Direct Payments to Farmers (Legislative Continuity) Bill

Joy Morrissey Excerpts

Committee stage & 3rd reading: House of Commons & Committee: 1st sitting: House of Commons & 3rd reading & Committee: 1st sitting
Tuesday 28th January 2020 Commons Chamber

[George Eustice]

Yes—my hon. Friend makes a very important point. As we chart a new course on agriculture policy, one key objective set out in the Agriculture Bill, which was recently published, was on climate change. It is absolutely the case that we should support farmers to farm more sustainably and reduce their greenhouse gas emissions, and that will be a matter for future policy. This Bill does not envisage radical change compared with what has gone before. Some provisions—the so-called “greening provisions” that are brought across by the Bill—will potentially have a modest impact on our carbon emissions and climate change, but addressing that issue properly will be a matter for future policy.

Clause 1(3) sets out the regulations that are covered. That includes the direct payments regulation, apart from article 13. Article 13 of the direct payments regulation is still there in retained EU law, because the withdrawal agreement Bill brought that element of the regulation across, so we do not need to do that a second time. We need that state aid provision because the withdrawal agreement committed us to an equivalent approach to the EU for this year. There is also the Commission delegated regulation (EU) No. 639/2014, which supplements the direct payments regulation, and Commission implementing regulation (EU) No. 641/2014, which lays down rules for the application of the direct payments regulations.

[Joy Morrissey (Beaconsfield) (Con)]

In Beaconsfield, we are still very keen to receive these payments, and the Minister is right to bring forward the Bill. Many of my farmers would like to produce more, but that is currently restricted under the CAP. Does the Bill deal with that? For example, I have a chicken farmer who would like to increase the number of chickens and eggs that they produce, but there are restrictions because of the common agricultural policy payments. Is there anything in the Bill that will allow them to increase productivity as we move out of the EU?

[George Eustice]

If my hon. Friend writes to me on the specific issues for the chicken producer that she mentions, I am happy to look at that. As a general rule, poultry producers tend not to qualify for the basic payments scheme, because it is area-based. Of course, it could be a mixed enterprise, where the producer has a poultry unit and some land on which they claim BPS. There are also some domestic environmental regulations and a licensing scheme that the Environment Agency runs that would affect certain establishments in the poultry sector.

The Bill brings across existing legislation exactly as it is and does not envisage any change. The only change might come from the absence of EU auditors, as this is no longer an EU budget. Therefore the absence of the risk aversion that is a feature of Whitehall—where we have perpetual legal jeopardy and the constant threat of infraction, of disallowance risks and of arbitrary fines slapped on by EU auditors—means that we may be able to have a margin of appreciation in how we interpret some of these regulations, so that we can, for instance, send farmers a warning letter, rather than stinging them with a fine as we are required to under EU law.

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[George Eustice]

I can say that, for the Bill before us today, we have received legislative consent motions for every part of the UK, including Scotland. It is universally in the interests of every paying agency to have this Bill agreed and on the statute book so that they can pay for this year. Future policy will be a matter for the devolved Administrations, and I know that the Scottish Government will be charting their own course and setting out their own legislation. I know that the Welsh Government, while seeking some provisions in a schedule to the Agriculture Bill, will also now be predominantly striking their own course and making legislation in their own Parliament. It will be very much an issue for the Scottish Government to work with Scottish farmers, but of course we have procedures to co-ordinate around the UK and to set up frameworks where necessary. We also have Joint Ministerial Committees, which I regularly take part in it with my opposite numbers in the devolved Administrations.

[Joy Morrissey]

Regarding tribunals and disputed claims, are we going to set up a temporary agricultural tribunal or legal system to handle the processing of such claims or disputes? For example, there could be disputes over a buffer strip or over payments or claims, or perhaps when a family member of a deceased farmer has to make a new claim. Will a process be put in place as a temporary measure to handle the necessary legal framework?

[George Eustice]

My hon. Friend makes an important point. The short answer is that we have an appeals system in place. We have the independent agricultural appeals panel, which is drawn from agricultural experts, lawyers, land agents and farmers. It is a lay panel, but it hears complaints and legal objections to penalties coming from farmers. Once the appeals panel has made a recommendation, it comes to the relevant Minister, which is me. I have spent seven years dealing with these appeals, and I can reassure my hon. Friend that I leave no stone unturned in ensuring that farmers who lodge an appeal are given a fair hearing and that the issues they raise are taken into account.