Budget: Implications for Farming Communities

Kevin Hollinrake Excerpts

Monday 4th November 2024 Commons Chamber

[Daniel Zeichner]

I thank my hon. Friend, who is another of my near neighbours. I did not use to have many near neighbours who were anywhere near as friendly as my new near neighbours, but Cambridgeshire has changed. Cambridgeshire has changed for a very clear reason: Cambridgeshire lost trust in the Conservative party. I am determined to build trust across the entire country by maintaining, over a prolonged period, the levels of support necessary to allow people to farm successfully. My answer to my hon. Friend is to look at the Budget, where we saw an increase in the farming budget. We will look to maintain proper support into the future because, exactly as has been said, these are long-term businesses and long-term interests. The reason that they are long-term is that we are all going to need to eat.

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

The Minister talks about the transition. I talked to my farmers in Bedale on Friday, and the only transition they can see is the transition from family farms to the state. Does he realise that the farming industry is one of the least profitable sectors in the country? The return on capital employed is 0.5%—that is the Government’s own figure—and that is around a 20th of the typical profit margin in the UK. Other than by some warped socialist ideology, how can he justify taking away 40 years of profits for the typical farmer?

[Daniel Zeichner]

The hon. Gentleman may wish to remember that the agricultural transition was embarked upon by the previous Government. It is a seven-year transition process, and we are just over halfway through. It is important that it is maintained in a stable and sensible way, and that is exactly what we are doing. My answer to his question is that the challenge put to me was to maintain stability and not to tear up those schemes—to maintain them and make them work—and that is exactly what we are doing.