Monday 30th November 2020

(3 years, 6 months ago)

Commons Chamber
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George Eustice Portrait George Eustice
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My right hon. Friend makes an incredibly important point. When the current incarnation of the common agricultural policy was put in place, NFU Scotland was very clear that area-based payments could not be made to work properly in Scotland. It is difficult therefore to see the justification for maintaining a policy built solely on area-based payments, given the large variance in land types. I agree with him that the Scottish Government should, in line with all other parts of the UK, take this opportunity to do things differently and to do them better.

Tim Farron Portrait Tim Farron (Westmorland and Lonsdale) (LD)
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British farming genuinely is the best in the world, fundamentally because of the family farming unit upon which it is based. The Government’s plan to deliver environmental goods through the environmental land management scheme is good and laudable, and we support it. However, the transition whereby, in a revolutionary way, people will lose half their income in three years’ time—when the average livestock farmer is reliant on basic payment for 60% of their revenue—will lead to hundreds upon hundreds of those family farms going out of business and therefore not being in a position to deliver those environmental goods by 2028. The landscape of the Lake district and the Yorkshire dales is shaped by centuries of family farming. By accident, the Government could undo all of that in a few short years—even months—so will the Secretary of State think again, not penny pinch, and make sure that the basic payment is rolled over in full until the point at which the environmental land management scheme is available for everyone?

George Eustice Portrait George Eustice
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The concept of area-based payments has only been around for about 15 years, and it has not always been in the interests of agriculture. The truth is that farmers may be the recipients of the BPS, but they are not the only beneficiaries: the BPS payment has inflated land rents and input costs, prevented people from retiring, and also prevented new entrants from getting on to the land. That is why we believe there is a better way to pay and reward farmers in future.