Agriculture: Regulation

Lord Grantchester Excerpts

Tuesday 29th March 2011 Lords Chamber

[Lord Grantchester]

My Lords, it is a great pleasure to follow the noble Baroness, Lady Byford, and to welcome her return to your Lordships’ House following her recent illness. We have missed her contributions, and once again she has demonstrated her acumen by securing this important debate tonight, as also illustrated by the number of speakers it has attracted.

Reducing the regulatory burden on agriculture has been a challenge to all Administrations and each has initiated programmes to tackle the problem. It was unfortunately inaccurate of her, in her opening remarks, to try to single out the previous Administration in this respect. The impact on agriculture cannot be overstated. The noble Baroness referred to the recent NFU farmer confidence survey, where regulation was cited, at 64 per cent, as the highest negative impact on business. Anecdotally, one of my neighbours cited it as the reason behind his decision to quit farming.

I declare my interest as a dairy farmer in Cheshire. One part of my business was the import and export of cattle, which was brought to an end over the winter of 1995-96, and finally on 20 March 1996, by the announcement from Stephen Dorrell, Secretary of State for Health in the other place at the time. The effect and cost of that announcement was immeasurable. This present Government’s recognition of the problem was immediate, and demonstrated by the establishment of the Task Force on Farming Regulation, led by Richard Macdonald. It is due to report this summer. For the farming community, nothing short of a fundamental reanalysis is demanded. This must start with the analysis of the scope of each EU directive, policy initiative and UK programme objective. In this review, the influence that can be brought to bear by the supply chain, and especially the retailers, must be harnessed. I refer here to the various sector assurance schemes, freedom food initiatives and other marketing ploys that are demanded of agriculture. Mention should also be made of the proposed supermarket ombudsman.

Both government and industry should turn the telescope round and look at the regulation from agriculture’s point of view—the compliance costs, the information that has to be researched and retained, the added load on the business agenda and the incentives and benefits to be derived. Agriculture needs to be able to identity the relevance of the activity to operational improvements, business development and value added. Tackling regulation is often to tackle the symptom, when we really need to tackle the cause. Cutting red tape by introducing a one-in one-out rule is a case in point. Rather, I ask the Minister whether there should be a sunset clause imposed on each regulation, so that the need and relevance of each is systematically reviewed—I suggest five years as a suitable length.

The Conservative-led Government define their objectives in terms of cutting the deficit. I suggest to the noble Lord that nothing less than the effort that is put into that is demanded from agriculture to cut red tape. Has the noble Lord’s department interpreted activities in relation to deficit reduction by focusing on the costs of implementing regulations to government, of complying with regulation to industry and interpreting regulation to consumers? I very much look forward to the task force review and whether it can rise to the challenge of remapping the landscape.

[Lord Taylor of Holbeach]

I apologise to the noble Lord but we are under a lot of pressure for time. Three minutes is the limit, and we are now well in to the third minute.

[Lord Grantchester]

I have finished.