for nature and habitats on farm and encouraging co-operation between farmers. Finally, the landscape recovery component will support the delivery of landscape-scale projects to deliver ecosystem recovery through longer-term land use change. This will help us meet our targets to plant 30,000 hectares of woodland a year by 2025, create and restore peatland, protect 30% of UK land by 2030 and reach net zero by 2050.

We know that this policy marks a significant change. I am also very conscious of the fact that many farm enterprises are dependent on the area-based subsidy payments to generate a profit, and that without them, some might judge they would not be profitable, so we have created a seven-year transition period. We want this to be an evolution, not an overnight revolution. That means making year-on-year reductions to the legacy direct payments scheme and simultaneously making year-on-year increases to the money available to support the replacement schemes.

Between 2021 and 2024, we will help farmers prepare to take part in our environmental land management offer. This will include expanding the existing countryside stewardship scheme and opening the new sustainable farming incentive to every farmer from 2022 onwards.

We recognise that there is a problem with poor profitability in agriculture. The premise behind our new policy is to tackle the causes of that poor profitability rather than simply masking it with a subsidy payment. Our new financial incentives for sustainable farming and nature recovery will be set at a rate to incentivise widespread participation and give consideration to natural capital principles. So in some areas they will go beyond the “income forgone” methodology of the past.  

We will also make a significant number of grants available to support farmers in reducing their costs and improving their profitability, to help those who want to retire or leave the industry to do so with dignity, and to create opportunities and support for new entrants coming into the industry.  

The dysfunctional, top-down rules and draconian penalties that were a feature of the EU era will be removed or reformed. The binary divide between advice and enforcement will also be broken down. Instead, there will be a modern approach to regulation, with more holistic assessments of regulatory compliance and greater emphasis on advice and improvement so that farmers and regulators work together to improve standards.  

By 2027, we want to see a reformed agricultural sector. We want farmers to manage their business in a way that delivers profitable food production and the recovery of nature, fusing the best modern technology available today with the rediscovery of the traditional art of good farm husbandry. Our plan delivers those objectives, and I commend the statement to the House.

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

I thank the Secretary of State for advance sight of the statement, even if most of it was announced this morning in his online conference. For transparency, I remind hon. Members that my little sister is a sheep farmer in Cornwall.

The Secretary of State has majored on the green elements of the announcement, but this is about more than our environment. Of course Labour supports public money for public goods, but that is not what the statement is about. Strip away the green coating and the proposals are a full-throttle attack on English family farms. I say “English” because Scottish, Welsh and Northern Irish farmers are going in a different direction because the devolved Governments are maintaining support for small farms for longer. Under the Government’s proposals, many small farmers will lose up to half their current support payments within just three years, leaving many financially unviable.

The public and farmers back high standards, but many farms will not be sustainable economically if the economic foundations of their business are undercut by food produced to lower standards abroad. British farmers remain at risk from future trade deals as the Government have chosen not to require food imports to meet the same standards that we hold our own farmers to.

Farmers themselves have not given today’s announcement a ringing endorsement. The panel that farmers convened to heap praise on the Secretary of State’s speech this morning described it as, “disappointing”, “lacking detail” and, “an announcement about further announcements”—not a glowing endorsement.

I am concerned about the 5% cuts for all, the 50% cuts in three years and the new system not even starting until 2022. Why was no sustainable farming initiative announced for next year, just a 5% cut and no bridge to environmental funding? Why was there so little detail on that and why is there a gap? Given that we are both west country MPs, does the Secretary of State share my concern that many south-west farmers will be forced out of business because of the changes? Does he have regional figures on the expected farm bankruptcies? The estimates that I have heard are deeply worrying. With the Government’s new farm exit schemes, there are huge incentives for people to leave agriculture early. How many small farmers does the Secretary of State expect to take that exit scheme rather than go bust?

Labour has five simple tests for the effectiveness of the policy. Will there be more family farms in 2024 than there are now? I doubt it. Will there be more family farm bankruptcies under the proposals? I expect so. Will Britain produce more of its food here rather than importing it? Will we be more reliant on food from America and Australia in future? Will English farmers have a tougher time than farmers in Scotland, Wales and Northern Ireland with their mix of direct payments and environmental funding? Labour backs our British farmers. I am very concerned that the Secretary of State’s announcement today risks breaking English family farms.

[George Eustice]

First, let me confirm that the policy we set out today is for England. Indeed, most of the powers in the Agriculture Act 2020 were for England. It will be open to the devolved Administrations to pursue their own policy. Even under the common agricultural policy, devolved Administrations had some freedom about the pillar 2 schemes that they could put in place. We will also co-ordinate policy with the devolved Administrations to ensure that there is no disturbance within the internal market. It is the case that over time, albeit at different paces, other devolved Administrations will not want to be shackled to the common agricultural policy that we have inherited, and they will want to take the opportunity to do things better.

The second point I would make relates to the profitability of agriculture. The hon. Gentleman mentioned the position of smaller farms. In fact, work done by AB Agri on farm productivity shows that there is not a correlation between farm size and productivity. Indeed, it is often the case that highly technically proficient, smaller family farms will have lower overheads and can look forward to the future with confidence. Agriculture is an industry that needs attention to detail, and that attention to detail is often best given by some smaller enterprises.

The other point I would make relates to food standards, which have been debated extensively in this House during the passage of the Agriculture Bill, now the Agriculture Act. We made changes to the Bill to introduce the Trade and Agriculture Commission and to require the Secretary of State to bring a report to Parliament outlining the impacts of any trade agreements on those standards. We have also been very clear as a Government that we will protect our producers from being undermined by substandard products produced overseas by using a combination of sanitary and phytosanitary policy in trade agreements and tariff policy.

I do not accept the criticism that the plan lacks detail. It is a 65-page document with many detailed annexes. It sets out in great detail the pace at which we intend to reduce the basic payment scheme, the other schemes we intend to roll out and the years we intend to roll them out. There will be some further consultations in the new year, in particular on the design of the voluntary exit scheme that we have said we will offer to those farmers who want to exit the industry with dignity.

I should make one final point, which is that our Agriculture Act requires the Government to report on food security every three years. The coronavirus pandemic has proven to us that domestic food production is a critical component of the food security of our nation, and that is something we will continue to measure and to support, so that we can have a vibrant food-producing agriculture sector in this country.

[Philip Dunne (Ludlow) (Con) [V]]

I broadly welcome the thrust of these transition arrangements to improve the environment, although as a farmer I am concerned about farming viability—given the phased 50% cut in support over the next three to four years—for those who will miss out on the environmental land management scheme pilots for 5,500 successful applicants, until the new ELM scheme comes in from 2024. The Secretary of State is offering a lump sum exit scheme to encourage farmers to retire and a new scheme for new entrants from 2022, but in view of the high costs of mechanisation and the time to achieve the viability of a new enterprise, does that not risk continuing the process of consolidation of farming businesses into larger holdings, in particular in disadvantaged areas?

[George Eustice]

My right hon. Friend makes an important point, and we are considering that in the design of our schemes. We are working with county farms across the country to improve the offer that county farms have, to create opportunities for new entrants and to encourage them into partnership with other landowners so that there can be more opportunities for those new entrants and to create an incubator model for these new entrants.

In terms of the viability of farms as we progressively reduce the basic payment scheme, it is important to recognise that this is an evolution, not a revolution. It is the case that from 2022 we will open the sustainable farming incentive to all farmers.

[Deidre Brock (Edinburgh North and Leith) (SNP) [V]]

I see the headlines of stories that the Government have planted today promising that Brexit will transform our fields and farms. One would have to agree, although that transformation will not only be in ways that many in agricultural areas will necessarily welcome. The speed and scale of the reductions proposed worry many others, including, it seems, the Minister’s own colleagues, with the head of the National Farmers Union describing the Government’s approach as

“high risk and a very big ask”.

Lack of clarity on the detail of the replacement environmental land schemes remains a big concern for agricultural and environmental representatives alike. It seems to me that what qualifying criteria we have been made aware of could lend themselves equally well to shooting estates as to hill farmers, for example. I would be grateful if the Secretary of State could enlighten us further on that point.

I find it astonishing that the Government have had since 2016 to construct replacement schemes, and yet here we are, just days away from either a no-deal or a low-deal Brexit, amid fears of lower imported standards and enduring the uncertainties of a global pandemic, with so many details still to be outlined. Scottish farmers and crofters do not face the same difficulties, because in Scotland the Government have committed to continuing payments at their current level. However, our Ministers were told just days ago in the spending review that, despite the Government’s manifesto commitment to match EU support, rural Scotland will be £170 million short of what was promised by 2025. The chair of NFU Scotland has said that this shortfall will undermine environmental and biodiversity targets for Scottish farmers and crofters. How does the Secretary of State answer that?

Finally, I would like to hear from the Secretary of State what the United Kingdom Internal Market Bill and control over state aid being in the hands of Westminster means for the Scottish Government’s ability to maintain a divergent path to England on farming support. Can he provide assurances that the Bill will have absolutely no impact on Scotland’s ability to set support in Scotland independent of the system chosen for England?

[George Eustice]

It is the case that England is a long way ahead of Scotland in terms of developing future policy. We want to take the opportunities that come from leaving the European Union to chart a different course and put in place a policy that makes more sense. Our view is that arbitrary area-based subsidies for people based only on the amount of land that they own or rent makes no sense in this day and age, and we should be directing those funds in a different way.

The hon. Lady mentions funds for Scotland. In line with our manifesto commitment, Scotland will have £595 million for its agriculture budget. She should note that we chose an exchange rate fixed in 2019 that is far more favourable for farmers right across the UK than the average exchange rate across the last perspective. She should also note that the European Union has just slashed its agriculture spending by 10%, while the UK Government have maintained it, and changes to the exchange rate mean that the rate of payment is some 20% higher than it would have been had we not voted to leave the European Union.

On the hon. Lady’s final point about divergence, Scotland and other devolved Administrations will have more freedom than ever before to design a policy that they judge to be right for them. We will set up a joint group across the UK to do market surveillance, to ensure that there is not disturbance to the internal market and to share ideas on what works.

[David Mundell (Dumfriesshire, Clydesdale and Tweeddale) (Con)]

As it is St Andrew’s day, it would be remiss not to highlight the excellence of Scotch beef, lamb and other agricultural products. The Secretary of State said that the measures he has announced will not apply in Scotland. Does he agree that the Scottish Government should now get on with devising a bespoke support scheme for Scotland to take into account our unique geography and climate—for example, continuing with an enhanced less favoured area support scheme—rather than pursuing an independence agenda, which would disrupt Scottish farmers’ biggest single market: the rest of the UK?

[George Eustice]

My right hon. Friend makes an incredibly important point. When the current incarnation of the common agricultural policy was put in place, NFU Scotland was very clear that area-based payments could not be made to work properly in Scotland. It is difficult therefore to see the justification for maintaining a policy built solely on area-based payments, given the large variance in land types. I agree with him that the Scottish Government should, in line with all other parts of the UK, take this opportunity to do things differently and to do them better.

[Tim Farron (Westmorland and Lonsdale) (LD)]

British farming genuinely is the best in the world, fundamentally because of the family farming unit upon which it is based. The Government’s plan to deliver environmental goods through the environmental land management scheme is good and laudable, and we support it. However, the transition whereby, in a revolutionary way, people will lose half their income in three years’ time—when the average livestock farmer is reliant on basic payment for 60% of their revenue—will lead to hundreds upon hundreds of those family farms going out of business and therefore not being in a position to deliver those environmental goods by 2028. The landscape of the Lake district and the Yorkshire dales is shaped by centuries of family farming. By accident, the Government could undo all of that in a few short years—even months—so will the Secretary of State think again, not penny pinch, and make sure that the basic payment is rolled over in full until the point at which the environmental land management scheme is available for everyone?

[George Eustice]

The concept of area-based payments has only been around for about 15 years, and it has not always been in the interests of agriculture. The truth is that farmers may be the recipients of the BPS, but they are not the only beneficiaries: the BPS payment has inflated land rents and input costs, prevented people from retiring, and also prevented new entrants from getting on to the land. That is why we believe there is a better way to pay and reward farmers in future.

[Theresa Villiers (Chipping Barnet) (Con)]

I believe that replacing the common agricultural policy with these reforms will help us to achieve crucial goals on protecting nature and the natural environment, and to improve animal welfare—things our constituents really care about. I want the Secretary of State to also confirm today that another crucial goal of these schemes will be food security, and ensuring we are supporting people to make a living from growing food.

[George Eustice]

Let me commend the role that my right hon. Friend played in the development of this policy and, indeed, some of the changes that were introduced in the latest incarnation of the Agriculture Bill. During her time in this post, she was passionate about the importance of food security and the financial viability of our farms.

[Carla Lockhart (Upper Bann) (DUP) [V]]

The Secretary of State will be aware that farmers need time to transition to a new system. He will also be aware that over 100,000 people are employed in the agrifood sector in Northern Ireland, and therefore direct support to farmers is vital. Will he give assurances to UK farmers that the Government will fund agriculture appropriately, to ensure we deliver a productive, profitable and sustainable farming business model for generations?

--- Later in debate ---

[George Eustice]

Since agriculture is devolved, it will be for Northern Ireland, the Northern Ireland Executive, and the Department of Agriculture, Environment and Rural Affairs to develop a policy that is right for them. However, I can confirm that we have maintained the budget for every part of the UK at the point at which we left the EU, and we will maintain that for every year of this Parliament. For Northern Ireland, that equates to £330 million per year.

[Dr James Davies (Vale of Clwyd) (Con)]

I thank my right hon. Friend for his statement. Will he outline the importance being placed on flood mitigation in the environmental land management scheme, and urge the Welsh Government to adopt similar measures to help protect communities such as St Asaph and Rhuddlan from flooding?

[George Eustice]

My hon. Friend makes an important point. We will be looking to use the powers in the Agriculture Act to make provision to support and financially reward farmers who may allow their land to be used in certain water catchments to protect communities from flooding—a nature-based solution to that flood risk, as it were. We will also be using this money to support improvements in water quality by supporting an expansion of catchment-sensitive farming. It will be for the Welsh Government to decide their own priorities and the pace at which they detach themselves from the legacy schemes, but we believe that redirecting support in this way is the correct way to go.

[Andrew Gwynne (Denton and Reddish) (Lab) [V]]

I welcome the emphasis on ensuring that farm subsidies in the future encourage animal welfare, environmental sustainability and nature recovery. However, given that this new policy will see income for some farms fall by 50% over the next three years, what assessment has the Secretary of State made of the numbers that will be impacted by these changes, and what opportunity is there in the nature recovery initiative he has outlined for those with marginal farm holdings, often in the urban fringes, where the land now has more of a recreational and environmental benefit than an agricultural one?

[George Eustice]

It is the case that some of those lands that are in more marginal areas, where it is less productive, will see more opportunities to access local nature recovery, and in some cases even landscape recovery, to get some significant support from the Government for either land use change or making more space for nature on their land. Some of those upland and more marginal areas will be able to get access to the scheme. As I said in my statement, we will also be looking at different payment methodologies to calculate the payment, departing from the income forgone methodology of the past.

[Edward Timpson (Eddisbury) (Con)]

I am pleased to hear from my right hon. Friend that there will be a period of engagement with farmers, landowners, managers and other key stakeholders in Cheshire before finalising the detailed design and operation of this fairer farming system. To that end, will my right hon. Friend tell the House what economic impact assessment his Department has done to help inform these significant and potentially transformative policy decisions?

--- Later in debate ---

[George Eustice]

My hon. Friend makes a very important point. We are looking at this matter. We believe that by removing the area-based subsidies, there could be some adjustment in land rents to reduce costs for farmers. Through the changes that we are making in the supply chain, it could also be the case that farmers will have a fairer share of the value for the food that they produce. By investing in technology, we can help farmers to reduce costs so that they become profitable without the need for area-based subsidies.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op) [V]]

The Secretary of State knows that I believe him to be an honourable man, but he is a member of a Government who are now notorious for their chumocracy and favours for friends. What he is ushering in today is a charter for City slickers, carpetbaggers and spivs to take over our farming sector, and to drive out the traditional smaller English farmers, who have been feeding our nation for so many years. Will he please think again before he eradicates the good English farmer?

[George Eustice]

The hon. Gentleman has a habit of starting off by suggesting that he is going to pay me a compliment, and things go downhill quite quickly thereon. The area-based subsidy that we currently have has a habit of giving the largest payments to the wealthiest landowners. Sometimes these are people who are not really actively farming. Sometimes it is people who made their wealth in the City and are trying to shelter it in land, and then also qualify for taxpayers’ payments—sometimes running into millions of pounds. That cannot be right. The system that we are developing will reward people for what they do with their land and what they do to help nature recover.

[Bob Stewart (Beckenham) (Con)]

My right hon. Friend has said that he hopes that this plan will encourage new entrants of people trying to get into farming. Will he briefly outline in what way it will be different from what happens now?

[George Eustice]

All the studies that have been done on this issue have shown that the single most important thing that we can do to help new entrants on to the land is to help those who perhaps should retire, or those who want to retire, to retire with dignity, so that more holdings come on to the market, land rents adjust to a sustainable level and there are opportunities for new entrants. We will then make available grants to support new entrants to invest and set up in their new enterprises.

[Marion Fellows (Motherwell and Wishaw) (SNP) [V]]

A recent poll from AgriScot’s online annual event has shown that 75% of Scottish farmers now oppose Brexit. That is hardly surprising, given the harm, disruption and uncertainty that Brexit has caused the agricultural sector. Does the Secretary of State understand why so many have now turned their backs on his Government’s flagship policy, and does he understand the need for this Government to listen to their concerns?

[George Eustice]

Agriculture policy is devolved, so Scottish farmers are not turning their backs on the policy that I have announced today for England. Perhaps the lack of enthusiasm is because of the failure of the Scottish Government to show leadership in this area.

[Simon Fell (Barrow and Furness) (Con)]

Earlier this year I was fortunate enough to visit Hobkin Ground farm in my constituency, which is actively pursuing regenerative farming and trying to reduce the carbon footprint of raising a cow from field to fork through measures such as new grasses. What assurances can my right hon. Friend give to farmers like Megan and Mark that the new environmental management scheme will help us to help them meet our stringent net zero targets?

[George Eustice]

My hon. Friend makes an important point. We are looking at a number of different disciplines within regenerative farming, including methods such as mob grazing, the use of different types of leguminous nitrogen-fixing plant mix in grassland and reduced fertiliser use. If we manage grassland and soils correctly, they can be a really useful store of carbon and contribute to net zero.

[Dame Diana Johnson (Kingston upon Hull North) (Lab) [V]]

Food poverty in my Hull North constituency is already a huge issue. Will the Secretary of State guarantee that under the new agricultural transition policy we will not see higher food prices for working families who are only just managing?

[George Eustice]

We think that the policy will lead to stable food prices, but also to a situation in which we change the way we reward farmers. We will reward them not just for occupying land but for farming their land in a nature-sensitive way and a way that enhances animal welfare.

[Dr Neil Hudson (Penrith and The Border) (Con) [V]]

I welcome the statement and, as a vet, the fact that high animal welfare and health will be recognised as a key public good. Farmers in Penrith and The Border and throughout the UK produce top-quality food to the highest standards. Will my right hon. Friend assure the farmers and land managers in my constituency and throughout the UK that when the direct payments scheme ends, the new way of funding will be secure and long term, so that they can plan accordingly and continue to produce local food sustainably to benefit our rural communities for generations to come?

[George Eustice]

Yes. The Agriculture Act 2020 sets out clear objectives on animal health and welfare, as well as the environmental objectives. We recognise that animal health and welfare is a public good, and it is right that the public are willing to support improvements in that regard. The Act also includes support for genetic resources—such as our native and rare breeds—that many farmers in many parts of the country will be able to access.

[Christian Matheson (City of Chester) (Lab)]

The Secretary of State is a farmer himself, so he will know that farms cannot simply be turned on or off, as local farmers around my constituency in Cheshire have pointed out to me. They have noticed that participants in the ELM scheme will be paid a “competitive” rate; when will they be given details of what that competitive rate is, so that they can start to plan for the future and know exactly when they can alter their long-term plans for the management of their farms to meet the requirements proposed in the White Paper?

--- Later in debate ---

[George Eustice]

We will consult on the design of the sustainable farming incentive in the first half of next year.

[Mr Deputy Speaker (Mr Nigel Evans)]

Jacob Young is next on the call sheet, but he is down as both physical and virtual. If he is not going to appear, I shall call Alistair Carmichael.

[Mr Alistair Carmichael (Orkney and Shetland) (LD)]

The Secretary of State has told us that the Scottish Government’s budget for the scheme will be £595 million, which is the budget that they carry over at present. That figure is not going to last forever; by what means will future budgets be fixed? What mechanisms will be used to resolve any disputes? What will happen if the divergent agricultural policies in any part of the United Kingdom, including England, then have a distorting effect on the UK’s internal market?

[George Eustice]

The Government set out in our manifesto that we will keep the budget for each part of the UK the same in cash terms for every year of this Parliament, and that is what we intend to do. Matters thereafter will be a matter for all the political parties in their manifestos for future elections and, of course, for future spending reviews. I should point out that the European Union’s budget runs for only seven years and it has cut its budget by 10% for the next perspective.

[Anthony Mangnall (Totnes) (Con)]

Many of us were woken this morning by the Secretary of State speaking on Times Radio about the need to end bureaucracy for farmers. Now that he is, with this statement, pushing the fact that DEFRA is going to be a help, not a hindrance, will he explain how ending the bureaucracy and unnecessary form-filling is going to help to ensure that all our farmers are exactly where they need to be, which is on the land?

[George Eustice]

My hon. Friend makes a very important point. Under the current common agricultural policy, we have rules about the maximum width of a gateway, the minimum width of a hedge, the maximum width of a hedge, whether a cabbage should be treated the same as a cauliflower for the purposes of the three-crop rule—the list goes on and on. It makes no sense at all and we will sweep away those unnecessary rules.

[Patrick Grady (Glasgow North) (SNP)]

I am not sure that the answers so far from the Secretary of State on the United Kingdom Internal Market Bill will provide much reassurance to the agricultural sector or, indeed, anyone in Scotland who values the devolution settlement. Can he guarantee that the Government will not use powers in the Bill to prevent the Scottish Government from pursuing their own agenda on issues related to standards or state aid?

[George Eustice]

When it comes to standards in trade agreements, which is one of the issues that was debated, that of course is a reserved matter, since it is a matter for those international negotiations. Of course, when it comes to setting standards around animal welfare, those matters are devolved now and will remain devolved, as will the design and administration of any future scheme to replace the common agricultural policy scheme.

[Craig Williams (Montgomeryshire) (Con)]

On Friday, I visited the Wynnstay Group headquarters in Montgomeryshire, who supply supplies and services to agricultural communities across England and Wales. My constituency has cross-border farms, so I welcome the tone—especially of evolution, not overnight revolution —of the Secretary of State’s comments. Can I draw him on the funding? We welcome that commitment in Wales, but my farmers have long dealt with the modulation from pillar 1 to pillar 2 in Wales, which is 50%: the highest in the United Kingdom. While Opposition Members talk strong on agricultural funding, for the last decade they have been taking out of direct payments to my farmers. May I draw him on that support and welcome what he is doing in England more broadly?

[George Eustice]

My hon. Friend makes an important point. Indeed, the indications to date are that the Welsh Government will probably strike a similar approach to that which we are taking in England. It may be that Northern Ireland, because of its proximity to the Irish Republic and, indeed, Scotland, for other reasons, may decide to change things at a slower pace. But it is the case that Wales has, even in the last five years, transferred money from the pillar 1 basic payment scheme to the pillar 2 agri-environment schemes.

[Mike Amesbury (Weaver Vale) (Lab)]

Cutting income payments by 50% over a period of three years, starting in January, is not evolutionary as the Secretary of State said, but revolutionary. In fact, some might argue—including me—that it is downright stupid. It needs to be rethought. On consultation, there are plenty of voices out there at the moment expressing real concern about the future of local farms in Weaver Vale and Cheshire.

[George Eustice]

We will not be cutting the budget: we will be cutting the payments that go through the rather dysfunctional legacy basic payment scheme, and we will instead be directing that money into new schemes, including the sustainable farming incentive that farmers will be able to access from 2022.

[Kevin Hollinrake (Thirsk and Malton) (Con)]

Hill farmers are hugely important to the landscapes and communities of Thirsk and Malton, particularly in the North York Moors national park. They are very dependent on financial support. Will the Secretary of State commit to looking after their interests and also consider delegating the distribution and administration of moneys direct to the national parks, so they can work directly with their farmers, who understand their landscapes most closely?

[George Eustice]

I do think that there will be opportunities for some of those upland and moorland areas to be able to really benefit from a new policy that is based on payment for the delivery of environmental goods. There have been many opportunities for them to do so alongside their food production. We are also looking at ways to involve local partners in terms of designing schemes that fit a particular geography. That could include the national parks and local nature partnerships.

[Jim Shannon (Strangford) (DUP)]

I thank the Minister for his statement. I note that the changes will be designed to ensure that by 2028 farmers in England can sustainably produce healthy food profitably without subsidy, while taking steps to improve the environment, improve animal health and welfare and reduce carbon emissions. That is all very laudable and welcome, but it would be remiss of me not to ask what discussions have taken place with the devolved Northern Ireland Assembly to ensure that this transition will be applicable—and therefore funded—UK-wide.

[George Eustice]

It  is obviously a devolved policy area, so the Northern Ireland Executive and DAERA will make their own decisions. I suspect that it is likely that they will depart from the legacy schemes in a more cautious fashion, given their proximity to the Irish Republic and some of the cross-border trade that takes place, but it will be open to them and they will have the freedom to design policies that work for them. I suspect that, in common with other parts of the UK, they will quite quickly want to switch off some of the bureaucratic requirements that have been there in the existing basic payment scheme.

[Jerome Mayhew (Broadland) (Con)]

As well as wanting to be custodians of the land, people farm because they want to produce food. While I warmly welcome the thrust of the plan, will my right hon. Friend confirm that the Government remain committed to increased food security and, if so, can he clarify how this plan will help farmers to maintain or increase food production?

[George Eustice]

My hon. Friend makes an important point. We are absolutely committed to domestic food production and the crucial role that that plays towards our food security. The Agriculture Act 2020 requires that every three years, there will be a review of our food security, and that will look at the viability and profitability of our domestic food production. The paper that we have published today sets out plans for a farm investment fund that will have a whole suite of grants available to support farmers to produce food in a more cost-effective way and to add value.

[Tonia Antoniazzi (Gower) (Lab)]

The Secretary of State continues to say that he has maintained the budget for the devolved nations. However, farmers in Wales will be £95 million short compared with if they were still in the EU, due to what would have been a crossover of the programme. I find it quite tedious that the hon. Member for Montgomeryshire (Craig Williams) and the UK Government point the finger at the Welsh Government, who are rightly acting in accordance with the EU rules for agricultural funding until 2023, which the National Farmers Union of Wales confirmed with me just over an hour ago. Will the Secretary of State back up the promises that he has made to farmers and rural communities in my constituency of Gower and across Wales?

[George Eustice]

The confusion on this stemmed from the fact that the EU budget runs on a cycle called n+3, where n is seven years, so effectively, the EU budget is across a decade. The budget that we have announced is across a Parliament and we have guaranteed the same in each year. A typical spending review cycle is five years. We cannot compare a 10-year EU budget with a five-year UK one that will be renewed at the end of that. The reality is that we have set a favourable exchange rate that is 22% higher than before the referendum result, and that benefits farm incomes. The reality is also that the European Union has had to slash spending on agriculture by 10%.

[Peter Aldous (Waveney) (Con)]

I draw attention to my involvement in family farms as detailed in the Register of Members’ Financial Interests and I thank the Secretary of State for his statement. To enable farmers to access new markets and to obtain fair prices for their high-quality UK-reared-and-grown produce, both at home and abroad, there is a need for investment in food and drink processing facilities. I would be grateful if the Secretary of State could outline the strategy for securing this.

[George Eustice]

Our paper today outlines plans for a farming investment fund. That can include small grants to support the deployment of new agricultural technology and larger grants—transformation grants—that could support adding value through food processing facilities on farms, but also for groups of growers or producers to come together and collectively invest in such a way.

[Alan Brown (Kilmarnock and Loudoun) (SNP) [V]]

We know that the Tories have already broken a manifesto promise on matching EU funding and that it is going to cost Scotland £170 million, but we have real concerns that the Government are going to use the United Kingdom Internal Market Bill to prevent the Scottish Government from providing the right level of support for Scottish farmers. Can we get absolute clarification that the Tory Government will not use the Bill to block any devolved policies, such as using headage payments for the production of cattle and sheep?

[George Eustice]

I reject the hon. Gentleman’s claim that the budget is not what was promised. We promised to maintain the budget in each part of the UK in cash terms at the juncture where we left. That is exactly what we are doing. It means that Scotland will receive £595 million per year, 22% higher than it would have received had we used the exchange rate at the start of the last EU programme, and 10% higher than it would have received had we stayed in the EU since it has cut the agriculture budget. This is a good deal for farmers. Indeed it will be open to the devolved Administrations to design their own policy and that could include if they wanted an element of coupled payments.

[Danny Kruger (Devizes) (Con)]

Can my right hon. Friend reassure farmers in Wiltshire that food production will still be supported under the new scheme and that they will not be undercut by farmers, including in the devolved nations, who are subsidised for food production or by area, not just for stewardship?

[George Eustice]

I can give my hon. Friend that commitment. The aim of this policy is very much to support and reward farmers for farming more sustainably, but the emphasis throughout is on sustainable food production, not on taking land out of production.

[Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)]

In his statement, the right hon. Gentleman made mention of the production of high-quality food in “a sustainable way”, and I say amen to that. The reputation and quality of British farm produce is second to none—it is a world beater—so will he consider having a discussion with the devolved Administrations with a view to setting up an agency to promote British farm produce for export, thereby earning money for the Exchequer of our United Kingdom?

--- Later in debate ---

[George Eustice]

The hon. Gentleman makes a very important point. We do work with the devolved Administrations on the design of future policy. There will be a co-ordinating group on future policy. We also work with all the levy bodies through the Agriculture and Horticulture Development Board, and the devolved equivalents of those, on a joint approach to marketing our fantastic food and produce around the world.

[Damian Hinds (East Hampshire) (Con)]

It is right that the equipment and technology fund and the transformation fund should focus on core agricultural business and productivity, but can my right hon. Friend also reassure me that his Department will continue to support farm diversification, which has been so important to so many Hampshire farmers?

[George Eustice]

My right hon. Friend makes a very important point and I can confirm that that will be possible. We made some changes to the Agriculture Bill that was brought through this Parliament to ensure it could support farm diversification projects to help farmers add value.

[Matt Western (Warwick and Leamington) (Lab)]

Many farmers in my area of Warwick and Leamington and the villages around are really concerned. As far as they are concerned, they are in business—they have been farmers for generations to look after and steward the land, but also to look after their herds and to produce the grain and crops that we depend on. Their real concern is to do with livestock, where 80% of their income has come from the BPS—basic payment scheme—payments. They see the proposed changes as being all about preserving a landscape, not about preserving food resilience and their businesses.

[George Eustice]

It is important to note that since the advent of area-based payments the subsidy payments have been totally decoupled from production. Indeed, had we had our time again a better way to have done it might have been to introduce conditionality to the old payments that were there before. It is already the case that there are people who own a plot of land and claim on it but who are not actually producing food. The logic of our policy today is to focus the payments towards what farmers do with the land, not just dole out money based on how much land they own.

[Mrs Flick Drummond (Meon Valley) (Con) [V]]

The chalky soils of the Meon Valley are very different from the peatlands of the Derbyshire dales, so how will my right hon. Friend ensure that farmers in all areas are incentivised to improve soil quality, for sustainability as well as for farming?

[George Eustice]

My hon. Friend makes an incredibly important point. We made an explicit change to the Agriculture Bill in this latest incarnation to ensure that soil health was recognised as a public good. Different soil types need different approaches and different treatments to bring them back into health. We are working with a number of stakeholders and universities now to establish how best to manage and measure soil health on a range of different soils, and we will have incentives in place to support that endeavour.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

While this statement refers to the future of English policy, what future does the Secretary of State see for Welsh farming following the shortfall of a third in Welsh agricultural support, which revealed itself in last week’s comprehensive spending review? This is labelled by the Welsh farming unions as a Brexit betrayal.

[George Eustice]

As I have said several times, we do not recognise the caricature that the budget has been cut. We were clear that we would maintain the budget in cash terms for each year of this Parliament. That is precisely what we have done.

[Tony Lloyd (Rochdale) (Lab) [V]]

I very much welcome what the Minister has had to say about the restoration of peatlands, but can he go a little further in terms of the natural environment? Does he guarantee that there will be less use, for example, of phosphates and therefore less phosphate run-off? Does he guarantee that we will see no return to the use of the pernicious neonicotinoids that are so damaging to our pollinators, which are so necessary to our agriculture?

[George Eustice]

As we have outlined in the paper published today, we want to incentivise farmers to embrace integrated pest management. Across the piece, we are likely to see reductions in the use of synthetic chemistry and the adoption of other processes to tackle the problems of pests and diseases. It is also the case that we want to be able to support the restoration of peatlands and so forth.

[Richard Fuller (North East Bedfordshire) (Con)]

I thank my right hon. Friend for outlining the principles and programmes for these changes in payments. As he will be aware, however, it will be in the implementation of those programmes and the inspection of those schemes that issues will appear. Farmers will have worries about the implications of not changing, transitioning and falling in accordance with the new plans. What reassurance can he give to farmers about how implementation will take place?

[George Eustice]

I can reassure my hon. Friend that I am alive to that danger. When introducing any new scheme, it is critical that we do not over-engineer its design and that we tack towards simplicity to make sure that things are deliverable. What we want to do on this new scheme is move away from the endless form filling, endless mapping, and arguments over maps, and instead get to a position where a trusted adviser or agronomist walks the farm with the farmer, sits down around the kitchen table and helps them put together a plan that is right for their farm.

[Peter Grant (Glenrothes) (SNP) [V]]

Moran Taing, Mr Deputy Speaker, agus Latha Noamh Anndra sona dhuibh. A happy St Andrews Day to you.

I recently met Fife and Kinross representatives of the National Farmers Union, Scotland. They already face severe problems because of combined impacts of the covid pandemic, the looming chaos of Brexit and serious difficulties in recruiting seasonal workers. Now we find that farmers in Scotland are likely to face a funding loss of £170 million compared with what the Tories promised in their manifesto. The president of the NFUS says that this will undermine the crucial delivery of promises to meet climate change and biodiversity challenges. Why should I believe that the Minister is right and that the president of the NFUS is wrong?

--- Later in debate ---

[George Eustice]

I think I have explained at the Dispatch Box several times the cause of the confusion that there might have been. It is because people are trying to compare a seven plus three year—a 10-year—EU budget with a five-year parliamentary term that we have set for the current budget. We cannot compare two entirely different timescales for a quantum of sum of money.

[Greg Smith (Buckingham) (Con)]

For transparency, I remind the House that my wife’s family are farmers in receipt of subsidy. I warmly welcome my right hon. Friend’s statement and, as we set our own trade policy for the first time in decades, have enormous optimism for the future of British farming. It is also the case, though, that farmers face a great deal of uncertainty as demonstrated by the weather conditions that led to a particularly poor 2020 for so many. With that in mind, will he outline when the detail of the sustainable farming incentive and other bridging schemes will come forward so that farmers can have certainty as they plan for the future?

[George Eustice]

We will be publishing more papers in the new year on some of the more specific elements of scheme designs, including the voluntary exit scheme, which we mention in the paper today. As I said earlier, in the first six months of next year, we will be consulting on the design of the sustainable farming incentive.

[Mr Deputy Speaker (Mr Nigel Evans)]

Happy St Andrew’s day to all my Scottish friends, wherever you may be. I thank the Secretary of State for his statement and for responding to 39 questions. The House is suspended for three minutes.

Oral Answers to Questions

George Eustice Excerpts

Thursday 26th November 2020 Commons Chamber

[Richard Thomson (Gordon) (SNP)]

What discussions he has had with representatives from (a) fishing communities and (b) the fish processing sector on the potential effect on the viability of the UK fishing industry of the imposition of tariffs after the transition period.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

Before I turn to the question, the tragic loss of the Joanna C on Saturday is a sad reminder of the dangers that our fishermen face every time they go out to sea. We are all incredibly grateful for the bravery and dedication of the Coastguard, the Royal National Lifeboat Institution and all those involved in the search. Our thoughts are with the families of Adam Harper and Robert Morley, and all the families and those affected.

The Government have offered the European Union a free trade agreement along the lines of the EU-Canada one, which would involve zero tariffs on all goods, including fish and fish products. We hold regular discussions with both the catching sector and the fish processing sector to discuss the great opportunities that will arise at the end of the transition period.

[Richard Thomson]

I associate my group with the comments of the Minister. It is a timely reminder of the high price that is sometimes paid for putting food on our plates at home.

Non-tariff barriers are also a concern for the fishing industry, as are tariffs. This week’s test run for post-border transition procedures demonstrated the severe chaos that might be expected in the new year. I am sure that the Minister appreciates fully that seafood products need to be delivered to markets timeously. So what assurances can he give to the catching and processing sectors that delays will not equal ruined produce and ruined businesses?

[George Eustice]

We have been working with the fishing industry and local authorities to ensure that they have the capacity in place to employ the environmental health officers necessary to issue both the catch certificates and the environmental health certificates. We have about 1,000 officers now who can issue export health certificates for fish. It is the case that there are some concerns in Scotland, where the Scottish Government potentially have a gap in capacity of 100. We are working with them to try to offer our help to ensure that that gap can be filled.

[Mr Speaker]

I call the SNP spokesperson.

[Deidre Brock (Edinburgh North and Leith) (SNP)]

I, too, associate myself with the Secretary of State’s remarks. That reminds us why this industry is so important to us and why it tugs at our hearts when we hear of such sad events.

Tariffs are a great worry for many other sectors as well. Tariffs of a possible 48% are a huge concern for the sheep sector, so the Secretary of State’s suggestion that sheep farmers could simply switch to beef production if punitive lamb tariffs cause their business models to crash has angered many Scottish farmers and crofters, who have spent many years building up the high reputation that Scotch lamb enjoys for quality. The National Sheep Association Scotland has called for assurances that a compensation scheme will be ready and waiting. What details can he outline today of such a scheme?

[George Eustice]

I always advise people to look at what I actually said, rather than at the Twitter attacks on what I might have said. I never said that specialist sheep farmers and crofters should diversify into beef; I explicitly said that some of the 7,000 mixed beef and sheep enterprises might choose to produce more beef and less lamb if the price signal suggested that they should.

[Martyn Day (Linlithgow and East Falkirk) (SNP) [V]]

The Scottish Seafood Association has joined other food and drink leaders with a recent letter to the Prime Minister. The message is clear: tariffs mean enormous damage to our industry, and that is on top of covid losses of an estimated £3 billion. So when will the Minister reveal details of the financial support that is so clearly desperately needed?

[George Eustice]

Tariffs on fish, particularly the fish that we export, are typically far lower than on many agrifoods. The average tariff on the shellfish that we export is about 8%. Obviously, we would prefer there to be zero tariffs on all goods, and that is the offer that the Government have made to the European Union—in both directions—but the fishing sector generally recognises that, if it needed to pay tariffs, it could pay those tariffs, and the European Union would have to face higher prices.

[Daniel Zeichner (Cambridge) (Lab)]

May I associate those on this side of the House with the Secretary of State’s comments on the appalling loss of the Joanna C?

Twenty-six per cent. of our food comes from the European Union, and it is reported that last week the Department for Environment, Food and Rural Affairs’ head of food security warned industry reps to expect just 40% flow rates. I am sure the Secretary of State will want to provide reassurance on that, but as we have already heard, his attempts to placate livestock farmers recently led to some pretty dreadful headlines in the farming press. “Laughable” was the comment from the Farmers Guardian. So can he do better today and explain the plans he has in place to keep our food supplies flowing in just 35 days’ time?

[George Eustice]

We have worked with industry to ensure that the capacity is in place to issue export health certificates, and we have been contacting meat processors, fish processors and others in the sector to ensure that they are prepared for the new administration that will be required, and of course we continue to work on plans to ensure that goods flow at the border.

[Laura Trott (Sevenoaks) (Con)]

What steps he is taking to reduce plastic pollution.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

The Government have banned the use of microbeads in cosmetics and banned the use of plastic straws, stirrers and cotton buds, and the 5p charge for single-use plastic bags has reduced their use by 95% in the main supermarkets. We are increasing the charge to 10p and extending it to all retailers. In addition, we are seeking powers in the Environment Bill to require similar charges for single-use plastic items, to make recycling collections more consistent and to reform packaging producer waste responsibility schemes.

[Laura Trott]

Earlier this year, I was written to by year 6 pupils in the Chevening and St Lawrence primary schools. They were asking me to protect the environment, and reducing plastic pollution was top of their list. I am sure they will have been reassured by the Secretary of State’s answer, but can he reassure them further that we will act to stop this attack on our environment and that they will see change in their lifetime?

[George Eustice]

My hon. Friend makes an important point, and I congratulate the Chevening and St Lawrence primary schools on their interest in this. All hon. Members cannot help but have noticed the rising awareness within all our schools of the scourge of plastics in particular and the action that must be taken. In my own constituency, I have been contacted by schools such as Lanner, Troon, Treleigh, Rosemellin and Roskear on this very matter just in the past year. We are working very hard to address the concerns raised by pupils in my hon. Friend’s primary schools.

[Sir Roger Gale (North Thanet) (Con)]

What steps his Department is taking to reverse the decline in the population of pollinators.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

The national pollinator strategy sets out the actions we are taking with partners to protect pollinators. It includes dealing with habitat loss and the potential harm from pesticide use, invasive species and climate change. Our future agriculture policies will help to improve biodiversity and support habitats for pollinators, building on existing agri-environment measures to enable many more farmers and land managers to take positive action.

[Mr Speaker]

Let us head to North Thanet and Sir Roger Gale.

[Sir Roger Gale [V]]

Thank you, Mr Speaker, from the garden of England. My right hon. Friend will know that the value to the economy of pollinators is estimated at about £691 million. Some 60% of our native pollinators are in decline, and we have lost 75% of them over the past 25 years. Will he support me in backing Kent’s Plan Bee, which is seeking to establish 5,000 miles of B-lines across the United Kingdom?

[George Eustice]

That sounds like a very interesting project, and I would certainly be willing to meet my right hon. Friend and representatives in Kent to discuss it. Our future environmental land management scheme will encourage the creation of habitats for pollinators, and our local nature recovery plans, to be advanced by local authorities, will also have a role to play.

[Sir David Amess (Southend West) (Con)]

What steps he is taking to support zoos during the covid-19 outbreak.

--- Later in debate ---

[David Mundell (Dumfriesshire, Clydesdale and Tweeddale) (Con)]

What steps he is taking to support sheep farmers.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

Lamb producers have enjoyed a very good year in 2020. A significant increase in lamb imports by China, combined with tighter supply globally, has contributed to high prices and confidence in the sector, with prevailing market prices typically 10% to 15% higher than last year. However, we recognise that historically the lamb sector has been more reliant on the EU market than most other farming sectors, so we stand ready to help it identify new markets in future.

[David Mundell]

I hope you did not find me very strange, Mr Speaker. Upland sheep farming is hugely important to my constituency, which is why, I, like those farmers, very much welcomed the Secretary of State’s comments yesterday at the Scottish Parliament’s Rural Economy and Connectivity Committee that he does have well-developed plans in place to support upland sheep farming in the event that a deal is not possible with the EU. Perhaps he could set out some further reassurance to those farmers today, because many of them have to take decisions right now about their forward planning and what would be in place if there is no deal with the EU.

[George Eustice]

I can say that 18 months ago, in preparation for the first potential no-deal, the Government, working with the Rural Payments Agency, had developed detailed plans to be able to support the sector in the short term. Those plans are still there and still ready to be activated, but in the medium term, in the event of there being no further negotiated outcome, we will be helping the sector identify new markets.

[Mark Logan (Bolton North East) (Con)]

What steps he is taking to improve air quality.

--- Later in debate ---

[Fleur Anderson (Putney) (Lab)]

What assessment his Department has made of the extent to which poor air quality may disproportionately affect BAME communities.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

Air pollution can be harmful to everyone; however, some people are more affected than others. My Department has commissioned research into inequalities of exposure to air pollution, and monitors emerging evidence investigating air-quality impacts on BAME communities. That research has shown that those BAME groups are disproportionately affected by poor air quality, partly because larger numbers of BAME people live in urban areas where air pollution tends to be worse.

[Fleur Anderson]

I am the MP for one of those urban areas where black and ethnic minority constituents are disproportionately affected by both covid-19 and air quality. Has the Secretary of State held recent discussions with his colleagues in the Department of Health and Social Care? Will he make a statement about specific actions that will be taken on this issue?

[George Eustice]

Of course we talk with our colleagues in the Department of Health and Social Care, the Department for Transport and the Ministry of Housing, Communities and Local Government on all matters relating to air quality in some urban areas. We intend to take action through the Environment Bill by setting new targets on air quality. One of the targets that we are investigating relates to the impact on particular populations in particular areas.

[Dr Kieran Mullan (Crewe and Nantwich) (Con)]

What steps he is taking to ensure that local authorities have the resources to build adequate flood defences.

--- Later in debate ---

[Andrew Jones (Harrogate and Knaresborough) (Con)]

If he will make a statement on his departmental responsibilities.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

Since the last session of DEFRA oral questions, Royal Assent has been granted to both the Agriculture Bill and the Fisheries Bill. The Agriculture Act 2020 gives us the powers to transform the way in which we support farmers and build back nature in the farmed landscape, while the Fisheries Act 2020 gives us powers to become an independent coastal state, and decide who can fish in our waters and under what terms. We will be bringing forward new policies under both Acts in the weeks and months ahead.

[Andrew Jones]

My right hon. Friend’s Department is a very busy one right now, but may I ask him to look at the issue of animal cruelty sentences? I know that the Government are looking to legislate to increase sentencing. Animals feel pain and emotion, and all of us in this House have probably had terrible cases of animal cruelty in our constituencies, which can be upsetting for all our communities. What steps is my right hon. Friend taking to ensure that there is a good level of enforcement for animal cruelty offences?

[George Eustice]

My hon. Friend makes a very important point. The Government support extending maximum penalties and offences for animal cruelty. We are supporting a private Member’s Bill currently going through this House to achieve that. Should that not go through, we will introduce legislation in a later Session in this Parliament in order to do that. We are also working with local authorities and others to improve the enforcement of the current animal welfare legislation.

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

After the “News at Ten” exposé of foxhunters discussing how to put up the smokescreen of trail hunting when foxhunts break the law—exemptions that they describe as a “good wheeze”—is the Environment Secretary satisfied that the Hunting Act 2004 is as strong as it needs to be to stop illegal hunting? I am not.

[George Eustice]

The Hunting Act was brought forward by the Labour party, and there is now a consensus across this House that it should remain. Where there is a breach of that legislation, obviously the police can investigate, and they do.

[Luke Pollard]

No, that is not a good enough answer. We support the strengthening of that Act and I hope that the Environment Secretary will too. Forestry England has just announced a ban on hunts using its land in response to the exposé. Should not other landowners now follow this lead and ban trail hunters from their land as well?

--- Later in debate ---

[Sir Edward Leigh]

I apologise, Mr Speaker.

[George Eustice]

The Government believe that the Hunting Act is sufficient. Where there are breaches, it should be enforced. It is for individual landowners to choose, as they always have done, whether they would like hunts on their land.

[Peter Aldous (Waveney) (Con)]

  Ahead of 1 January, the Renaissance of the East Anglia Fisheries is stepping up its plans to revitalise the East Anglian fishing industry. Investment in port and processing infrastructure is vital, and I would be grateful if the Minister could outline the role of fishing in the national infrastructure strategy, what funds will be available and when they will be announced

[George Eustice]

For now, the residual bit of the European Maritime and Fisheries Fund continues to be something that fishing communities can access, but we will be replacing the EMFF with a domestic fund, and we will say more on this in due course. I am aware of the REAF project in my hon. Friend’s constituency. There are great opportunities for fishing communities along the east coast to benefit from our departure from the EU.

[Munira Wilson (Twickenham) (LD)]

  Air pollution is estimated to lead to 40,000 early deaths per year, and here in London, in normal circumstances, some 2 million people are living with illegal levels of air pollution. So will the Secretary of State please commit today to accepting the Environment Bill amendment that would require him to produce an annual report on air quality that includes the work of public authorities and Government Departments in tackling air pollution?

[George Eustice]

Under the Environment Bill, we will have a 25-year environment improvement plan that addresses issues such as air quality. There will also be targets set for air quality under the Bill.

[Cherilyn Mackrory (Truro and Falmouth) (Con)]

  First, I very much associate myself with the Secretary of State’s remarks regarding the tragic loss of the Joanna C.The brilliant fishermen who come out of St Mawes and Falmouth and along the whole Fal estuary—indeed, around the entire Cornish coast—are delighted that the Fisheries Bill finally got it Royal Assent this week. Will my right hon. Friend assure me that this landmark Act will better the lives of these fishermen, as well as ensuring that our sea are sustainably managed to allow future generations of fishing families to prosper?

[George Eustice]

My hon. Friend and neighbour in Cornwall makes a very good point. As a fellow Cornish MP, of course I want to see the interests of the Cornish fishing industry prosper in the future. In many cases, we have had a profoundly unfair share of stocks in the Celtic sea, and that will now change.

[Dame Diana Johnson (Kingston upon Hull North) (Lab) [V]]

  After the 2007 floods in Hull, I campaigned for many years to get the Flood Re scheme introduced. However, there are problems with the Flood Re scheme, and I wonder whether the Government need to consider again their message about encouraging house building through schemes such as Help to Buy on areas that are prone to flooding at the same time as saying that house building should not take place in those areas.

[George Eustice]

We are in discussions on this matter with ministerial colleagues in the Ministry of Housing, Communities and Local Government. The hon. Lady will be aware that a planning Bill is coming forward, and one of the things we have already said we would like to do is strengthen the role of the Environment Agency as a statutory consultee on future planning developments.

[Miss Sarah Dines (Derbyshire Dales) (Con)]

Many of my constituents farm some of the most visited countryside in the UK. Much of Derbyshire Dales lies in the Peak District national park. Those farmers understand that future Government support will be based on public money for public good. They view producing high-quality food such as milk for Stilton, beef and high-quality lamb as a public good. This goes hand in hand with delivering access to clean air and water, biodiversity, and soils that store carbon. It is a case, is it not, of how food production sits alongside the environment—a case not of either/or, but of both? Can I please have reassurance—

[Mr Speaker]

Order. We have got to get through these questions.

[George Eustice]

My hon. Friend makes a very important point. Our future policy will be about incentivising, encouraging and supporting sustainable agriculture so that we have sustainable food production but also environment improvement.

[Nadia Whittome (Nottingham East) (Lab)]

The Chancellor did not pledge a single extra penny yesterday towards a green economic recovery, while wasting tens of billions on polluting new roads. Will the Secretary of State explain how that fits with the Government’s so-called green industrial revolution and net zero strategy?

[George Eustice]

Last week the Prime Minister announced a new round for the green recovery challenge fund—an additional £40 million—and the Chancellor yesterday confirmed the spending that we intend to put through the nature for climate fund as well.

[Rob Roberts (Delyn) (Con)]

This Government were elected on a manifesto commitment to maintain agricultural funding across all four nations. Despite the disingenuous political games being played by the Welsh Government and the farming unions in Wales, can my right hon. Friend confirm that yesterday’s statement from the Chancellor delivers on that commitment and safeguards funding levels for all our farmers in Wales?

[George Eustice]

Yes.

[Ruth Cadbury (Brentford and Isleworth) (Lab)]

Like the hon. Member for Sevenoaks (Laura Trott), primary schoolchildren across my constituency have also raised the issue of plastic, so why is the Government’s plan to eliminate all avoidable plastic waste by 2042 years behind schedule, and why does it have such weak proposals? Is the Minister kicking Britain’s plastic waste crisis into the long grass?

[George Eustice]

I do not accept the point that the hon. Lady makes. We have recently banned plastic stirrers, plastic straws and plastic cotton buds. We are considering other bans on single-use items, and the Environment Bill brings forward extended producer responsibility.

The hon. Member for South West Bedfordshire, representing the Church Commissioners was asked—

Office for Environmental Protection: Contingencies Fund Advance

George Eustice Excerpts

Friday 23rd October 2020 Written Statements

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

DEFRA has sought a repayable cash advance from the Contingencies Fund of £536,000.

The requirement has arisen because there is an urgent requirement to proceed with setting up the Office for Environmental Protection in advance of Royal Assent of the Environment Bill.

Under “Managing public money” rules, expenditure to make preparation for the delivery of a new service prior to Royal Assent requires an advance from the Contingencies Fund. The cash advance will pay for essential set-up expenditure for IT, corporate services, estates, finance, recruitment and other HR costs that are needed for establishing for the Office for Environmental Protection. The need to spend now in advance of Royal Assent is driven by the necessary timelines associated with recruitment, procurement and set up which are expected to take several months. This will ensure that the Office for Environmental Protection can be brought into operation and begin exercising its statutory functions as soon as practical after Royal Assent of the Environment Bill.

Parliamentary approval for additional resources of £536,000 for this new service will be sought in an estimate for Department for Environment, Food and Rural Affairs. Pending that approval, urgent expenditure estimated at £536,000 will be met by repayable cash advances from the Contingencies Fund.

This Contingencies Fund advance is in addition to the £215,000 notified to Parliament on 21 July 2020 to cover essential spend including public appointments and minimal staff recruitment.

[HCWS540]

Oral Answers to Questions

George Eustice Excerpts

Thursday 15th October 2020 Commons Chamber

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

What steps he is taking to protect the countryside.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

I am delighted to give my hon. Friend the Minister a rest from the Dispatch Box after a marathon session.

Within the rich diversity of the English countryside, our existing national parks, areas of outstanding natural beauty and sites of special scientific interest have the highest status of protection. The Prime Minister has signalled our ambition in this area and is committed to protect 30% of our terrestrial land by 2030. The £640 million Nature4Climate fund announced in this year’s Budget will drive our progress towards this goal.

[Mr Sheerman [V]]

The Secretary of State will know that he is popular in the House, and he is a very mild-mannered, pleasant chap. I want him to turn into some sort of ravening big beast, because he has been in the job nine months, and we have soil degradation, habitat loss and species extinction, while none of our rivers and streams is fit to paddle in, let alone swim in. When is he going to wake up to the crisis that is facing our countryside and do something about it? It is not, “What’s the plan, Stan?”; it is “What’s the plan, George?”

[George Eustice]

The hon. Gentleman paints an accurate picture of the environmental degradation that has taken place, particularly in the past 50 years or so. As we think about the future, it is not enough just to protect particular sites; we need to build back nature in some of these areas. We will be doing that through our new environmental land management policy to replace the common agricultural policy, creating new habitats and creating space for nature. We will also be delivering this through the new approach and governance framework outlined in our Environment Bill.

[Daniel Zeichner (Cambridge) (Lab)]

Our familiar countryside is as it is today because of protection and management, but, as we have heard, the Environment Bill that is needed to maintain that protection has gone missing, and financial support for farmers, who of course do so much to manage our countryside, is just weeks away from major upheaval. The Secretary of State talks about sustainable farming initiatives without bringing any detail to this House, and that is a worry for everybody. Come 1 January, will farmers have the financial information they need to make informed decisions, and will the promised Office for Environmental Protection actually be in place and operating properly?

[George Eustice]

The Environment Bill will be resuming its passage in Committee shortly. The hon. Gentleman will be aware, for instance, that the Government have recently been consulting on our new approach to introduce due diligence in the supply chain to prevent deforestation. There are good reasons why the Bill has been paused while that consultation is considered. In answer to his question, yes, farmers will have all the information they need by next year, and we will begin the transition to the new policy next year.

[Rachel Hopkins (Luton South) (Lab)]

If he will make it his policy to publish an annual league table to assess water companies’ performance on tackling water (a) leaks and (b) wastage.

--- Later in debate ---

[Dr Neil Hudson (Penrith and The Border) (Con)]

What steps he is taking to improve animal welfare standards.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

This country has some of the highest animal welfare standards in the world. We have modernised standards for dog breeding, pet sales and other licensed activities involving animals. We have introduced a world-leading ivory ban and mandatory CCTV in slaughterhouses. Our Agriculture Bill will recognise animal welfare as a public good and reward high standards of animal welfare, and we are also delivering on our manifesto commitments to end excessively long journeys for the fattening and slaughter of farm animals, to ban primates as pets and to introduce new laws on animal sentience.

[Dr Hudson [V]]

As a veterinary surgeon, I was absolutely gutted that the amendment to the Agriculture Bill to uphold our high animal welfare and farming standards in trade deals was defeated this week. I am pleased that the Government have reassured us that products such as chlorinated chicken and hormone-treated beef will remain banned in the UK, but does my right hon. Friend agree that a practical solution to confirm that, along with bans on other products such as ractopamine-fed pork and those with excessive use of antimicrobials or growth promoters, would be to write those products into animal welfare chapters in trade deals? Does he agree that that makes sense and would make it clear that those products are off the table, allowing other acceptable products to be traded, driving up animal welfare standards around the world?

[George Eustice]

We will be using a range of tools to deliver on our manifesto commitment to protect food standards and animal welfare in all the trade agreements that we do, and we have three principal tools that we can use. First, we have the option to prohibit sales, as we already do, for instance, for chlorine-washed chicken and hormones in beef. Secondly, as my hon. Friend points out, we can use the sanitary and phytosanitary chapter, which is a feature of all trade agreements, to dictate the terms of access when it comes to food safety in particular. Thirdly, when it comes to issues such as animal welfare, we will use tariff policy to prevent unfair competition for our farmers.

[Neil Parish (Tiverton and Honiton) (Con)]

What recent discussions he has had with Cabinet colleagues on management of agricultural imports at UK borders after the transition period.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

DEFRA is working with officials across government to ensure that the flow of agricultural imports at UK borders continues after the transition period. We will introduce a phased approach to import controls for EU countries, to give businesses impacted by covid-19 time to adjust, while maintaining biosecurity controls.

[Neil Parish]

As the Environment, Food and Rural Affairs Committee said in its report, covid-19 has showed that we need to get food through the borders very quickly. We have a just-in-time food system, so getting imports in after the transitional period is exceptionally necessary. I am also very concerned about exports. Imports are largely in our hands, but exports are largely in the hands of the French. In any agreement we get, we must ensure that we have the right veterinary certificates, enough vets to write them and a process that will be recognised and honoured when we try to get exports of lamb and beef into the continent, because there will be a real problem otherwise.

[George Eustice]

My hon. Friend makes an important point. We have been doing a lot of work on business readiness with the sector—in particular, with meat processors—to ensure that they understand what will be required of them. Whether or not there is a further agreement with the EU, meat processors will need export health certificates. We have been working with the Animal and Plant Health Agency to ensure that there is capacity in the veterinary profession to deliver those export health certificates, and we are also ensuring that those companies understand the customs procedures that they would need to go through.

[Deidre Brock (Edinburgh North and Leith) (SNP)]

It was recently revealed that the UK Government withheld information from the devolved Administrations about the risk of food shortages at the end of the transition period. How was the Department involved in discussions on that risk, and why were such vital assumptions, which the documents acknowledged would impact on devolved Administrations’ planning, hidden from them for so long?

[George Eustice]

I do not recognise the claim that this was hidden from them. I regularly meet Fergus Ewing and other devolved Administration Ministers to discuss this. They now join the EU Exit Operations Sub-Committee, which is a part of the Cobra Committee, planning for the end of the transition period. The devolved Administrations are fully engaged in all our planning.

[Mr Virendra Sharma (Ealing, Southall) (Lab)]

What steps he is taking with the Secretary of State for International Trade to maintain British food production standards in future trade deals.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

Our manifesto was clear that, in all our trade negotiations, we will not compromise on our high environmental protection, animal welfare and food standards. We have retained in law our existing standards of protection, and we have laid before the House our negotiating objectives, stating that we will uphold them.

[Mr Sharma [V]]

I thank the Secretary of State for his response, but in that case, why did the Government reject the pleas of their own Back Benchers only two days ago to protect our food standards, in line with the manifesto promises they made in December?

[George Eustice]

The answer is simple: we have all the powers that we need in law to deliver our manifesto commitment already. As I said earlier, we will use a range of tools, including tariff policy, to prevent our farmers from being undermined by lower standards of animal welfare in other countries, and the sanitary and phytosanitary chapter of trade agreements. We do not need new powers to be able to deliver on our manifesto commitment.

[Joy Morrissey (Beaconsfield) (Con)]

What steps his Department is taking to help ensure grant schemes are available to (a) homes and (b) businesses affected by flooding.

--- Later in debate ---

[Richard Thomson (Gordon) (SNP)]

What assessment he has made of the effectiveness of the (a) Pick for Britain scheme and (b) seasonal agricultural workers pilot scheme.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

The Pick for Britain campaign generated huge interest—the website has received nearly 2 million unique page views since its launch—resulting in a significant increase in the numbers of UK-based workers filling seasonal roles in horticulture. DEFRA and the Home Office have been working closely to ensure the successful operation of the seasonal workers pilot and to undertake an effective assessment. The evaluation of the pilot is ongoing, and the results will be announced in due course.

[Richard Thomson [V]]

Giving evidence to the Environment, Food and Rural Affairs Committee several weeks ago, the Secretary of State claimed that one third of the seasonal horticultural workforce in 2020 was from the UK workforce. Could the Secretary of State provide the evidence to support that claim, and could he confirm what plans his Department has to meet the industry urgently to plan for next year’s labour requirements?

[George Eustice]

During the last summer season, I had regular dialogue and discussions with a number of companies involved in the horticulture sector. The general picture is that, at the beginning of the season, they did find a reasonably good or significant number of domestic workers who were keen to take these roles, and in many cases it was about a third of the workforce. Anecdotally, the reports are that it then drifted down during the course of the season and was typically below about 20% by the end of the season, but this came from a range of anecdotal evidence provided to us directly by growers.

[Barry Gardiner (Brent North) (Lab)]

If he will make a statement on his departmental responsibilities.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

Next year is a really important year for the environment internationally, with the UK hosting COP26 on climate change in October, but also with the convention on biological diversity taking place, where biodiversity targets to replace the Aichi targets will be agreed. The UK has been working on a leaders’ pledge for nature, which over 70 world leaders have now signed. We are also working to secure better targets on biodiversity and to make nature-based solutions a key part of our approach to tackling climate change.

[Barry Gardiner]

The world needs to stop the loss of species and endangered species need the conservation work of zoos, so I applauded when the Government announced their £100 million package to support zoos and the vital conservation work they do, but then I discovered the eligibility criterion that they must have less than 12 weeks’ reserves. The trustees of any zoo with less than 12 weeks’ reserves would already have declared voluntary liquidation, so will the Secretary of State look again at the criterion, replace it with one based on percentage of revenue lost and—

[Mr Speaker]

Order. Topicals are short and punchy, not full questions, please. This is to help other people, and to help me get through the list. I care about other colleagues even if colleagues do not care about each other.

[George Eustice]

I understand the point the hon. Gentleman was making. It is important to note that we had a smaller zoo fund to support small zoos, which was announced earlier. This fund is for the very large zoos, and many of them do have large reserves. It is right that we expect them to use those reserves before they come to us, but they can apply for the fund before those reserves run out, and we have increased it from six weeks to 12 weeks.

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

  The Agriculture Bill has prompted a lot of discussion within parties, but does my right hon. Friend not agree with me—surely the whole House agrees—that the creation of a framework to allow the fair distribution of the meat levy across the United Kingdom is a very good thing? The Scottish livestock sector has been calling for it for many years.

[George Eustice]

There has been a problem for some years in the fact that the levy is collected at the point of slaughter, and Scottish farmers have raised with us a concern that animals crossing the border meant they did not capture all of the levy. We have now put in place the powers to address that, which is indeed very good news for our Scottish farmers.

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

Can the Secretary of State confirm that he has a plan to let food produced to lower standards in to Britain if a few extra pence is charged on tariffs, meaning that our farmers will still be undercut if tariff protection is introduced as an excuse to allowing lower quality food into our country?

[George Eustice]

I think the hon. Gentleman perhaps misunderstands the current situation in that it is already possible for these countries to sell us goods at a particular tariff provided they meet our sanitary and phytosanitary standards, and that will not change. However, tariff policy is the best tool in the box to address issues such as animal welfare.

[Damien Moore (Southport) (Con)]

What steps is my right hon. Friend taking to maintain food standards at the end of the transition period, so that there is no cliff edge in food standards?

[George Eustice]

At the end of the transition period, the existing animal welfare regulations and the prohibition on sale, for instance, of hormones in beef will be retained in UK law, but our new Agriculture Bill will also strengthen animal welfare and reward farmers for high systems of animal welfare.

[Emma Hardy (Kingston upon Hull West and Hessle) (Lab)]

Will the Secretary of State explain what the Government are putting in place, in the event of a deal not being concluded by 31 December, to allow the UK distant waters fishing fleet to continue to fish for Arctic cod?

[George Eustice]

There has been a long-standing arrangement between Norway and the EU under which, broadly speaking, Norway has some access to blue whiting in the North sea and in return the EU—we have a share of this—has some access to Arctic cod. Those negotiations are about to commence again. This year there will be an EU-Norway bilateral to decide these matters.

[Paul Girvan (South Antrim) (DUP)]

Concerns have been raised about the possible requirement for pet passports after the transition period. People from Northern Ireland want to know that, as part of the United Kingdom, they will have the same right to travel to the UK with their dogs, particularly guide dogs, without additional documentation or pet passports.

[George Eustice]

The hon. Gentleman raises an important point. We are aware of this, and it is one of the issues that we are seeking to address at a technical level and through the Joint Committee process for resolving how these finer details of the Northern Ireland protocol will work.

[Jane Hunt (Loughborough) (Con)]

Farmers are being sold short on payments for their milk. That is destabilising the market and is not providing a fair price to farmers from processors. Please will the Secretary of State say what he plans to do to rectify this, and please will he have a meeting with one of my dairy farmers, Mr Andrew Birkle?

[George Eustice]

Earlier this summer, we issued a consultation on having mandatory contracts in the dairy sector. That is something that I have long felt is important, since dairy farmers, perhaps more than any others, all too often are price takers. We will be considering that consultation and the responses we received, and we intend to bring forward legislation under the future agriculture Bill. I will of course be delighted to meet my hon. Friend’s constituent.

[Jessica Morden (Newport East) (Lab)]

Food price increases due to harvests and Brexit, combined with cuts in support for those needing help in the pandemic, will hit the poorest families in our communities hardest. In the light of Louise Casey’s comments this morning, what is the Government’s plan to tackle food poverty, and will they follow the Welsh Government in guaranteeing free school meals during holidays until Easter 2021?

[George Eustice]

We introduced a number of measures to support those struggling to afford food during the initial lockdown and over the summer months. It is the case that, as unemployment rises, we are likely to see more such need, so the Government keep this under review. Obviously, through projects such as FareShare, we do support the redistribution of food to help those people, but we keep all these matters under review.

[Jonathan Gullis (Stoke-on-Trent North) (Con)]

Cleaner air for residents in Stoke-on-Trent North, Kidsgrove and Talke is a priority for me and my neighbouring colleagues. The air quality directive from my right hon. Friend’s Department to close key roads in the city of Stoke-on-Trent, however, is not the solution to the problem. We have recently seen a drop in the level of dangerous emissions at key locations, and we are no longer above the Government’s threshold, so will my right hon. Friend meet me urgently to discuss a review of this project and enable Stoke-on-Trent City Council and Newcastle-under-Lyme Borough Council to offer a range of alternative methods?

[George Eustice]

My hon. Friend makes an important point. Of course I would be happy to meet him to discuss this matter. I think that the Under-Secretary of State for Environment, Food and Rural Affairs, my hon. Friend the Member for Taunton Deane (Rebecca Pow), has already met him and others to discuss it, but we are of course happy to meet again.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Fruit and vegetable growers have relied on skilled European seasonal workers to get food into shops and stop it rotting in the fields. The Secretary of State’s idea to fill vacancies is to use the unemployed in the UK. How does he think horticultural work can be taken on by people who do not have the relevant skills or experience?

[George Eustice]

I used to run a strawberry farm, so I am familiar with this challenge, but everybody needs to be trained at some point to do this sort of work, whether they are a foreign worker or a domestic worker. We are looking at the mix of this and are in discussions with the Home Office about arrangements for next year.

The hon. Member for Perth and North Perthshire, representing the House of Commons Commission, was asked—

Oral Answers to Questions

George Eustice Excerpts

Thursday 10th September 2020 Commons Chamber

[Seema Malhotra (Feltham and Heston) (Lab/Co-op)]

What steps he is taking with Cabinet colleagues to protect British food production standards in trade deals.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

We have a manifesto commitment that, in all our trade negotiations, we will not compromise on our high environmental, animal welfare and food standards. We have retained in law our existing standards of protection. We have laid before the House our negotiating objectives, stating that we will uphold those, and we most recently established the Trade and Agriculture Commission.

[Seema Malhotra]

Many of my constituents, including Nimmi Soni, have written to me with their concerns about the Government’s commitment to protecting food standards. The Secretary of State is right that his party’s manifesto promised not to compromise on food standards in trade deals, but twice—twice—the Government have refused to support Labour amendments to put that into law. If over 70% of people do not want us selling food imported from countries with lower food standards, and more than 1 million people have signed a National Farmers Union petition for British food standards to be put into law, why are the Government refusing to do what the public want and expect? The country has a right to know.

[George Eustice]

In retained EU law, we have indeed put in place the existing prohibitions on the sale of, for instance, poultry washed with chlorine and beef treated with hormones. We have legal prohibitions and our own legal bans on certain practices. Those remain in place and will not change.

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

Yesterday was Back British Farming Day, but while our farmers are at risk of being undercut in future trade deals, it will take more than just one day of wheatsheaf wearing to protect them. Will the Secretary of State support the amendment in the House of Lords to put the Trade and Agriculture Commission on firmer footing, especially to offset the clear conflict of interest of Tony Abbott negotiating agricultural trade deals with Australia that could risk British farmers’ livelihoods further?

[George Eustice]

Tony Abbott is one of a number of people on the Board of Trade. Their role is to champion British exports overseas. They do not decide Government policy or the Government’s negotiating mandate; those negotiations are led by the Secretary of State for International Trade. We have set up a food and agriculture and trade standards commission. That has been done and it is already meeting. It does not need to be placed on a statutory footing.

[Deidre Brock (Edinburgh North and Leith) (SNP)]

Nancy Pelosi and several other American politicians have said that there will be no trade deal with the US if the UK reneges on treaties that it has signed up to, as the Government intend to do with the EU withdrawal agreement. Given that the UK Government dumped food standards from the Agriculture Bill to pursue a US deal that now appears dead, what options will the Secretary of State be looking at to restore those protections, and can we see guarantees on food standards for imports written into law?

[George Eustice]

There are a number of ways in which we secure standards on food imports. One is through the prohibitions on sale, as I have already mentioned, which include things such as poultry washed with chlorine or hormones in beef. There is the sanitary and phytosanitary chapter that exists in every trade deal that sets out our requirements for food safety and food standards of food coming in. Finally, of course, we use tariff policy to take account of certain practices in other countries.

[Patricia Gibson (North Ayrshire and Arran) (SNP)]

What advice has the Secretary of State asked for or been given about the liability of the UK Government for damages arising from their failure to ensure that our current standards are upheld in any future trade deal? Will the Government be prepared to compensate farmers and other food producers whose businesses suffer as a result? Will consumers whose health is affected similarly be entitled to compensation?

[George Eustice]

There will be no need for compensation as this Government will protect and uphold our food standards.

[Gavin Newlands (Paisley and Renfrewshire North) (SNP)]

Food standards and geographical protections go hand in hand, and despite the Secretary of State’s earlier answer to my hon. Friend the Member for Edinburgh North and Leith (Deidre Brock), this Government are giving up on food standards and trade deals and are abandoning the EU’s protections on protected geographical indications. Those actions threaten Scotland’s high-quality produce, including whisky. What reassurances can he give to the whisky workers in my constituency that their industry will be protected, and will the Government do a welcome U-turn and seek to rejoin the EU’s protected geographical indication scheme?

[George Eustice]

We will not rejoin the EU’s scheme, but the withdrawal agreement makes provision in the area of protected food names and PGI s, and there will be recognition of the existing ones that have been set out. In addition, we will be establishing our own independent PGI and protected food name scheme to take new applications after we leave.

[Ruth Cadbury (Brentford and Isleworth) (Lab)]

What representations he has received on the potential merits of amending the Environment Bill’s provisions on air quality.

--- Later in debate ---

[Danny Kruger (Devizes) (Con)]

What plans he has to promote UK-grown produce in the domestic market.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

The Government are determined to help our farmers and food producers to increase sales domestically and internationally. We welcome efforts from all parts of the food chain to promote UK produce, including the promotional work done by groups like the Agriculture and Horticulture Development Board. We have recently co-funded a consumer-facing milk campaign. We continue to work with the AHDB and others on future promotional work.

[Danny Kruger]

I thank the Secretary of State for that answer, which is very welcome indeed. Does he agree that food produced in other countries using techniques that drive up yield and drive down costs but are illegal here in the UK should be subject to import tariffs that make those techniques economically pointless?

[George Eustice]

I do agree with my hon. Friend. The use of tariff policy to protect producers and to safeguard against certain types of production is indeed a legitimate use of tariff policy, alongside other measures such as the sanitary and phytosanitary chapter that we are negotiating.

[Ian Byrne (Liverpool, West Derby) (Lab)]

What steps he is taking to ensure the accessibility of (a) healthy and (b) sustainable food.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

We have commissioned the national food strategy independent review. Other Government policies are addressing healthy food provision, including the tackling obesity strategy, healthy start vouchers and free school meals. Sustainable food production is absolutely at the heart of our future agriculture policy.

[Ian Byrne]

I thank the Secretary of State for that answer. Local welfare provision can be a lifeline for families on the brink of food poverty. That is why I warmly welcome the Department’s funding allocation of £63 million of emergency support back in July. I am growing increasingly concerned, however, that this funding is due to expire in October, at the same time that the furlough scheme is drawing to a close, food bank use is rocketing and we will be in the midst of a recession. What future funding will the Department allocate for local welfare provision?

[George Eustice]

We have put in place a number of interventions to help people struggling with food affordability, particularly in lockdown and its aftermath. We continue to keep all these policies under review. We have the free school meals voucher system that ran, as the hon. Gentleman says, over the summer, and there are other measures that we have been working on with local authorities.

[Chris Loder (West Dorset) (Con)]

What steps his Department is taking to ensure that small farmers obtain a fair price from supermarkets for their produce. [R]

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

We want farmers to get a fair price for their produce, and the Government are committed to tackling the contractual unfairness that exists in the agrifood supply chain. Through the Agriculture Bill, we are seeking to strengthen the position of farmers by improving transparency in the supply chain, and there are new powers in the Bill to introduce statutory codes of contractual practice.

[Chris Loder]

I thank my right hon. Friend for his reply, but the supermarket Sainsbury’s is threatening to tear up the contracts of small dairy farmers in West Dorset that supply it with milk if they refuse to sell it a percentage of their calves. Does he agree that Sainsbury’s is abusing its dominant position, and will he support me in defending small farmers across the country from these predatory supermarkets?

[George Eustice]

I am happy to meet my hon. Friend to discuss this issue in more detail. We now have in place the groceries code adjudicator, which regulates the types of contracts that supermarkets can put in place and precludes certain practices, but through the Agriculture Bill, we can go further and stipulate further requirements in contracts in future.

[Harriett Baldwin (West Worcestershire) (Con)]

What steps he is taking to increase flood defences.

--- Later in debate ---

[Andrew Griffith (Arundel and South Downs) (Con)]

If he will make a statement on his departmental responsibilities.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

As we approach the end of the transition period, DEFRA’s primary focus will be on putting in place all the necessary legislation for January, working with industry to ensure that we are ready for change, and putting in place the necessary capacity to enable us to deliver a smooth transition to becoming an independent country.

[Andrew Griffith]

What is my right hon. Friend’s Department doing ahead of the upcoming winter to improve the fluvial transport capacity of the Rivers Arun and Adur, which is of great concern to farmers in my constituency of Arundel and South Downs?

[George Eustice]

The Environment Agency has completed capital schemes to reduce flood risk at Shoreham, Littlehampton and Arundel. Three maintenance projects on the Arun are due to be completed before winter, on the River Stor and at Greatham and Hardham.

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

Seventy-nine per cent. of the climate citizens’ assembly agreed that economic recovery after covid must be designed to help to drive net zero, including through greater reliance on local food production and healthier diets. Will the Secretary of State commit his Department to review those findings and act on them?

[George Eustice]

We are already running our own reviews in those policy areas through the national food strategy, which is run by Henry Dimbleby. Indeed, the powers in the Agriculture Bill give us precisely the ability to support local projects.

[James Wild (North West Norfolk) (Con)]

Two weeks ago, on a farm in Gayton in my constituency, I saw the damage being caused to the sugar beet crop by yellow virus. Will Ministers look seriously at the request from British Sugar and growers across Norfolk and elsewhere to follow the French example of a temporary derogation in respect of neonicotinoid seed treatments, to allow the industry to tackle the immediate issue while working on longer-term solutions?

[George Eustice]

The Government recognise that sugar beet growers face yield losses this year because of the difficulties in controlling aphids. We support the restrictions on neonicotinoids to protect pollinators, but we have always been clear that we remain open to applications for emergency authorisations under the current rules.

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

The Secretary of State’s response to my hon. Friend the Member for Plymouth, Sutton and Devonport (Luke Pollard) was slightly disappointing. The climate assembly was made up of 108 people, from all walks of life and from throughout the country, who considered the evidence and gave their time. The report makes evidence-based recommendations on how we should reach net zero by 2050. May I push the Secretary of State to give assurances that he will consider those recommendations and not give the climate assembly participants a slap in the face? Will he also ensure that recommendations are appropriately incorporated into legislation?

[George Eustice]

We are always open to recommendations, suggestions and proposals from people in all walks of life, whether they are on any type of formal committee or not. The point I was making was that we have our own national food strategy, which is itself running a large engagement process to engage people in many of these ideas. We will of course consider those ideas as we put together future policy.

[Mark Menzies (Fylde) (Con) [V]]

In recent years, flooding Ministers have worked with me to deliver the multi-million pound Lytham Dock Road pumping station and the £17.4 million Church Scar sea defences. We now need that same level of focus to address considerable inland flooding in parts of Fylde. Will Ministers meet me to discuss how we tackle that challenge?

[George Eustice]

I am more than happy to meet my hon. Friend to discuss these issues. But since 2010, the Government have invested £181 million in flood defences in Lancashire to better protect about 37,000 homes, and over the next two years the Government plan to invest a further £21.6 million to support inland fluvial and coastal defence schemes, and better protect nearly 5,000 homes.

[Alex Norris (Nottingham North) (Lab/Co-op)]

One of the Government’s biggest successes during this pandemic has been their work with FareShare, which has allowed local food charities in my constituency, such as Evolve and Bestop, to get food out to vulnerable people. The DEFRA funding involved has diverted fresh food away from waste to those who really need it. Clearly, we have a long way to go in this pandemic, so is the Secretary of State considering extending this funding?

[George Eustice]

We work closely with FareShare, as we always have. As the hon. Gentleman points out, we did make available some additional funding to help it to support the financially vulnerable during this pandemic. Obviously, as we go into winter we keep all these matters under review.

[Tom Randall (Gedling) (Con)]

One of the biggest issues that Gedling residents have written to me about since my election is the culling of badgers. I recently met representatives of the Nottinghamshire Wildlife Trust to hear more about the issue and the vaccination programme it is running, with DEFRA funding. Although it is important to follow the science in the decision making, there are concerns that the cull will eradicate some badger populations. Could my right hon. Friend tell me what criteria were used to determine the next areas where the culling will take place and what the extent of it will be?

[George Eustice]

My hon. Friend raises an important point. In our response to the Godfrey review, we set out our approach to dealing with bovine tuberculosis in the next five years. In response to the specific question, we look at epidemiological assessments in individual areas to see where particular strains are present in both badgers and cattle, and that drives the decisions about where culling is necessary.

[Kerry McCarthy (Bristol East) (Lab)]

  The Minister’s earlier answer on deforestation simply was not good enough. Why are the Government only consulting on due diligence measures to cover illegal deforestation, given that we know that many of the activities contributing to deforestation, for example, in the Amazon, are legal and that Bolsonaro for one is relaxing legal protections? We do not need a consultation to tell us that UK companies should not be complicit in destroying the Amazon, so will the Minister look at and support my amendment to the Environment Bill, which would require due diligence across the board?

[George Eustice]

As the Minister said earlier, we have a consultation out at the moment, and people will no doubt respond to it. But the evidence we have is that actually many of these countries do have laws in place and the issue is a failure to enforce those laws, and that is why we have consulted on that basis.

[Kenny MacAskill (East Lothian) (SNP) [V]]

Fishing communities in my constituency were devastated by the terms negotiated by a Tory Government for European Economic Community membership. Now what little remains is threatened by Brexit negotiations and the Fisheries Bill. Fifty years on, what has changed, other than the constant sell-out of Scottish fishing communities?

[George Eustice]

I fundamentally disagree with the point made by the hon. Gentleman. It was indeed against the interests of the fishing industry, right across the UK, to join the European Union and the common fisheries policy, which has meant that we have access to only half the fish in our own waters. Leaving the EU means that we can rectify that and get a fair deal for fishermen in every part of the UK, which is why the Scottish industry strongly supports the approach of the British Government.

[George Freeman (Mid Norfolk) (Con) (V)]

Following the outbreak of covid among staff of Banham Poultry, in my constituency, more than three weeks ago, the company has had to shut down its plants, and slaughter or sell millions of pounds-worth of its chickens to competitors for pennies, without the compensation it would normally receive for culling in relation to animal health, incurring losses of about £2 million a week. The two family shareholders have made it clear that that is unsustainable without any signal of Government support or progress towards reopening. Given that the company received no help earlier in the year through covid interruption schemes or furloughing, because it was rightly deemed a strategic food business, and has had no compensation for culling, can my right hon. Friend give some signal today, before the company’s emergency general meeting tomorrow, that the talks with Government in the past fortnight will lead to some financial support, to avoid the loss of an historic business and local economic devastation?

[George Eustice]

I thank my hon. Friend for that question. I had a meeting with my officials yesterday to discuss the case. We understand the difficulties that Banham Poultry is facing, and I know that our officials are in constant dialogue with the company, as are officials in other Departments, including Public Health England and the Treasury.

[Munira Wilson (Twickenham) (LD)]

WWF has today published the “Living Planet” report, which paints a shocking picture of global biodiversity loss. However, it also finds that we can restore nature by taking urgent action on conservation and on how we produce and consume food. The Secretary of State mentioned his manifesto commitments on maintaining high environmental standards in trade deals. How can we trust those commitments when this Government cannot even stand by international law?

[George Eustice]

The WWF report is a wake-up call for everybody around the world. At the heart of every piece of policy in DEFRA is the intention to build back nature, including through our agriculture policy, where we are encouraging sustainable agriculture; through the new targets and governance framework in the Environment Bill; through our approach to sustainable fisheries; and through our work on due diligence in the supply chain. This is a crucial time, and the UK is a world leader here. We have COP26 and the convention on biodiversity, which we will be involved with next year, and we will be championing the environment in all those international forums.

The right hon. Member for East Hampshire, representing the Parliamentary Works Sponsor Body, was asked—

Fisheries Bill [Lords]

George Eustice Excerpts

Ways and Means resolution & 2nd reading & 2nd reading: House of Commons & Money resolution & Money resolution: House of Commons & Programme motion & Programme motion: House of Commons & Ways and Means resolution: House of Commons
Tuesday 1st September 2020 Commons Chamber

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

I beg to move, That the Bill be now read a Second time.

Fishing is at the heart of coastal communities the length and breadth of the United Kingdom, from the Shetland Islands all the way down to Cornwall and some of the communities that I represent. Across the UK, the seafood sector employs about 33,000 people in often dangerous work, and I would like to take this opportunity to pay tribute to all our fishermen, who risk the perils of the sea to bring fish to our tables, and, in particular, to remember the six fishermen who sadly lost their lives last year.

Of course, the industry has also been hit hard by the impact of the coronavirus on the export of fish, but once again, our resilient fishing communities have shown real ingenuity by finding new ways to sell fresh fish direct to our doors. However, the common fisheries policy has long been seen by these coastal communities as a policy that symbolised the unfairness of our EU membership and the failure of EU policy. It has granted uncontrolled access to UK waters for EU vessels. It has given the European Commission the legal right to trade UK fishing interests during international negotiations with our neighbours such as Norway and the Faroes, and the principle of relative stability has set in stone an anachronistic methodology for sharing quota dating back to the 1970s, which is profoundly unfair to the UK fleet and does not reflect the quantity of fish found in British waters.

For example, under relative stability, we receive just 10% of the overall quota for Celtic sea haddock, but our zonal attachment analysis suggests that our share should be around 50%. Overall, the UK fishing industry currently has access to just around half of the fishing opportunities that are in our waters, and that cannot be right. The CFP has also failed our marine environment. The misallocation of fishing opportunities combined with ill-conceived technical measures and a cumbersome decision-making process that is slow to correct errors, have all taken their toll on the health of our marine environment and the resources in our waters.

As we leave the European Union, we have the opportunity for the first time in almost half a century to correct these shortcomings. The Bill before the House today gives the UK the powers that it needs to chart a new course as an independent coastal state. It gives us the powers we need to implement the approach that we outlined in our fisheries White Paper published in 2018. The Bill sets out in statute the environmental and scientific principles and objectives that will inform future policy. It creates a legal requirement for a joint fisheries statement across the UK Administrations relating to those objectives, and it creates a legal requirement for the preparation of a series of fisheries management plans to ensure that continuous progress towards our objectives is secured.

The Bill also gives us the power to control access by individual foreign vessels to our exclusive economic zone. This includes the power to stipulate, through a vessel licence, where in our EEZ a vessel may fish, when it may fish there, what fish it may catch while there, and what type of fishing gear it may or may not use. The ability to control and manage access to our waters will be crucial to ensuring that a fairer sharing arrangement prevails in future.

[Jonathan Edwards (Carmarthen East and Dinefwr) (Ind)]

Like many right hon. and hon. Members, I suspect, I have received emails from campaigners calling for a ban on super-trawlers in UK countries’ fisheries’ waters. My understanding is that there is no UK-registered super-trawler. I suppose that many citizens will be perplexed as to why there is no mention of this in the Bill. Is it not the reality that these provisions will be made in future trade deals rather than in legislation coming from this House?

[George Eustice]

The hon. Gentleman is wrong in that the Bill does provide the powers for us to exclude all these trawlers through the licence conditions that we have, and that is not affected at all by any trade deals. The reason the super-trawlers are there at the moment is that they are allowed to be under EU law. Some of them are registered in countries such as, for instance, Lithuania. Under EU law, they are allowed to fish in our waters and there is nothing we can do about it. If the House passes this Bill, we will be able to exclude those vessels if that is our choice.

The Bill also gives us the power to modify and introduce technical conservation measures relating to matters such as the type of fishing gear that can be used, and other requirements relating to equipment or area-based restrictions that help to conserve our marine environment and preserve stocks.

[Sir Edward Leigh (Gainsborough) (Con)]

The Minister talks about the welfare of fishermen. Apostleship of the Sea tells me that the industry after Brexit will be just as reliant, perhaps even more reliant, on non-European Economic Area nationals. They enter this country, or this industry, under a very opaque system that almost pretends they are not there. As a result, they have no rights and are often abused in the workplace. After Brexit, can we ensure that we work with the fishing industry and other regulatory mechanisms to ensure that these people are properly cared for and we have a robust visa system?

[George Eustice]

My right hon. Friend makes an important point. He is right that there is, in some sections of the fleet, quite a reliance on non-EEA crews. This issue has been raised. Of course, as we leave the European Union, we will also have an independent immigration policy. The issue that he addresses is very much one for the Home Office and for future immigration policy. But of course, as an independent country, we are free to make changes that we deem necessary or appropriate.

I know that there will be a great deal of interest in the House in the ongoing negotiations with the European Union and whether a future partnership agreement will include a fisheries partnership agreement. However, I would say to hon. Members that it is very important today to focus on the contents of this Bill. The powers in this Bill will be needed whether or not there is a further negotiated outcome on a future partnership with the European Union. The Bill does not prescribe a particular outcome but gives us the powers that are needed irrespective of that outcome.

I turn now to some of the specific clauses. The objectives set out in clause 1 range from the ecosystems objective and the scientific evidence objective to the newly introduced climate change objective, putting sustainability at the heart of a new framework for managing our fisheries. As we become an independent coastal state, we are taking back control of fisheries in the UK’s exclusive economic zone and leaving behind the outdated common fisheries policy, so clauses 12 to 19 of the Bill end the automatic access to UK waters for EU vessels. As I said earlier, there has long been an historic injustice in the sharing arrangements set in stone under relative stability. However, the CFP has also previously prevented us from extending certain technical conservation measures required of our own vessels to EU vessels accessing our waters. Schedule 2 extends to foreign vessels for the first time the technical statutory instruments that protect, for instance, undersized or vulnerable stocks.

Clauses 38 and 40 propose powers to bring forward secondary legislation to introduce technical measures for fisheries and to ensure aquatic animal health. Those powers are essential so that we can make timely changes and adaptations to policy, to reflect a changing marine environment. The powers will enable us to follow the latest scientific evidence on fish stocks, respond to technological innovation and make our data collection more effective.

We will be working with the industry, scientists and local communities to develop a more transparent fishing management policy that will help us to achieve healthy fish stocks and a diverse marine ecosystem. The marine environment is complex, and we will make science and sustainability a core component of our approach. We remain committed to ending the wasteful discarding of fish at sea, and we will use a range of tools to ensure that the landing obligation works in practice, as well as in theory, including through the prevention charging scheme, which is introduced under clauses 30 to 34.

[Mrs Sheryll Murray (South East Cornwall) (Con)]

Does my right hon. Friend accept that using our own landing obligation will stop fishermen having to basically tie up because of the silly CFP by-catch rule?

[George Eustice]

My hon. Friend is a long-time expert in fisheries policy, with direct experience of all the difficulties and shortcomings of the CFP, and she makes an important point. We have a particular problem, due to the unfair sharing arrangements under relative stability, of what is called choke species affecting our fleet, where there simply is not enough quota for fishermen to even be able to land their by-catch. As she says, the lack of quota for choke species causes a risk that the fleet has to tie up because they simply do not have the quota available to them. We set out in our White Paper a fairer sharing arrangement, so that there will be fewer choke species, but also an approach to managing discards that will enable us to charge a disincentive charge on fishermen who land out-of-quota stock, rather than force them to discard it at sea in a very wasteful way—so we remove the incentive to target vulnerable species but give fishermen left in a difficult position an option that they can exercise.

[Mr Robert Goodwill (Scarborough and Whitby) (Con)]

Will the Bill allow us to give grant aid to fishermen to have more selective fishing tackle, to enable them to not catch the choke species that cause these problems?

[George Eustice]

My right hon. Friend makes a very important point. I know that he was involved in crafting some of these measures during his time in DEFRA, and I can confirm that those measures remain in place. We have powers in the Bill to make grant payments to fishermen, in particular to support them in fishing in a more sustainable way and investing in the gear that enables them to do that. I was about to come on to that point.

As we plan for our future, we need to recognise the immense value of fishing to our local communities, and we want to ensure that our own industry is able to benefit from the new opportunities that will arise. The powers in clause 35 mean that we can set up new funding schemes and grants to support the development of port infrastructure, the development of our fishing industry and its capacity to manage an increased catch and to manage those sustainability issues.

[Liz Saville Roberts (Dwyfor Meirionnydd) (PC)]

It is, of course, important that we look to the future. Some 95% of the Welsh fishing fleet is under 10 metres in size, and it is essential that, with this Bill, we ensure that they, too, can gain an advantage from this. Will the Secretary of State consider the potential of the quota reserve in enabling that small fleet to go after different species and thus ensure diversity and a more prosperous economic future for Welsh coastal communities?

[George Eustice]

The right hon. Lady raises an important point. We have, over the past five years, significantly increased the amount of quota in the inshore pool managed by the Marine Maritime Organisation to give increased fishing opportunities to the under-10 metre fleet, but we want to go further. Indeed, the White Paper sets out our approach to doing that. In the short-term we will not depart from the fixed-quota-allocations sharing mechanism that we have with vessels, but any new quota that comes as we depart from relative stability will be allocated in a different way. We have said that it is our intention to use some of that increased inward quota to increase opportunities for the inshore fleet.

The fisheries management plans in clauses 6 to 9 will provide a comprehensive framework to manage stocks in a way that respects the devolution settlements and improves accountability. The Bill also sets out, in clause 45, the extension of competence for Senedd Cymru in relation to fisheries to the Welsh offshore zone. That will allow Welsh Ministers to manage the full extent of Welsh waters in future.

My officials have been working closely with all the devolved Administrations. Their collaboration on the Bill has improved it. In fact, on fisheries, the Department for Environment, Food and Rural Affairs has always worked closely with the devolved Administrations. Each December, the UK delegation, in annual fisheries negotiations, is supported by Ministers from all the devolved Administrations. Ministers may come from different political parties, but we all work together to secure the best outcome for the UK fleet. I welcome the fact that the Administrations in Scotland, Wales and Northern Ireland have all indicated that they are happy with the Bill.

I turn now to some of the issues debated in the other place and the amendments that were made there. Our view is that we must avoid the pitfalls of the cumbersome common fisheries policy. That is why, in Committee, the Government will be seeking to remove overly prescriptive amendments to the Bill made in the other place. Although they were well intentioned, they risk becoming counterproductive in practice. We must maintain the flexibility required to develop domestic policy tailored to the needs of the United Kingdom without creating complexity or uncertainty. We owe it to our fishermen and coastal communities to help them to benefit further from the fish caught and landed in UK waters as we take back control. We will therefore seek to overturn clause 18, which is unnecessary in light of the national benefit objective already set out in clause 1 and which reduces the flexibility we currently have in using licence conditions to implement an economic link. The fisheries White Paper made clear that we will be reviewing the economic link conditions in England. The Government are committed to doing so.

[Peter Aldous (Waveney) (Con)]

On that particular point, the Minister is quite right in that what has motivated local communities so much for Brexit is the need for them to gain benefit from that. The economic link is vital for that. Can he perhaps set out when the Government will complete their review of the economic link?

[George Eustice]

My hon. Friend makes a good point. As with all the work we are doing, this work is under way and we will be consulting the industry on it. I am not in a position today to give him an actual date for the completion of that work, but I can assure him—I know he has been a long-time campaigner on this issue—that we take this issue very seriously. We do want to strengthen the economic link. That is likely to include requirements on vessels to land more of their catch in UK ports. However, we have to proceed with some caution because the right economic link will vary depending on the species of fish. It is important that we do not inadvertently deny fishermen the ability to sell their fish at the best possible price by requiring them to land everything in the UK. That is why some balance has to be struck.

We will seek to remove clause 27 because a proportion of quotas is already guaranteed to the under-10 metre fleet and neither will the drafting of the clause address the need to attract new entrants. We will also be seeking to overturn clause 48, which is unnecessary and too prescriptive. We already have powers to increase the use of remote electronic monitoring, which we will be able to do once we have a greater understanding of how it would be deployed.

[Jim Shannon (Strangford) (DUP)]

The Minister referred to the viability of the under-10 metre fleet, which is very important to us in Northern Ireland. Just last week the Northern Ireland Fish Producers Organisation gifted an extra quota to the under-10 metre fleet to enable it, with the help of Department of Agriculture, Environment and Rural Affairs in Northern Ireland, to continue to be viable. As the Minister rightly says, it takes all the devolved Administrations, across the whole of the United Kingdom, to work together on behalf of those fleets, which is why the way in which this is managed locally is so important.

[George Eustice]

The hon. Gentleman makes an important point. I know that fishing in Northern Ireland is particularly important to some communities, particularly when it comes to nephrops, and he is right that it has been a long-standing practice that producer organisations with unutilised quota will often gift some of it to the under-10s so that they have access to more fishing opportunities. In the longer term, it is important that we have a better framework to ensure that inshore vessels do not necessarily have to wait for a gift of quota, but have access to a fairer share of the quota in the first place.

We will also be seeking to overturn an amendment made to clause 1 that would seek to create a hierarchy in the objectives. We think this is unnecessary and unhelpful. Environmental objectives have already been given a degree of priority through the requirement for fisheries management plans, which is how we have addressed that issue.

In conclusion, I have always been clear that the UK will continue to be a world leader in promoting sustainable fisheries, so that we stop hammering vulnerable stocks and think about the longer-term future of our marine environment. We must follow the science, and I would like to take this opportunity to pay tribute to our fisheries science agency, CEFAS––the Centre for Environment, Fisheries and Aquaculture Science—which is home to some of the world’s most talented marine scientists. There are wonders swimming around our shores—some 8,500 different species. As an island nation, the UK can show the world that a better approach can deliver more balance, profitable fisheries and an enhanced marine environment. This Bill sets in stone our commitment to improve the health of our seas and gives fishermen the better future they deserve. This Fisheries Bill gives us the powers we need to do all these things as an independent coastal state for the first time in decades, and I commend it to the House.

[Mr Deputy Speaker (Mr Nigel Evans)]

Before I call Luke Pollard, I want to indicate that a six-minute limit will be put on all non-Front-Bench contributions from the very beginning, and it is likely to be reduced further.

Office for Environmental Protection: Contingency Fund Advance

George Eustice Excerpts

Tuesday 21st July 2020 Written Statements

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

DEFRA has sought a repayable cash advance from the Contingencies Fund of £215,000.



The requirement has arisen because there is an urgent requirement to proceed with setting up the Office for Environmental Protection (OEP) in advance of Royal Assent of the Environment Bill.



Under managing public money rules, expenditure to make preparation for the delivery of a new service prior to Royal Assent requires an advance from the Contingencies Fund. The cash advance will pay for essential set up expenditure on public appointments, minimal staff recruitment to begin, and essential services that are needed for establishing for the OEP. The need to spend now in advance of Royal Assent is driven by the necessary timelines associated with recruitment, procurement and set up which are expected to take several months. This will ensure that the OEP can be brought into operation and begin exercising its statutory functions as soon as practical after Royal Assent of the Environment Bill.



Parliamentary approval for additional resources of £215,000 for this new service will be sought in a supplementary estimate for Department for Environment, Food and Rural Affairs. Pending that approval, urgent expenditure estimated at £215,000 will be met by repayable cash advances from the Contingencies Fund.

[HCWS401]

Flood and Coastal Erosion Risk Management Policy

George Eustice Excerpts

Tuesday 14th July 2020 Written Statements

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

I recognise the immense impacts that flooding and coastal erosion can have on homes and businesses across the country. That is why this Government are committed to reducing the risk of harm to people, the environment and the economy from flooding and coastal erosion—as shown by our £2.6 billion investment in flood and coastal defences since 2015 to better protect 300,000 homes by 2021.

At the Budget we committed to double our investment in the flood and coastal defence programme in England over the next six years to £5.2 billion which will better protect a further 336,000 properties by 2027. In addition to this record funding, I am today announcing a further investment of up to £170 million to accelerate work on 22 shovel-ready flood defence schemes to boost jobs, businesses and economic growth as part of the economic recovery from coronavirus. These projects will commence in 2020 and 2021 to drive growth and unlock a range of benefits for local economies across the country—from Sheffield to Bude.

As part of the Government’s continuing action to tackle climate change, we have today set out a package of measures to better protect and prepare the country against flooding and coastal erosion for the long-term. I have today published a new flood and coastal erosion risk management policy statement for England which represents the most substantive update to our national effort to tackle flood and coastal erosion risk in a decade—since the Flood and Water Management Act 2010.

I am announcing further details of the £200 million programme which will support 25 local areas to drive innovation to increase resilience to flooding and coastal erosion—and I am proposing to take forward changes to the Flood Re scheme which will accelerate uptake of property flood resilience measures.

The long-term policy statement sets out the Government’s ambition to create a nation more resilient to future flood and coastal erosion risk. It outlines five ambitious policies and over 40 supporting actions which will accelerate progress to better protect and better prepare the country against flooding and coastal erosion in the face of more frequent extreme weather as a result of climate change.

These actions will, not just, reduce the likelihood of flooding and coastal erosion but will also reduce the impacts if flooding does happen. They will work together to increase resilience across the country. The policy statement will encourage wider and more comprehensive action by all those with a part to play to drive down flood risk from every angle through these five policies:

Upgrading and expanding our national flood defences and infrastructure

We will continue to build the new flood defences that the nation needs, investing in more permanent, demountable and temporary defences—building on the success of our £2.6 billion investment to better protect 300,000 properties since 2015. As announced at the Budget, over the next six years, we will invest a record £5.2 billion in the flood and coastal defence programme in England. This will better protect a further 336,000 properties and reduce national flood risk by up to 11% by 2027.

Managing the flow of water more effectively

We will deliver an integrated approach to managing water to better protect communities from flooding and provide wider benefits for water resource management and the environment. As part of this, we will increase the number of water management schemes within and across catchments to reduce flood risk and help manage drought risk. We will also do more to tackle surface water flood risk.

Harnessing the power of nature to reduce flood and coastal erosion risk and achieve multiple benefits

We will double the number of Government funded projects which include nature-based solutions to reduce flood and coastal erosion risk. We will strengthen links between natural flood risk management and wider environmental and social benefits and explore how we can do more to deliver multiple benefits.

Better preparing our communities

We will ensure that every single home currently at high risk of flooding is better protected or better prepared. We will maintain and enhance our planning policies that direct new development away from areas at risk. We will ensure our communities and businesses have the information they need to take ownership of their resilience. Our policies will help to ensure that buildings, important infrastructure sites and key public services are better prepared to manage flood risk. We will work together to support communities, including when flooding happens and in recovery.

Enabling more resilient places through a catchment-based approach

We will adopt a catchment-based approach which means considering the full range of actions that could be taken in an area, upstream and downstream, by a variety of bodies to improve resilience. We will transform the current approach to local flood and coastal erosion risk planning so that every area of England will have a more strategic and comprehensive local plan by 2026 which drives long-term local action and investment. In areas facing significant coastal erosion and impacts from sea levels rising, we will support local areas to implement long-term plans to manage risk.

Alongside the policy statement, the Environment Agency will shortly lay before Parliament its National Flood and Coastal Erosion Risk Management Strategy for England. The strategy which will provide direction to the work of risk management authorities on the ground and includes strategic objectives to improve the resilience of the nation through to 2100.

The new £200 million innovative resilience programme will test and demonstrate actions which are needed to deliver the ambition outlined in the policy statement. As well as delivering innovative actions in 25 selected areas, the evidence gained from the programme will enable successful approaches to be identified and implemented more widely.

In July 2019 Flood Re published its first quinquennial review into the scheme—a legislative requirement every five years—and made a number of proposals to Government. Having carefully considered these proposals I am today announcing that we will consult on a number of them, including some proposals which go further in order to increase the uptake of property flood resilience and better support customers and insurers to recognise the benefits. The proposals will improve the efficiency and effectiveness of the scheme and incentivise the use of property flood resilience measures to make properties more resilient to flooding.

The actions the Government are committing to today will strengthen our approach to tackling flood and coastal erosion risk for the long-term and demonstrates the UK’s world-leading work to tackle climate change. They will improve our health and wellbeing, enhance our environment and support our economic recovery. Taken together this means that our country will be significantly more resilient to flooding and coastal erosion and will ensure that every place can thrive in a changing climate.

[HCWS360]

Oral Answers to Questions

George Eustice Excerpts

Thursday 25th June 2020 Commons Chamber

[Simon Baynes (Clwyd South) (Con)]

What steps he is taking to support the dairy industry during the covid-19 outbreak.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

The Government have had to take some unprecedented steps to control the coronavirus, and it is the case that parts of the dairy industry were affected by the closure of the hospitality sector earlier in March. We have introduced specific measures to support the industry, including a dairy response fund, which opened for applications on 18 June. Payments will begin from 6 July. We have also relaxed elements of competition law, and we are supporting an industry-led promotional campaign.

[Simon Baynes]

Would my right hon. Friend be able to work with the Welsh Government to secure greater milk processing capacity in order to add value back to Welsh dairy farmers, particularly in my constituency of Clwyd South, which has been hit hard by the demise of Tomlinson’s Dairies and by bovine TB, so that all farmers can get a fair price for their world-beating Welsh milk?

[George Eustice]

My hon. Friend makes an important point. The Government do indeed work with the devolved Administrations to improve outcomes for our dairy farmers. Indeed, just yesterday, jointly with the devolved Administration, we launched a consultation seeking views from dairy farmers and processors on new regulations to secure transparency and fairness in dairy contracts. As he points out, there are also circumstances where grant funding can be made available to support investment in processing capacity, and that can help add value to the milk produced by our farmers.

[Grahame Morris (Easington) (Lab)]

What steps he is taking to protect British food standards under dual tariff proposals.

[Abena Oppong-Asare (Erith and Thamesmead) (Lab)]

What steps he is taking to protect British food standards under dual tariff proposals.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

Like all Conservative Members, I am proud to have stood on a manifesto commitment that, in all our trade negotiations, we will not compromise on our high environmental protection, animal welfare and food standards. The Secretary of State for International Trade and I are working together to deliver that commitment.

[Grahame Morris [V]]

I thank the Secretary of State for that response, but will he restate that he is still willing to stand by his party’s manifesto commitment to put that into law to prevent food from being imported into the United Kingdom that is produced in ways that would be illegal under current legislation? I am thinking particularly about chlorinated chicken.

[George Eustice]

Retained European law brings across a prohibition on treatments such as chlorine washes on chicken and, indeed, hormone treatments on beef. The Government have made it clear that those have been brought across and remain in place. We also stand by our manifesto commitment, which was to protect our food standards and animal welfare standards in trade agreements, but we did not ever say that we would legislate in the Agriculture Bill to do that.

[Abena Oppong-Asare]

Can the Secretary of State explain exactly how a dual tariff would prevent British consumers from having to accept imported food produced by causing animals unnecessary suffering, and how he will support British farmers striving to produce a high standard of food?

[George Eustice]

The hon. Lady makes reference to media speculation. I am sure hon. Members will understand that I cannot give a running commentary on our discussions on a future trade agreement or comment on such media speculation, but I will say that there are many ways, through a trade deal, that a country can agree with another country how to protect food standards—both food safety and animal welfare.

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

The public do not want our British farmers to be undercut by food produced to lower standards abroad. Research by Which? published today shows that eight out of 10 people are worried that trade deals will risk our high animal welfare standards. With the National Farmers Union petition now on 1 million names, it is clear that Ministers are on the wrong side of the argument here, so does the Environment Secretary need any more help convincing the International Trade Secretary to put the Conservative manifesto promise into law?

[George Eustice]

The International Trade Secretary and I are both absolutely committed to delivering our manifesto commitments, but we also have a manifesto commitment to expand the number of free trade agreements that we have, and it is also the case that the UK farming industry has offensive interests, particularly in dairy and in meat such as pork, lamb and beef, in other countries, particularly Asian markets. We want to expand the number of free trade agreements that we have to create opportunities for our industry but also to protect our standards, and that is exactly what we will do.

[Luke Pollard]

I think we all know that the Department for Environment, Food and Rural Affairs ministerial team are part of the eight out of 10 who are worried about animal welfare in trade agreements, but may I press the Secretary of State on a slightly different issue related to food standards—the outbreaks of covid-19 in food processing plants across the United Kingdom? This is serious. Any outbreak needs to be contained. Food standards matter, and standards for the people who work in those plants also matter. What assessment has the Environment Secretary made of whether meat processing plants and food factories are especially at risk, and what assessment has he made of the low level of statutory sick pay that forces many people to work in those plants instead of staying at home because they simply would not earn enough money to pay their bills if they did so?

[George Eustice]

I pay tribute to all those working in our food sector, including in manufacturing, who have worked very hard to keep food on our plates during these difficult times. The hon. Gentleman makes an important point. We have heard now of three outbreaks linked to meat plants. They have been picked up through the testing and tracing approach that has been adopted and we are reviewing the guidance. We suspect that these outbreaks might have been linked either to canteens or, potentially, to car-sharing arrangements in those plants. We will be revising guidance to ensure that businesses have the approach that they need to prevent further outbreaks in future.

[Deidre Brock (Edinburgh North and Leith) (SNP)]

The EU is clear that tariffs to counteract its green box subsidies will not be acceptable. Will the Secretary of State undertake to ensure that domestic food producers are not disadvantaged by matching those green box subsidies for farmers here?

[George Eustice]

As part of our agreement to leave the European Union, we have been working for a couple of years now jointly with the European Union on splitting the World Trade Organisation schedule, including what is called the aggregate market support boxes—the so-called green boxes and amber boxes—and the UK will have an appropriate share of that green box support in the WTO.

[Lee Anderson (Ashfield) (Con)]

What steps he is taking to support zoos during the covid-19 outbreak.

--- Later in debate ---

[Neil Parish (Tiverton and Honiton) (Con)]

Food insecurity is a great issue, especially with the covid virus. Evidence we are taking in the Select Committee on Environment, Food and Rural Affairs shows that a lot of people are in need of good food. I congratulate the Secretary of State on the system of getting food straight from the farms to those who most need it, but can he extend it even more? I ask because after the pandemic and before the economy recovers properly people are going to need more and more food.

[George Eustice]

My hon. Friend raises an important point. The Government have made available £16 million to partners such as FareShare to ensure that we can get food to thousands of food charities across the country to support those in need. In addition, we have been looking at other ways in which we can support those who are financially vulnerable at this difficult time.

[Mr Richard Holden (North West Durham) (Con)]

What assessment he has made of the potential merits of increasing the number of areas that benefit from the countryside stewardship water quality priority areas scheme.

--- Later in debate ---

[Andy Carter (Warrington South) (Con)]

What steps he is taking to promote British food producers.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

We are promoting British food and drink producers at home and abroad. Just this week, we announced a package of trade and investment measures to help food and drink businesses grow their overseas trade, which includes reinforcing DEFRA’s Food is GREAT campaign and promoting 50 food and drink export champions. We are also supporting domestic campaigns such as the Agriculture and Horticulture Development Board and Dairy UK’s £1 million promotional campaign for milk.

[Andy Carter]

As the Secretary of State will know, Cheshire is not just renowned for its crumbly cheese. Our new potatoes are on the menu at the world’s finest restaurants, and our salt is being used by chefs all over the world to add flavour to fine food. We also have some of the finest farmers’ markets selling food prepared locally to my constituents in Warrington. What plans does my right hon. Friend have to support farmers and food producers in my constituency to navigate the challenging set of market conditions created by covid-19?

[George Eustice]

My hon. Friend makes an important point. His part of Cheshire is famous for its food, particularly its cheese, but also salt and new potatoes. Many parts of our country are renowned for their high-quality local produce, and we want to support farmers to promote that and add value.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op) [V]]

May I push the Secretary of State on this? Does he agree that the future of British agriculture and the British food industry has to be based on quality and shorter supply chains as we come out of this pandemic? Will he join me in calling for an investigation into what is happening in our meat processing plants? Some of them look rather strange. In the four that I have looked at, many of the workers are reluctant to take a test because they would lose money and be isolated. That is a real problem. Could he look into it?

[George Eustice]

I agree with the hon. Gentleman that this country has built a proud record based on the quality of our food and food provenance in particular, and we will maintain that. On the specific point that he raises about outbreaks of coronavirus at three meat plants, we are looking at that and have been investigating the causes of it. We suspect, as I said earlier, that it is linked either to shared transport or canteen areas, and new guidance will be issued to those meat plants.

[Jerome Mayhew (Broadland) (Con)]

What steps he is taking to increase the productivity of UK farms.

--- Later in debate ---

[Paul Bristow (Peterborough) (Con)]

If he will make a statement on his departmental responsibilities.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

The coronavirus has created many challenges for our country, and the response of our key workers throughout the epidemic has been quite extraordinary. As we take the next steps closer to normality, I would like to take this opportunity to record our thanks to all those working in the food supply chain for the phenomenal way they have responded. From farmers to food manufacturers, and from the delivery drivers to all those working in food retail, their response has been truly phenomenal.

[Paul Bristow]

I thank my right hon. Friend for that answer. The agricultural land around Peterborough is some of the best land in the country. With that in mind, could he let us know how he plans to increase UK food and drink exports to emerging markets such as the Gulf?

[George Eustice]

This week, we announced new measures on exports, with export champions to lead the way in opening new markets and to get more of our fantastic food and produce in those overseas markets. I have in recent years attended exhibitions such as Gulfood in the Gulf, where there are indeed many opportunities, particularly for our lamb sector.

[Stephanie Peacock (Barnsley East) (Lab)]

Last November, after the devastating floods, the Prime Minister committed to holding a summit to improve flood defences in the north of England. Can I ask the Secretary of State why, six months on, this summit has not taken place? Can he set a date, and can he confirm that the Prime Minister will honour his commitment and be in attendance?

[George Eustice]

The reason that we have not yet had that summit is quite simple: it is that the coronavirus outbreak has taken up quite a lot of our time and obviously made it very difficult to physically travel to areas. I think it would be better to have a summit such as that physically in the location, rather than it being yet another Zoom meeting. However, I can give the hon. Lady a guarantee that that summit will indeed take place. I gave that commitment and it will happen.

[Christian Wakeford (Bury South) (Con)]

The green belt is rightly described as the green lungs around our towns and cities, and it is rightly cherished by residents across the country, including myself. Can my right hon. Friend advise what cross-Government working has been taking place to promote our manifesto commitment to protect and enhance the green belt, including areas such as Elton reservoir and Simister in my constituency?

[Rachael Maskell (York Central) (Lab/Co-op) [V]]

Animal welfare charities are witnessing a sharp increase in need and this is expected to rise, while hundreds of charity staff in the sector are being made redundant. Some charities are struggling to cover their core costs, animal feed and vet bills. When will the Secretary of State bring forward his strategy and the necessary funding to support these vital animal welfare charities?

[George Eustice]

We are aware that animal welfare charities have suffered from a fall in donations and have had to close during the coronavirus epidemic. There was an application that was considered as part of a charities fund, but we will continue to work with those groups to identify the support that they need.

[Matt Vickers (Stockton South) (Con)]

Many people across Stockton South, including me, enjoy a cheeky Nando’s or a finger-lickin’ good KFC, but we are concerned about the prospect of chlorinated chicken. Can the Minister guarantee that chlorinated chicken will not be on the menu in our trade negotiations, and that we will remain a world leader on food and animal welfare standards?

[George Eustice]

As I explained earlier, in any trade negotiation it will be for the UK to determine what goes into the so-called sanitary and phytosanitary chapter, which addresses these issues. As I also pointed out, there is currently a prohibition on the sale of any poultry treated with a chlorine wash.

[Steve McCabe (Birmingham, Selly Oak) (Lab)]

Some 75,000 people work in meat processing in this country. Meat processing plants have been linked to the spread of the virus in many countries, and we have had convincing evidence from Professor Wood at Cambridge and Professor Semple at Liverpool on the risks at these plants. What measures specific to food processing plants has the Minister put in place?

[George Eustice]

Very early in this crisis, we worked with Public Health England on guidance for these plants. It included, in some cases, spacing out staff on the production line to maintain a distance of 2 metres, and, where that was not possible, ensuring that things were arranged so that staff were facing away from one another. It also involved increased hygiene, new measures on canteens and guidance on car-share arrangements. As I have said, as a result of the three outbreaks that have occurred, we are reviewing those matters.

[Andy Carter (Warrington South) (Con)]

I return to the topic covered by my hon. Friend the Member for Stockton South (Matt Vickers), although I am less of a finger-licker than he is. Many of my constituents in Warrington South have written to me on their concerns about maintaining high food standards in future trade arrangements, many of them driven by misinformation from the Opposition. Does my right hon. Friend agree that sticking with the UK’s high food and animal welfare standards is, among other things, in this Government’s interest, because that is what customers in this country expect and demand from UK food producers?

[George Eustice]

We in this country have built a very sophisticated and valuable market based on the safety of our food, the standards of our food and our high animal welfare standards. We have committed in our manifesto to maintaining those.

[Matt Western (Warwick and Leamington) (Lab)]

Perhaps I could dwell on this finger-licking topic that has come up so frequently. Is not the simple truth that because so much of our food consumption goes through the food services sector—in the likes of prisons, hospitals, schools and the chains of restaurants on our high street—with a great proportion of it, the consumer will never know? That is the great fear. The US does not want labelling or descriptors, so those consumers will never know what they are consuming.

[George Eustice]

The hon. Gentleman makes an important point. Food labelling can improve transparency, particularly in the retail sector, but of course there are limitations in that around 50% of food goes into the food services sector. That is why we will be addressing these matters in our trade agreements.

[Dr Philippa Whitford (Central Ayrshire) (SNP) [V]]

Overuse of antibiotics in animal farming has been identified as contributing to bacterial resistance. With American cattle receiving 13 times the amount of antibiotics that UK herds receive, how does the Minister plan to guard against importing resistant bacteria in US beef?

[George Eustice]

There has been a global effort to tackle antimicrobial resistance and, in particular, to reduce the use of antibiotics in agriculture, especially the critically important antibiotics. The UK is a leader in that and has adopted farm husbandry that has made it possible to reduce the use of antibiotics. We have also worked with international partners, including the United States, to assist them to achieve the same.

The hon. Member for South West Bedfordshire, representing the Church Commissioners, was asked—