(11 years, 11 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
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As a result of this serious incident, several supermarkets in Britain have removed a lot of products from their shelves as a precaution. Does my hon. Friend agree that this demonstrates a responsible attitude on the part of British retailers in dealing with this serious issue?
I think that the great majority of businesses in this country take an extraordinarily responsible attitude to their duties to the consumer. That is precisely the point I am trying to make. It makes it all the more important that where we find that abuse has taken place, we act urgently and effectively to prevent it from happening again.
(12 years ago)
Commons ChamberIt is a pleasure to take part in this debate, as it is directly relevant to my life experience. I am one of the livestock farmers that other Members have been talking about for many years. I have been indirectly involved in the live export trade. In the early part of my career I was a cattle farmer, and nearly all the British male breeding stock has changed since then. We are now using European breeds—Charolais, Limousin and Simmental. The quality of British beef has been completely transformed, therefore, simply through the relationship between this country and other countries. That process is still going on elsewhere.
The main part of my enterprise was producing sheep, however. Exporting to France was particularly common. Most of my stock were sold at the local livestock market, where they were bought by a dealer, who would put together a lorry-load. The standards of those who transported animals were very high. The lorries at the Welshpool livestock market were of a very high standard, and many people were watching the quality of the loading, which was very good.
Some 20 or 30 years ago I would sell my small hill lambs towards the end of the season. The tradition then was to take them to the small market in Llanfair Caereinion from where they were taken to Spain. They were kept in Spain for several weeks, and the feeding regime was changed so the quality of the product was changed. I discussed the whole process with the local transporter, M. E. Edwards and Sons—one of the finest transporters in Britain, with very high standards, who is still operating today. The point was made to me that transporting those lambs served to underpin the lamb trade in rural Wales, and that they were far better treated than lambs supplied from elsewhere to the Spanish market would have been. If the lambs had not been transported from Wales, in what seemed to me to be the highest possible standards, they would have come from other parts of Europe, where standards had not been checked.
I have a lot of sympathy with many of the points made in the debate so far. I am in favour of gold-plating the standards of animal transport. It is a lot more important to ensure there are high transportation standards than to worry about distances. I am not in favour of banning live exports, and it is not entirely logical to concern ourselves with distance. We must make certain that all transport is of the very highest standard, and we should demand that when journeys cross borders, too.
Most of the store cattle at my farm in central Wales were sold to central Scotland, where they were fattened. That journey probably took longer than some of the time scales we are talking about. I cannot see the point of such time limits, and neither do I envisage that they will ever become law.
Let me turn to the question of unintended consequences. When I was in my teens, I was involved in these issues. Many people will remember the demonstrations at Dover. They were a matter of some concern, as they were hugely damaging to the farming industry. The ferry companies felt under public relations pressure, and eventually decided no longer to carry the animals. They were then transferred to Ramsgate, Ipswich or other ports where the standards were far lower. The boats were far less safe and less comfortable for the animals, and the travel time is far greater, and the facilities at the docks are not as good. The unintended consequence of having created that huge rumpus at Dover was a lowering of the standards of animal welfare.
Those who transport livestock from Britain must meet the gold-plated standards we in Britain demand. If we stop live exports, European companies will still buy lambs to satisfy demand in their markets, but they will buy them from somewhere else. The result of a ban on animal transportation will be that the sum total of animal cruelty is increased, and no one wants that. We must be aware of the possible unintended consequences of the proposals we make.
I welcome the Minister’s recent statement on these matters. We want to maximise the proportion of slaughtering that takes place in the United Kingdom, rather than abroad. That will support the British economy and mean there are more jobs in the United Kingdom. European markets need to be educated, however. The French like to have lamb that has been in France for a day or two so they can describe it to customers as “Welsh lamb.” The Spanish certainly used to want to have the animals in Spain for quite a long period so they could have different feeding regimes and the resulting meat was different and more attractive to the Spanish market. We need to change the nature of the markets in Europe, therefore.
I am also pleased about the Minister’s focus on zero tolerance. If a transporter is found guilty several times, their licence must be taken away as they are not fit for the job. This is a highly sensitive job that is important to the farming industry, and the British people have a natural instinct to care about the animals we farm. It is unacceptable for anybody who has a record of poor behaviour to have a licence to transport animals. They must be kicked out of the industry all together.
The Minister referred to the Animal Health and Veterinary Laboratories Agency. Wherever there is the slightest doubt about standards—as there is in Ramsgate at present—the agency must check up on the situation very closely. There must immediately be a Government presence at the port in question and action must be taken if necessary.
I was going to finish there, but as the hon. Lady wants to intervene, I shall pretend I have another half-sentence to say.
I am grateful to the hon. Gentleman. I listened intently to the points he made. I did not agree with some of them, but as his speech came across as a confessional, I felt I should not intervene until now. Does he agree that what happened at Ramsgate—some 40 sheep died—is unlikely to be an isolated incident? We need a proper review into the transportation of animals, and an inspection regime must be put in place. Does he agree, and will he call for a proper review by the Government, not a narrow internal one?
I am terribly sorry if my speech came across as any sort of confessional. Throughout my involvement in the business, I have been extremely proud of it. Indeed, if I lived my life again, I would probably do exactly the same thing. I see absolutely no reason to apologise for anything. May I also say how much I appreciated the comments of my hon. Friend the Member for South Thanet (Laura Sandys) about improved payment being a good thing for farmers in this country?
The hon. Gentleman may be leading us to a more compassionate future if he decides to finish the sheep that he has in Wales; he could give them a Spanish diet for the last few months and export them as carcasses. Would that not be both profitable and more humane?
I am not sure whether the hon. Gentleman is being completely serious, but I rather agree with the principle of what he is saying, and this goes back to what I said about education. Whatever we can do to move to a system of slaughtering in Britain for the European market, I wholly applaud, but I do not think we can do that now; it would be like taking step 10 without taking steps one to nine first, and it would not be sensible at the moment. We should continue with the live export trade—we probably have no choice but to do so—as it is the right thing to do, but we should do it absolutely properly.
(12 years ago)
Commons Chamber8. What discussions he has had with the Welsh Government on measures to reduce flooding by changes in planting and drainage.
I have regular contact with the Welsh Government but our discussions have not covered that specific issue. However, officials from DEFRA and the Environment Agency share experience and evidence of land management measures such as drainage and planting with colleagues in Wales.
The River Severn rises in Plynlimon in mid-Wales but causes most of its flood damage in England. The Montgomeryshire Wildlife Trust is doing magnificent work with its Plynlimon project, which benefits diversity as well as helping flood relief by holding back rainwater. Will my hon. Friend work closely with the Montgomeryshire Wildlife Trust and the Welsh Government to provide support that is commensurate with that benefit?
Order. The hon. Gentleman should ask a question; this is not a debate.
(12 years, 1 month ago)
Commons ChamberThe hon. Gentleman is absolutely right. We need proper sanctions—we need to take the carrot-and-stick approach. Without proper fines in the Bill, the adjudicator could, as the Minister said, be a toothless dog or tiger. I will come to that shortly.
There are times when a market needs intervention to make competition work well, particularly if players in that market become too powerful. Roughly 3.6 million people are employed in food production in this country, and making competition in that market function more fairly through the introduction of the adjudicator is ultimately good for growth and for those jobs. It will undoubtedly also be good for consumers in the long term. Because the choice of products is supported, small suppliers and products will not be driven from the market by anti-competitive practices, which hon. Members have mentioned. The choice of retailers will also be supported, because small retailers will not be driven from the market by the disparity in buying terms, which can be exacerbated by anti-competitive practices. Suppliers will be better able to plan their businesses, yielding efficiencies. Critically, they will be able to invest in innovation, new products and product quality. Finally, more competition will hopefully bring down prices.
The benefits of a strong adjudicator are clear, but fundamentally the Opposition’s major concern is that the adjudicator will be toothless. The adjudicator must have teeth to tackle the breaches of which all hon. Members are aware.
The only contention between the Government and Opposition is whether fines should be available at the beginning or whether they should be introduced at the behest of the Secretary of State. Does the hon. Gentleman agree that to supermarkets, which are massive businesses, reputation and name are the most important things of all? Naming and shaming and reputational damage will therefore probably have more force in pressurising them. If that fails, even in the medium term, new primary legislation would not be necessary, because we could introduce fines.
The hon. Gentleman brings a great deal of experience of the sector to the House. I am not convinced that the public will be surprised if a major retailer engages in a particular practice and is named and shamed in a national newspaper or trade magazine. If the adjudicator does their job properly, we would hope there would be no one to name and shame. It will help the system to operate properly if we can use the stick and say that retailers could be hit with financial penalties. If they can be hit with such penalties, naming and shaming become almost irrelevant.
The hon. Gentleman raises a critical point, because naming and shaming did not work for the dairy farmers. What worked were blockades and sanctions in getting their points across to the Government. I will perhaps highlight the dairy industry and how the groceries code adjudicator should be able to help, but he makes a critical point about how the Bill could be seen as toothless, because the dairy industry had to blockade and withhold its services to get any action on how the supply chain worked. It neatly follows that the debate needs to be on where the code sits in the legislative framework.
It concerns me that the hon. Gentleman has just said that the improvement in the dairy farmers’ returns was based on just direct action. There was a serious debate in this House and a serious debate in central London, and the normal processes of politics had a great influence. It is not just direct action and blockading properties that are needed to have an influence on businesses.
I take the hon. Gentleman’s point. The point I am making—I think his hon. Friend the Member for Shrewsbury and Atcham was making it too—is merely that we can draw a parallel between the code in the Bill and how it could work in the example I gave involving carrots in a ready meal, and what happened with the dairy industry. We are merely drawing parallels. I am not denying the actualities of what the hon. Gentleman has said; I am saying that having an adjudicator without teeth—one without the power to deal with the issue—could lead to exactly the same examples with many other industries.
To finish, my noble Friend Lord Knight—I pay tribute to the work he did on the Bill in the other place—speaking on behalf of the Opposition on Second Reading in the Lords, said:
“It is fundamentally odd that while Parliament is entitled to debate and scrutinise the function and powers of the referee, we are denied the opportunity to give the same scrutiny to the rulebook itself.”—[Official Report, House of Lords, 26 June 2012; Vol. 738, c. GC80.]
I appreciate that the Minister said that the code has a footing, in that the adjudicator can use it to compel supermarkets and retailers to comply, but there is a question whether it should be put on a statutory footing in this House to allow that to occur, rather than be dealt with through executive order.
The code must be a living document that is open to continual improvement in order to ensure that the framework is responsive, and that it ultimately works in the best interests of all businesses as well as consumers. The National Farmers Union has raised concerns about the status and enforceability of the code, because it is contained in a schedule to an order under the Enterprise Act 2002, rather than in a statute of its own. We would consider going further, and we will explore the ways in which the code could be a matter for Parliament to consider on the basis of recommendations from the adjudicator, who is best placed to evaluate the code. The code needs to be capable of responding to changing market forces, and to be as durable as the adjudicator who will referee it.
I mentioned extending the scope of the code to intermediaries, and hon. Members have already raised the recent issues surrounding the dairy industry. Cuts to farm gate prices mean that dairy farmers are being paid less for milk than it costs them to produce it. That is not a sustainable model. We welcome the news that there is agreement on the terms of an industry code of practice that will lay the foundations of a new deal between farmers and retailers. For too long, dairy farmers have put up with wholly unbalanced terms and have been struggling to cope in an increasingly unworkable financial situation. It cannot be right that supermarkets use milk as a loss leader while farmers are being paid less for the milk than it costs them to produce it.
Ministers need either to ensure that the voluntary code on dairy contracts works for farmers, or to bring in regulation to fix the dysfunctional supply chain in that marketplace. I believe that the adjudicator could fit that role if necessary, and I would be interested to hear the Minister’s thoughts on whether their role could be extended into areas such as the dairy industry when problems arise. That would be part of keeping the code as a living document.
(12 years, 1 month ago)
Commons ChamberThis is a complex and controversial issue, which is hugely important in my constituency of Montgomeryshire. I declare an interest in that I have been a livestock farmer all my life and have been very much involved in the impact that this disease has on the farming industry.
I want to begin by stating unambiguously that I am in favour of a targeted pilot cull of badgers and deeply disappointed that the proposed cull has been deferred until next summer. I start with that unequivocal statement because I hold other attitudes towards wildlife and farming that sometimes lead my friends to accuse me of inconsistency, although I disagree with them.
I have a great love of wildlife. Before entering this place, I was a trustee of the Montgomeryshire wildlife trust for three years—I still would be if I was not an MP—which does hugely valuable work. I have been involved in campaigns to promote the interests of the otter, the brown hare and red kites in particular where I live, and of red squirrels, whose protection, ironically, involves the cull of another much-loved mammal. There seems to be very little objection to that, but the issue is exactly the same.
I concede that, although I am very much in favour of a targeted pilot cull, I have never felt absolutely certain that it will have the effect that we want. Ironically, that uncertainty makes me even more sure that a cull is the right way to go. We have to identify ways in which we can deal with this terrible disease, which is having such a devastating effect on the countryside. We need to know whether a cull is the right thing to do. The cull in Ireland was general, as it is in other countries. We need a targeted pilot cull in an area to see how much difference it makes. If it makes a difference, it will become a general cull, but if it does not work, I would not be in favour of extending it.
Several references have been made to Wales. I was a Member of the National Assembly for Wales for eight years, and for five of those years I was Chairman of the Rural Affairs Committee and this issue was hugely important throughout that time. We spent three days in Ireland, looking at what they were doing there, and almost everything pointed to the need for a targeted pilot cull of badgers in Wales. In fact, three or four years ago the Welsh Government decided to hold a targeted cull and legislated for it under their then system of law-making powers under the Government of Wales Act 2006, but there was an error in the law and the measure fell—it could not happen. The new Labour Government have decided not to go down that road and to introduce instead a system of vaccinating badgers in south-east Wales, but most people I talk to think that it is a complete and total waste of money and that it will be hopelessly ineffective.
I do not have time to go into the scientific arguments for and against a vaccine, which has been discussed a lot. All I will say is that if this Chamber or I were to receive genuine advice saying that a vaccine would deliver the sort of control that we want, I would not be in favour of a cull. I have heard the arguments today, and also the rebuttals. It is highly technical stuff, but as several Members have said, the reality is that we do not have a viable, legal vaccine that the Government are in a position to use. It is only on that basis that we need a targeted pilot cull, and I desperately hope that there will be one.
Bovine TB is a devastating disease for cattle, for wildlife and for people. I would love to spend a lot more time talking about my experiences of foot and mouth disease. For 12 months people were telephoning me to talk about the impact on their families. Usually it was parents and grandparents saying that they had real concerns about their children’s mental health. Bovine TB is even worse, because it has lasted longer and spread out over a wider area. The impact is devastating, and we simply have to deal with it. To leave it not dealt with would be completely irresponsible.
(12 years, 1 month ago)
Commons ChamberI have made it clear that the vaccine is like Sisyphus—it is always out there and we are always reaching for it, but it is always a few years out. Sadly, as of this afternoon, we are not in a position to introduce a vaccination programme, because it is only 50% to 60% effective and we do not yet have a fully worked-out DIVA test to differentiate diseased and vaccinated animals. I sympathise entirely with her pained expression, and I would love to go ahead this afternoon and press a button saying “Vaccine”, but we sadly do not have it yet.
Without certainty that the targeted pilot cull would go ahead as the Government announced last year, my right hon. Friend is surely right to postpone it. Will he emphasise to all those who will be involved in next summer’s cull, which must surely go ahead, that the terms of the targeted pilot cull, based on science, will be strictly adhered to?
I am grateful to my hon. Friend and neighbour for his supportive comments. Emphatically yes—it is absolutely right that we go ahead next summer, but we must do it within the constraints of the scientific criteria that are laid down. That is what we intend to do.
(12 years, 5 months ago)
Commons ChamberThank you for calling me to speak, Mr Deputy Speaker, on a subject—the British dairy industry—hugely important to my constituency and, I contend, to our nation. I want to speak in particular about the crisis currently engulfing it.
I have always appreciated the importance of dairying. My first job, for the first 10 years after I joined the family business, was milking cows. I do not suppose I am unique among Members in that regard, although I might be the only existing MP who has actually milked cows by hand. I often stayed with my grandparents when I was young; they had eight cows which they milked by hand, and they produced butter that was circulated in the village. Therefore, I feel a considerable attachment to the industry—and we really did use three-legged stools, for those who are wondering.
Dairy farming has shaped and maintained the countryside of Britain as we know it for a century. It is an industry we should value and support. Today, dairy farming is in deep trouble—an important primary production industry torn apart by the corporate greed and ruthlessness of processors and retailers. Dairy farming is being reduced to an unsustainable position. Dairy farmers will be forced out of business and inevitably, more dairy products will be imported unless there is change. We should do our utmost to prevent this from happening.
It is not possible to calculate precisely the cost of milk production because circumstances vary, but it is generally accepted to be 29p to 31p per litre. Some of our major retailers acknowledge this. Waitrose and Marks and Spencer contract with farmers and allow for the production costs to be covered. Sainsbury’s and Tesco, too, contract with farmers for some of their milk, and they too allow the costs to be covered. However, others do not and they should be named and publicly shamed: Asda, Morrisons, and Co-op are huge businesses that show a shocking disregard for their suppliers. The processors—the in-between businesses that buy from farmers and sell to the retailers—should also be named and shamed: Arla, Robert Wiseman and Dairy Crest are happy to watch suppliers go out of business, in order that they can maintain their large profits.
The dairy products marketplace, as we know, is deregulated and unbalanced. The contracts under which milk is traded are incredibly one-sided. Buyers have discretion to impose price cuts almost without warning, while sellers are tied to long-term notice periods.
I congratulate my hon. Friend on raising what is a vital issue to the dairy industry. I recently met Roberta Parsons of Manor House farm in Brogden, in my constituency, which is a small farm with only 140 cows. Does he agree that it is the smallest farmers who are hardest hit by the reduction in milk prices and the abuse of power by the larger milk companies?
I thank my hon. Friend for that intervention. It is undoubtedly true that it is the average-sized businesses that are likely to survive and that can carry a period of loss, while the traditional farmers are likely to go out of business unless there is change.
A few weeks ago, the processors reduced the price by 2p a litre—just like that: a 6% to 7% reduction. Now they have told farmers that on 1 August there will be another 6% or 7% cut, which reduces the price they are paying to the farmers to way below the cost of production. Last week, unsurprisingly, there was a huge reaction: 2,500 dairy farmers came to a dairy summit here in Westminster and many of my hon. Friends attended. The purpose was to highlight this unacceptable position, and to demand that these cuts do not go ahead in August and that those that took place in July and July be reversed.
I thank my hon. Friend for raising this important issue, which is dear to both our hearts. Does he agree that this crisis enveloping the dairy industry, whereby on 1 August dairy farmers will face going bust, means that if we cannot find a voluntary code between the producers and the supermarkets, we should look to impose some sort of mandatory regulatory regime to save our dairy industry?
I thank my hon. Friend for his intervention, as he makes a point that I was intending to deal with. I was going to raise it with the Minister to seek his opinion and perhaps his assurance on that very matter.
Processors in this deregulated, unbalanced market are behaving as though they are a cartel; they are imposing across-the-board cuts and there seems to be some agreement between them. That is outrageous behaviour. We know that across the world dairying is a volatile market—prices fluctuate. We all understand that; it is why there must be some order, which is why we have contracts. However, the current order is for the processors and the retailers, with catastrophic chaos for the producers. I shall now deal with the point that my hon. Friend raised. We need a code, preferably a voluntary one, and more balanced contracts. We had hoped that there would have been an announcement of a voluntary code already, and I know that the Minister had, too. Unless we can have an agreement on a voluntary code, the Government and the Minister have to consider going forward with a statutory code. Only with that hanging over people’s heads are we likely to achieve the voluntary code we want.
In the longer term, the Government need to encourage progress on lots of other issues. We need to encourage farmers to come together to form producer organisations. The big problem we have with individual farm businesses and micro-businesses is that they are incredibly small and do not carry any power. We know that there is now an agreement from the European Union in the dairy package that we can encourage up to 30% of farm producers to deliver producer organisations. I am hoping that the Minister will reassure us that he wants to do that.
We also need to move forward on the grocery adjudicator, although that might well have a limited impact on this particular problem, as for markets to operate we have to have a degree of fairness. When there is bullying and unfairness, the Government have to deal with it. That is why we have a Competition Commission, the Office of Fair Trading and other such organisations. The Government have to step in when the market is not working, and all of us know that this market is currently simply not working. It is working in favour of big bullying retailers and processors, and it is causing huge damage and driving into bankruptcy the dairy farmers that have sustained our countryside for so long.
(12 years, 6 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
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I welcome the Government’s guidelines to crack down on such people, who are completely outside the law. To respond to the hon. Member for Ealing Central and Acton (Angie Bray), yes, we had 13 years, but two years is too long and the Government have a responsibility. We are where we are.
On average, 12 postal workers are attacked by dogs every day. Many do not return to their job because of the physical and psychological effects of the attack. Even Members of this House have been victims of dog attacks. When I came in with a big bandage on my hand, a number of people told me that they knew of party workers who had been chased or bitten by dogs. Everybody I spoke to had some experience on the doorstep of being chased by dogs, although I do not know whether the dogs were Tory or Labour. A recent RSPCA survey underlined that fact and found that more than half of MPs had been bitten or chased by dogs while delivering leaflets over the past five years, while almost 80% of Members have seen one of their constituency team bitten or chased. Perhaps it is unsurprising that, according to the same survey, more than half of MPs believe that the current dog legislation is ineffective.
To return to the point made by the hon. Member for Dartford (Gareth Johnson), we often talk about dangerous dogs in the context of being bitten or chased, but the cost of dangerous dogs cannot be underestimated. Last year, police forces in England and Wales spent £3 million kennelling dogs seized under the 1991 Act. My concern is that, after two years of waiting for worthwhile legislation, the Government’s proposals do not go far enough. Frankly, they are a missed opportunity and we must wonder how much of a priority tackling irresponsible dog ownership really is. However, we have to be careful—it is no good blaming the dogs. In many cases it is often not so much problem dogs, but problem owners. Although it is important that we enforce new, more effective legislation, it will only work if a number of steps are taken to influence owners and better educate the public.
I appreciate and support the hon. Gentleman’s comments on the need to control dogs and want to add another important reason for doing so. I have been a sheep farmer for most of my life and the impact of irresponsible dog owners has been terrifying. Thirty-five of my sheep were killed one night—they were turned over and torn apart. That is a common occurrence. The hon. Gentleman is listing some of the many reasons to control dogs, and the impact on the livestock industry is another one.
I come from the south Wales valleys, where I am surrounded by farms. I know a local farmer, and the hon. Gentleman’s point is a massive issue. Dogs chasing sheep was always a feature of my life when I was growing up. The most important thing I was told when I first had a dog when I was very young was that I needed to keep him under control around livestock. That is very often overlooked. We often think of dangerous dogs as a city or urban problem, but it is also a serious problem in rural areas. I agree with the hon. Gentleman.
On my visit to Battersea dogs home, I learned that some 72% of the dogs that it looks after do not have a microchip, which makes it impossible to track down the owner. The Government have recently announced plans to combat that and have proposed the compulsory microchipping of puppies. However, in Battersea dogs home, I saw hundreds of dogs without a microchip who had been abandoned by their owners. It is no good the Government microchipping puppies when stray dogs are roaming the streets abandoned and neglected, with no hope of being reunited with their owners.
Battersea dogs home tells me that only 20% of the 6,000 dogs it homed in 2011 were microchipped and that one third even had the wrong details. Therefore, when the owner went along and asked for their dog, very often the dog had been rehomed. That demonstrates the scale of the problem. Microchipping is a start, which I welcome, but unfortunately that is all it is. It will take years to affect all dogs and will make little difference to the thousands of strays already wandering our streets.
(12 years, 8 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
Thank you, Sir Roger, for calling me to speak in this debate. Yet again, it is a pleasure to serve under your respected control.
I want to take a Welsh perspective and in particular a rural Welsh perspective. Rural Wales is where I have always lived and where I always want to live, and above all else I try to represent its interests in the House of Commons. That is why I am really pleased that my hon. Friend the Member for Carmarthen West and South Pembrokeshire (Simon Hart) has secured the debate.
I have been involved in rural development for—frighteningly—about half a century, beginning with the local young farmers club. One of my proudest achievements was winning the bardic chair at a YFC eisteddfod and the speech that I made was on the future of rural Wales. The essay that I wrote advocated building a new town of 70,000 in the village of Caersws, smack in the middle of my current constituency. I would not continue to advocate that as a policy, but the underlying principle is much the same—a recognition that the traditional land-based industries in rural areas could no longer sustain a social economy. They did not employ enough people, and other forms of industry had to come in, which during the time that I have been involved have principally been manufacturing and tourism, although of course there are many others, which depend a lot on the development of broadband and on not falling behind urban areas, a point that other Members have made.
Many important issues are involved in developing these different forms of employment, but I want to talk about just two of them today, one of which, planning policy, has already been raised. We need an efficient planning services policy, and we must have attitudinal change. I was the chairman of a planning authority for about seven years, and at that time the purpose was to encourage development and do what we could to make it acceptable. Today, the position seems to be almost one of “How can we stop development?” It seems to be about making developers go through a whole series of hoops that cost them a fortune—making the process as difficult as possible. In my constituency, good projects that would provide employment are sitting in the planning department’s in-trays, and at a time when we are suffering recession and high unemployment across Britain such absolutely outrageous behaviour desperately needs to be changed.
[Mr Jim Hood in the Chair]
My other point is relevant to those of us who live near the England-Wales border. If we are to have development in rural areas, roads and efficient transport links are important. Between England and Wales there are at least three or four places where the advent of devolution has meant that projects have not gone forward. On the England-Wales border between Shrewsbury and Welshpool in my constituency a bad stretch of road is hugely inhibiting development, but because it is cross-border and committing money to its improvement is not a priority for the west midlands highways authority, the work cannot go ahead. We have to focus on Welsh and English Governments working together to overcome problems that inhibit development.
Rural Wales is a beautiful place, and that beauty is a great economic driver. To take full advantage of it, however, we must recognise its value and consider a wide definition of tourism rather than just the traditional ones. Where I live, in the village of Bettws there is a hatchery—a game shooting development—which employs 100 people. It is amazing. The income that shooting brings into Montgomeryshire and rural Wales is absolutely enormous—many tens of millions of pounds.
Last week I visited a new fish pass in Felindre near Llanidloes, which people might say is a small development; it cost £152,000, and was built by the Environment Agency, but it has hugely increased the size of the salmon spawning area in Wales. The Welsh salmon fishing industry contributes £150 million to the economy. The fish pass is a small development. It fits in. It is beautiful to look at and has a massive economic benefit. It is not just public authorities that are doing such things. On the same day, I called in on an osprey observation point close by. Nora and Monty, two ospreys that arrived many years ago, came back last week. I was the 350th person to visit that day, and 700 people had visited during the previous weekend. When the ospreys nest and have chicks, visitor numbers will increase. The development is a huge economic driver because of all the people coming in. [Interruption.] I see the hon. Member for Ceredigion (Mr Williams) nodding in agreement. On the same day, I travelled a little further into his constituency, stopping at Bwlch Nant yr Arian to watch the red kites feeding, as do hundreds of other people. Forty years ago I spent half a day in his constituency, at Pontrhydfendigaid and Cwmystwyth—this could be testing the Hansard people; I might have to check the report later. I sat there for half a day to watch one red kite half a mile away—
(12 years, 9 months ago)
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I am sure the Minister will have heard that. That proposition was not put before the Committee and we have not reached a conclusion on that. The farmers are making a huge effort—unpaid—in areas such as retaining and storing water, for which it may be possible to use funds from the CAP in future.
The CAP needs to provide a clear plan for growth and sustainability. As a Committee, we were not convinced that either the European Commission or indeed the Department have faced up to the challenges ahead. In our approach in the report before us this afternoon, we are perhaps less reformist than DEFRA. We express some reservations about the prospect of capping. The hon. Member for Newport West made an interesting intervention, but we will resist any attempt—it would not be the first attempt—to seek to discriminate against some of the larger units that we have. Farming units tend to be larger in the UK. That is partly historic and partly because they are more productive. We would resist any attempt to discriminate on the grounds of size, and we would also resist the greening of pillar one through compulsory measures.
We recognise that our farmers are already subscribing in larger part to agri-environmental measures than many other farmers in the EU. We believe that successive Governments have done absolutely the right thing in pursuing that policy. We do not want to see our farmers, who are in agri-environmental agreements, discriminated against by having to go possibly at short notice down a different path, or be discriminated against by facing a penalty when they leave agri-environmental agreements to look at new agreements. We want reassurance on that from the Minister today.
Even though I am making an intervention, I should declare an interest as a farmer. Does the hon. Lady agree that we must resist the principle of greening the CAP, which, I must admit, most people in this country support? It must not happen in a way that increases bureaucracy and the difficulty of operating within it to the extent that it discriminates against the British farmer.
For the sake of clarity, I am addressing the House as Chair of the Environment, Food and Rural Affairs Committee. I will leave it to my right hon. Friend the Minister to respond to the debate, and I commend the work that he does. Having been a shadow Minister, I am delighted to participate in this debate.
I will deal some of the points that my hon. Friend has made. On food security, the EU must have a significant degree of self-sufficiency. Speaking personally, I am concerned that we are less self-sufficient in this country than we have been historically. That is a comparatively recent development over the past five years. I hope that we can stop such a development in its tracks and that we can become not only increasingly self-sufficient but a major exporter, following the Foresight report in particular and some of the invitations to farmers in that report.
I agree entirely with the hon. Gentleman. Clearly, we have different climates and landscapes, diverse methods of farming and different ways of doing business in farming. Without prejudice to the common market, it is important that decisions are made in a practical way by the people best able to make them.
Member states will need flexibility in the process to tailor implementation to their own needs. Within the UK, all three devolved Administrations must be able to work around the challenges that they face in delivering sustainable agricultural development in some least favoured areas. About 85% of Scotland is classified as least favoured areas. That compares with much lower proportions in some other parts of the UK. I hope the Minister will offer assurances that he will press for greater regionalisation as the negotiations intensify and that the issue will not fall off the agenda.
The hon. Member for Thirsk and Malton (Miss McIntosh), the Chair of the Environment, Food and Rural Affairs Committee, quite rightly concentrated on direct payments in her remarks. I welcome the fact that the Government have moved away from the more rigid position of the previous Government, but I am still concerned about their direction of travel. I welcome the Minister’s remarks earlier on clarifying the Government’s position. I hope that he will listen carefully to the Governments of Scotland, Wales and Northern Ireland on direct payments and pursue a negotiating stance in Europe that reflects the needs and wishes of the whole UK.
It is worth remembering, as the hon. Lady pointed out, that direct payments are there primarily to compensate producers for the increased costs of operating in a highly regulated market and to enable them to meet the high animal welfare and food safety standards that we all expect. We need to acknowledge that that does not come for free. We need to accept the reality that, in the past few decades, farming has not been particularly viable as a commercial enterprise. If we did not support agriculture with direct payments, food production and land management simply would not be happening in large areas of the UK. Farming, especially in the least favoured areas, would have ceased a long time ago.
We cannot consider this in purely economic terms. The hon. Lady hit the nail on the head when she put food security at the heart of the debate. Brian Pack’s 2010 report, which was produced for the Scottish Government, highlighted not just the food security challenge, but the challenges of climate change, water supply, energy use and biodiversity as the starting points for CAP reform. In a global context of rapidly increasing demand for food and the need to manage our natural environment much more sustainably, the case for direct support for farmers is actually much stronger now than it ever has been in the past.
We also need to consider the future of direct payments against the historical backdrop of Scottish farmers receiving a disproportionately low share of pillar one support—a pressing issue for those Scottish farmers who want to export their produce. At present, pillar one rates in Scotland are only €130 per hectare, which is less than half the EU average, and well below the UK average of €229 per hectare. The UK needs to argue for its proper share of pillar one, not least so that it can provide a fairer allocation to Scottish farmers.
I want to return to the point that I made when I intervened earlier. I think that there is general agreement that pillar one is crucial. In Wales, where we have more than 80% of least favoured areas, it is absolutely crucial. Farmers who approach me are concerned that a significant part of pillar one will be subject to greening policies that are so bureaucratic that they will not be able to comply with them. The biggest threat is that the greening proposals on pillar one will probably make that part almost inaccessible.
The hon. Gentleman raises a valid point. In their current form, the greening proposals are probably unworkable. They are inherently bureaucratic, which is exactly what we should be trying to move away from. I am afraid that they will have unintended consequences and that the one size will simply not fit everyone in exactly the same way as we have seen in previous incarnations.
One priority for farmers in my constituency, as well as other parts of Scotland, is the need to retain the option for coupled support for the beef sector. The hon. Member for Thirsk and Malton mentioned that in relation to upland farmers. The Minister will know that Aberdeenshire is famed for its beef, but we face challenges in least favoured areas. A lot of the land used for livestock grazing in Scotland is not suitable for arable farming. Grazing livestock is the most sustainable and environmentally friendly way to manage that land. I hope that the Minister listened to the concerns of Scottish farmers when he met representatives of the National Farmers Union earlier this week. I am sure they made their views known; I hope that he will take their concerns on board and respond to that issue.
Another issue that relates to the point about greening is the three crop rule, which will not work in those least favoured areas where only grass can grow—a lot of those areas are permanent pasture. I hope that the Minister can find a workable solution to that, too.
CAP reform gives us an opportunity to clear up some of the problems with the current approach, including the opportunity to target support at those who are actively farming the land. There has been recent controversy about so-called slipper farmers. It is worth making the point that, certainly in Scotland, more than 98% of those in receipt of farm subsidies are actively farming. It is important to keep that in proportion, notwithstanding the need to tighten up and close that gap.
This is a time of austerity throughout Europe, and everyone is feeling the spending squeeze. We need to justify the support that we give to farmers through direct payments if we want to keep public confidence in the benefits that they accrue. A very strong case can be made for our food producers and land managers, but it is hard to justify large handouts to those who are not actually involved in farming.
It is important that any active farming test is based on how the land is managed, not on an arbitrary accounting measure, because many small crofters in Scotland are part-time farmers—they either run other businesses or have other employment—and they could be adversely affected. Increasingly, perhaps more in my own area than in some others, farmers are trying to diversify their farm businesses. Renewable energy is probably the most obvious example, but they are moving into areas that are sometimes considerably more lucrative that their farming businesses. Farmers who are actively managing land sustainably should not be penalised because of their other business interests.