Committee stage & Committee: 3rd sitting (Hansard) & Committee: 3rd sitting (Hansard): House of Lords
Tuesday 14th July 2020

(4 years, 5 months ago)

Lords Chamber
Read Full debate Agriculture Act 2020 View all Agriculture Act 2020 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 112-IV(Rev) Revised fourth marshalled list for Committee - (14 Jul 2020)
Baroness Henig Portrait The Deputy Chairman of Committees
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I now call the noble Lord, Lord Lucas, who I understand also has a question.

Lord Lucas Portrait Lord Lucas (Con) [V]
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My Lords, I am extremely grateful to my noble friend for her answer, which was very encouraging. However, on my specific amendments, will she confirm so that it is clearly on the record that the Government consider soil, for the purposes of this Bill, to include all that lives within it? If not now, can my noble friend write to me to say how the soil survey is intended to be set up and funded?

Baroness Bloomfield of Hinton Waldrist Portrait Baroness Bloomfield of Hinton Waldrist
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I would be delighted to write to the noble Lord on the latter matter. On his former point, I believe that my speech actually gave the reassurance that it includes all matters within the soil.

Lord Lucas Portrait Lord Lucas [V]
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I am immensely grateful for the response given by my noble friends and I beg leave to withdraw my amendment.

Amendment 29 withdrawn.
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Moved by
58: Clause 1, page 2, line 31, at end insert—
“( ) providing advice and support to those in receipt of, or potentially in receipt of, financial assistance under subsection (1)”Member’s explanatory statement
This amendment provides for an advice-based system of support, as opposed to a sanctions-based one.
Earl of Kinnoull Portrait The Deputy Chairman of Committees (The Earl of Kinnoull) (Non-Afl)
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We now come to the group beginning with Amendment 58. Anyone wishing to speak after the Minister should email the clerk. I remind the House that anyone wishing to press this or any other amendment in the group should make that clear in debate.

Lord Lucas Portrait Lord Lucas [V]
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My Lords, in moving Amendment 58 I shall speak also to my other amendments in this group. There are two basic ways of managing the flow of funding under the Bill: through penalties or through encouragement and advice. I hope that the Government’s intention is to focus on incentives—broad-brush, bottom-up, banded, with plenty of room for local initiatives and a clear understanding that initiatives will often fail—rather than opting for top-down micromanagement. I hope that the Government will institute a strong supply of advice and the funding for it, so that good practice and ideas find it easy to spread, rather than relying on audit and enforcement.

The management of chalk grasslands is a challenge local to me. These are a potentially immensely rich, if sometimes rather small, environment. They were created by a pattern of agriculture that has gone: cattle and sheep herded in large open areas, then folded in the lowlands at night, with a plentiful supply of shepherds and rabbits to keep the scrub from spreading. That has all gone, but we still want the chalklands ecosystem. It is the principal objective of the South Downs National Park.

We have to take the overloaded pastures that have resulted from wartime needs and subsequent agricultural policies, with lots of parasites and consequence high use of biocides, and end up with fields full of insects and wildlife, and a profit for the farmer. We have to find ways to allow the public to enjoy the results of the system that we create; to allow larks to nest undisturbed and people to listen to them; to have fields full of orchids that people can picnic in; and to combine dog walkers and sheep, and old ladies enjoying the outdoors and a herd of bouncy cattle.

Finding a way to do that will take lots of experimentation and there will be lots of failure. Farmers will participate in this over the whole of the chalklands. We do not need, “You can have money to do this, but if you don’t succeed, we’ll be after you”; we do need lots of advice, recording and sharing of data, experimentation and supported failure. That is expensive. The Government would have to fund a team of people over decades. To hazard an estimate, £10 million a year might be the basic level for 200 field staff. However, that £10 million would multiply the benefit of the hundreds of millions being spent elsewhere, because it would make that larger expenditure much better focused and better directed. It would also set the tone of the whole agricultural support system and make it a pleasure to interact with, since it would look for ways to make better things happen. That would make a huge difference to compliance and effectiveness in a fragmented industry.

Of my three amendments, Amendment 135 is key. That is the one I want the Government to get behind.

Earl of Caithness Portrait The Earl of Caithness [V]
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My Lords, I am delighted to support my noble friend Lord Lucas. I have put my name to Amendments 58 and 119. The Minister will recall that I majored on the whole question of advice in my Second Reading speech. I dedicated all my time to it because I think it is so important.

Farming has been partially insulated from market pressures by the support schemes of the CAP. In particular, the area payments developed by the CAP since 1992 and subsequent steps in 2003 and 2013 have acted to reward land occupation, not business activity. This has been associated with reduced flexibility in land occupation markets, and thus with the relative weakness in the United Kingdom’s agricultural productivity growth.

The progressive removal of area payments and the prospect of more open trading agreements seem likely to drive an accelerated process of change in who is farming what land and how, by both unwinding the protectionist effects of past area payments and responding to the coming changes. This might affect poorer businesses on more marginal land in particular, whether cropping or livestock. My concern is that this process of change should be managed to maximise its economic, environmental and social benefits, while minimising costs.

Farming’s adaptation to the new policy and business environment will not be a simple and swift transformation, but will take much time and effort. The scale of the challenges and the changes associated with them should not be underestimated. Success will require attention to skills and training, investment, approaches to sustained innovation in business policy, technology and marketing. It will be all the better if this is enabled by a new positive regulatory regime after Brexit, ensuring flexible and open markets in land occupation and use. All this must be supported by effective and practical advice and facilitation.

The outcome will be a much less standardised industry than the one we created since the war through policies before and under the CAP, which were largely dedicated to full-time commodity protection. Achieving this will be a major call on all those involved, not only Governments and farmers.

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Lord Gardiner of Kimble Portrait Lord Gardiner of Kimble
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My Lords, this has been very helpful debate. I am grateful to my noble friend for Amendments 58, 119 and 135, and to the noble Lord, Lord Grantchester, for Amendment 122.

The Government agree that effective advice and guidance will play an essential role in ensuring that agreement conditions are met and that the outcomes we are looking to achieve through future agricultural policy are delivered. “In connection with” in Clause 1(1) includes advice and guidance given to recipients so that they can better understand how to deliver the purposes for which they are in receipt of assistance. The same is true of the two purposes in Clause 1(2).

My noble friend Lord Northbrook spoke of the environmental land management policy discussion document. My notes state that it is currently live, and my noble friend endorsed that by remarking about it. The Government make it clear that access to an adviser will be a crucial component of the success of ELM. I do not want to go into too many of the tiers at this stage, but tier 3 will be where we provide financial assistance on a much broader, landscape level. I can think of catchment areas and greater expanses of land where a number of land managers and farmers would be involved. Tier 1 would be for the farmer, but tiers 2 and 3 would most likely involve a wider number of farmers and land managers. Those policy documents set out a range of models for the provision of advice, including one-to-one advice, group training, telephone and online support, and facilitation of peer-to-peer learning.

I agree with what was said by my noble friends Lord Lucas and Lord Caithness and the noble Lord, Lord Carrington. The ELM tests and trials team has established an advice and guidance thematic working group—that sounds pretty awful, but I am sure that it is a very good working group. This will gather evidence on how different types of expert advice could help farmers and land managers plan, and record, the public goods they choose to deliver across their land. There are currently 34 tests and trials on advice and guidance. I not only take but endorse the point made by my noble friend Lord Lucas on tone and what the noble Lord, Lord Carrington, said about the manner in which all these things are done.

In the policy and progress update published in February, the Government confirmed their intention to offer advice to applicants for productivity grants. This advice could help applicants decide how to target investments to achieve the greatest improvements in business performance. Advice and guidance are also an integral part of the Government’s future animal health schemes, with vets in particular having been identified as a key source of advice for farmers who wish to take pragmatic steps to improve animal health.

In the policy update, the Government also committed to a future system of agricultural regulation which, among other things, understands and implements better ways to provide advice and guidance to the sector. The Government will work closely with industry to consider the best way to deliver such advice. It is, however, imperative that that advice and guidance are delivered by the right people, in the right places, at the right time and—I emphasise—in the right way. A wealth of knowledge and expertise already exists across our farming and land management communities. However, it is also a priority for the Government to ensure that the farming industry is adequately supported by advice and guidance.

My noble friends Lord Caithness and Lord De Mauley spoke about agricultural shows. As a former president of the Bucks County Show and a current vice-president of the Buckinghamshire and Suffolk Agricultural Associations, and having made many visits to agricultural shows across the kingdom, I know that they are an extraordinary example of the great part of rural life and farming at its backbone. All of us obviously regret not having been able to go to our local county shows. The current advice on meeting people outside your household is available online and allows that events of more than 30 people can take place as long as they are planned by an organisation in compliance with the Covid-19-secure guidance, Working Safely During Coronavirus: the Visitor Economy. So I say to my noble friends and all noble Lords that planning for next year, which I know all of them are doing, will clearly depend on where we are in the containment of the virus. There is also industry-led guidance on keeping workers and audiences safe during Covid-19, which applies to those working in outdoor events.

I am well aware that many of these show societies are charities, and of the use of the furlough scheme. I will reflect on what noble Lords have said. Agricultural shows are an important part of the rural calendar and are a way for urban and rural schools to get involved and understand why agriculture and rural life are so important. They are a key part of showing the country what the countryside provides.

Lord Lucas Portrait Lord Lucas [V]
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My Lords, I am grateful to my noble friend for his comprehensive and optimistic reply. I urge on him again the importance of allowing failure; allowing people to get things wrong; to try things for the best reason and find the disaster and then have to put things right. We are going to find the right way to do some of these things only if we are adventurous and stick our necks out. That is the sort of support that I hope this Government will feel able to give. I am comforted by what my noble friend said and beg leave to withdraw the amendment.

Amendment 58 withdrawn.