Agriculture

Debate between Mark Spencer and Laurence Robertson

Monday 13th May 2024 Commons Chamber

[Sir Mark Spencer]

I am grateful to the hon. Member for raising that important topic. We have listened to those farmers and improved the speed at which we pay for new SFI agreements, moving those payments forward to help farmers with cash flow. That is why we changed the basic payment scheme to ensure that we made payments not in one chunk in December but in two payments, with one in July and one around December.

The hon. Member also mentioned the unprecedented season that we are in the middle of and the pressure that will put on farmers in the autumn. That is why we introduced the support fund that is now trying to help affected farmers in the east of England in particular—I know that does not apply to Cheshire. We have committed to extending that scheme to try to help people. We are still in conversations with the National Farmers Union and farmer groups to try to look at what more we can do to mitigate the impact that the season will have.

Many of those farmers will not feel the effect of that weather in their cash flow until this autumn. Many of those who have not been able to plant arable crops have had the benefit of not having to pay out for fertiliser and agricultural sprays during this season—ironically, that will help their cash flow—but they will have an empty shed at the end of that process, which will put huge pressure on cash flows in the autumn when they would have had crops to sell.

[Mr Laurence Robertson (Tewkesbury) (Con)]

I am pleased with the Minister’s last remarks: he is recognising the problems that farmers have. This morning, I received an email from the NFU referring to its recent survey and stating that short and mid-term confidence among farmers is at its lowest level since records began, and that production is expected to decrease over the next year. Given all the problems that farmers are facing, is he absolutely sure that now is the right time to make these reductions?

[Sir Mark Spencer]

I should be clear and gently push back when my hon. Friend mentions reductions. The budget for the basic payment regime was £2.4 billion, and £2.4 billion is still the budget. So the size of the cake is completely the same, but the way in which the cake is being cut is different. Those are the changes we are making. The way in which we are dividing that cake is different, which is causing some challenge to some farmers.

My hon. Friend mentioned farmer confidence and the fact that some farmers are saying that productivity rates will be lower this year than they have been in the past. I think there is some truth in that: many farmers—I again draw attention to my entry in the register—have experienced unprecedented weather events and have been unable to plant crops, so they will see lower productivity this season. We are very much aware of that, and we continue to talk to farming representatives about how we can help to mitigate some of the impact later this year.

Oral Answers to Questions

Debate between Mark Spencer and Laurence Robertson

Thursday 12th January 2023 Commons Chamber

[Mr Laurence Robertson (Tewkesbury) (Con)]

5. What recent assessment she has made of the potential impact of the introduction of environmental land management schemes on farmers’ incomes.

[The Minister for Food, Farming and Fisheries (Mark Spencer)]

As my hon. Friend knows, this Government are committed to backing British farmers. Last week I announced that farmers will receive more money for protecting and enhancing nature, and delivering sustainable food production under the environmental land management schemes.

[Mr Robertson]

I thank the Minister for that response. He will be aware that some farmers are concerned about moving away from the basic payment scheme to ELMs. Can he assure farmers that it will be in their financial interests to do so, given the complexity and uncertainties of the schemes, and given the high production costs that farmers are facing to produce food, which is of course their basic job?

[Mark Spencer]

I hope my hon. Friend will have recognised the increase in the payments we are making. Only last week we announced that some of the prices we will pay in countryside stewardship will rise by more than 40%. I encourage his constituents, and farmers up and down the country, to take another look at these schemes, which are a great opportunity for them not only to produce great food, but to enhance the environment and improve our biodiversity.

Support for Local Food Infrastructure

Debate between Mark Spencer and Laurence Robertson

Thursday 8th September 2022 Westminster Hall

[The Minister of State, Department for Environment, Food and Rural Affairs (Mark Spencer)]

Mr Robertson, am I correct that I have until 3.08 pm to try to catch as many of those comments as I can?

[Mr Laurence Robertson (in the Chair)]

indicated assent.

[Mark Spencer]

I apologise now if I do not manage to respond to all the points that have been made.

I start by thanking my hon. Friend the Member for Waveney (Peter Aldous) for securing the debate. It is clear from the number of people who have taken the trouble to be in the Chamber today that lots of colleagues across the whole House are interested in this topic; it is a demonstration of how important this issue is, not only to Back Benchers but to the Government. I also thank the hon. Member for Cambridge (Daniel Zeichner) for his kind words. That is twice he has given me kind words today—I am very much enjoying this honeymoon period. [Interruption.] I am sure it will not last too long.

First, it is worth pointing out that the food and drink industry is a vital cornerstone of our national economy. It contributes about £139 billion annually across all the agrifood and seafood sectors, and employs 4 million people. We are determined to have a productive, secure and resilient domestic food and drink sector, and we are supporting businesses to ensure that that is the case. We are rightly proud of our food and drink sector. We will always champion our farmers and producers and support them to grow, innovate and thrive. We have heard in the debate today various suggestions for how innovation can take place and how we can assist companies that operate in that sector to innovate.

The food strategy published earlier this year sets out how we can make the food we eat more sustainable and healthier for consumers, while maintaining the resilience of the supply chain and creating a prosperous environment for food and drink businesses across the whole country. The UK has had a highly resilient food supply chain, as demonstrated when we responded to covid-19 as a nation. It is worth pointing out that although there was enormous pressure on some food supply chains, at no point did the UK run out of food. Our food security report in December 2021 highlighted that. We are well equipped to deal with situations with the potential to cause of disruption.

Our high degree of food security is built on supply from diverse sources, including strong domestic production as well as imports through stable trade routes. We produce 61% of all the food we need, and we can grow 74% in the UK for most of the year. That draws me to the comments made by my hon. Friend the Member for Totnes (Anthony Mangnall), who talked about education and getting kids in schools to understand our food networks and how food is produced, and seasonality has a huge part to play in that. I know that some people in the food retail sector will be frustrated by customers that turn up on Christmas eve and say, “Why is there no UK asparagus?” Education of our consumers will play an important part in food resilience as we move forward.

Although the food supply chain is under some strain owing to multiple concurrent pressures, the sector has proven itself capable of keeping supply strong. We can expect that to remain the case over the winter months. However, it is worth pointing out that Vladimir Putin’s illegal invasion of Ukraine has had a massive impact on energy and food supplies across Europe. We are part of that global network and are feeling the winds of pressure from that invasion.

The Government have already taken action to support farmers. This year we pulled forward the basic payment schemes, so 50% of the payment has already gone out. There is a £37 billion package of support for households. The Government are determined to tackle the cost of living, and of course the House heard earlier from the Prime Minister as she set out further plans to support people through the coming months.

We have introduced a set of questions into the family resources survey to measure and track food bank usage, and DEFRA is working with delivery partners to tackle barriers to food redistribution. DEFRA continues to use regular engagement, working with retailers and producers to explore a range of measures so that they can ensure the availability of affordable food.

We are giving support to local food. SMEs are at the heart of the sector. My hon. Friend the Member for Stoke-on-Trent Central (Jo Gideon) said that 98% of small businesses are food and drink manufacturers. Such businesses often use local supply chains to source ingredients, with low food miles and championing sustainability. The Government are focused on helping these businesses grow, including through exporting, selling direct to consumers, accessing public sector procurement opportunities, and promoting their products at a regional level. That point goes right to the heart of the debate and the point made by my hon. Friend the Member for Waveney. Clearly, the infrastructure required to support that is vital.

Several colleagues mentioned the lack of abattoirs or fish processing in certain locations, but there is a reason to be optimistic. There are companies that are exploring mobile abattoirs as one concept that might be able to assist local markets to thrive and expand. As part of our support for these businesses, the Government hosted a regional food and drink summit in Birmingham in March. The summit successfully brought together SMEs and regional organisations to share best practice and access help to grow their businesses.

Following on from that, we are continuing to empower businesses and regional organisations to leverage growth opportunities, champion their regional food identity and develop links with local tourism, which will be holding a workshop later this year in the east of England—we would be delighted if my hon. Friend the Member for Waveney could attend and celebrate the fantastic food and drink from businesses in Suffolk and in his own constituency. My hon. Friend the Member for North Devon (Selaine Saxby) referred to tourism and to the beautiful landscape of North Devon—I had the privilege of taking my wife to the South Molton sheep sales—that probably says more about my performance as a husband than as a Minister—which was a recognition of those supply chains and how important they are to that local economy.

We recognise the importance of local sourcing. This was reflected in the Government’s hospitality strategy published last year, which included a commitment to develop a blueprint for hospitality-led regeneration. Street food venues will be encouraged to connect with local food producers and reduce food miles and waste, boost employment, and grow local economies.

In addition to the Government’s work, we recognise the role that local organisations play in supporting local food and drink. For example, the New Anglian Local Enterprise Partnership has funded a food enterprise park just outside Norwich. This is part of a plan to develop a food and drink cluster between Norfolk and Suffolk to facilitate growth in the agrifood sector and encourage food and drink production across the area. It is also vital that we work as united nations, that we co-operate with friends in Scotland, Wales and Northern Ireland, and that those food production networks are easy to access and to celebrate. The food that is produced in those other parts of the United Kingdom will be vital to keep us all fed and healthy.

[Dr Rupa Huq in the Chair]

It is clear that local partners will continue to play a key role in growing local food, and we will be supporting and promoting food and drink businesses as we continue to work with these organisations to support local businesses and grow local economies. Supply chains form a crucial part of our local food infrastructure. The Government want all farmers to get a fair price for their products and we are committed to tackling contractual unfairness in the agrifood supply chain. There is a lot of debate about the Groceries Code Adjudicator—I sat on the original Bill that introduced it—but it has had an impact in making sure those in the retail sector conduct themselves in the right way.

We recognise the role that small abattoirs play in supporting local, rural economies. Representing a Nottinghamshire constituency, I can tell the Chamber that there is now no longer an abattoir in the whole county; farmers have to travel to access that sort of facility, and I know it is the same in many other counties. We are working with the Food Standards Agency and the Rural Payments Agency to streamline our administrative burdens, and our DEFRA industry small abattoir working group is engaging closely with the industry to ensure we take a strategic view of the issues facing the sector.

I raise the point of skills and labour. We know that labour is a critical part of our mission to support food producers, both nationally and locally. As announced in the Government’s food strategy, we have commissioned an independent review to tackle labour shortages in the food supply chain. The review will continue, and will consider how automation may help. New technology may well be able to assist us as we move forward, and of course that brings its own economic opportunities, as we are able to develop new technology and market it around the world if it is proven to be successful. The food strategy also announced that we will release an extra 10,000 visas for the seasonal workers visa route, bringing the total to 40,000 visas for 2022.

There were a few comments made about land use, not least by my right hon. Friend the Member for North Thanet (Sir Roger Gale). Land use is going to rise up the political agenda. My right hon. Friend, and other Members, will have heard the Prime Minister talk about the siting of solar panels on agricultural land. I share his view that the first priority should be to put solar panels on warehouses, schools and leisure centres before we take agricultural land out of food production. I think it was my hon. Friend the Member for Totnes who referred to the large amount of brownfield sites around the country that should be used first for housing developments or those sorts of schemes.

There are lots of reasons to be optimistic. There are lots of opportunities for us as a nation to support our great food producers and lead the world in some of the technology that is available; we should certainly promote that around the world. I am hugely proud of our food and drink sector and I recognise the important role it plays up and down the country in rural areas. We will continue to engage with the industry to develop strong local food infrastructure and ensure that British food is recognised at home and abroad for its high quality and welfare. I commend my hon. Friend the Member for Waveney for bringing this debate and look forward to his concluding comments.