(2 weeks ago)
Lords ChamberMy Lords, I congratulate my noble friend Lord Frost on bringing this regret Motion against these regulations. It is extraordinary that this House is only now considering them months after they came into effect, but that makes it all the more important that we consider their implications, both in practice and in principle.
I want first to respond to the remarks made by the noble Lord, Lord Hannay. He wants an SPS agreement. I have good news for him: we have an SPS agreement. It is called the WTO Agreement on the Application of Sanitary and Phytosanitary Measures. It follows on from an agreement that I helped negotiate—the Uruguay round—which created the WTO, which then led to this. It says that SPS measures
“shall not be applied in a manner which would constitute a disguised restriction on international trade”.
In particular:
“Members shall accept the sanitary or phytosanitary measures of other Members”,
of the WTO,
“as equivalent, even if these measures differ from their own”.
Our measures, of course, are very largely identical. None the less, they have not been accepted by the EU because the EU likes to use phytosanitary measures—in direct conflict with the agreement it has signed—as a protectionist measure to impose what one EU negotiator referred to me as their desire to be a regulatory hegemon. “We are a regulatory hegemon”, he said, “and we intend to remain so in our area”. They try to impose it on Switzerland and they would like to impose it on us.
I know that the noble Lord, Lord Hannay, is a fanatical enthusiast for international law and hates any breach of it, except when the EU is in breach, as it is on multiple occasions on this very issue of sanitary and phytosanitary measures, and has been found to be so by the WTO. I am sure he will welcome the fact that we have this agreement and will do his best to persuade the EU to live up to the agreement it has already entered into, rather than request we make further concessions for it to agree to something it has already agreed to.
I do not fully understand the Government’s position on these specific measures. I look to the Minister to illuminate them and explain them to me; I may well have not understood them. They seem to relate to two bugs or diseases. The first is Heterobasidion irregulare; I am sure noble Lords are thoroughly familiar with it. The impact of the controls will be that:
“Host material imported into Great Britain from EU Member States, other than any EU Member State where Heterobasidion irregulare is known not to occur … will need to be free from this pest and compliant with the additional import requirements. This pest will also be subject to increased awareness raising, surveillance and action on detection within Great Britain to protect biosecurity”.
Is Ireland free from this bug? If it is, why do we need any checks?
I am very grateful to the noble Lord for bringing this up. I am sure he will be able to remind me of the clause in the Northern Ireland protocol—to which the EU signed up—that says the EU will use its best endeavours to ensure that there is no need for checks and border posts at the ports and airports of Northern Ireland. Now it is insisting that they exist, rather than trying to find ways of doing without them.
I suspect that the answer will be, “We need them there just in case there’s an outbreak of disease and we have to inspect animals and get back to crawling under tractors to see if there is any Scottish soil underneath”, and so on. There will be an answer. As the noble Lord is aware, there is always an answer.
Can the Minister tell us what the implications of the new customs rules that are coming down the track—which our committee is aware of and looking at—will be for the situations we are facing tonight? I think they mean that intrusive interference will be coming down to a very low level—to the level of an individual. Maybe Members do not realise that the Select Committee to which the noble Lord, Lord Dodds, referred—and of which he and I are members—is the only committee in this Parliament that is looking at EU regulations and laws that apply to Northern Ireland. Nobody else is looking at them. There is nothing down at the other end. I think that is an outrage; the House of Commons should be looking at these things. Ours is the only committee in Parliament that is looking at these matters; maybe that says a lot about what people’s priorities are.
I ask the Minister to refer to the customs issue, because I think that is going to come very much to the fore. Can she also tell us what preparations are being made for the 2026 renegotiation of the trade and co-operation agreement? Are the Government preparing and working with other interested parties to decide the best way forward and to see whether, while we cannot solve these problems in their entirety—and certainly not constitutionally—we can perhaps mitigate them further to at least alleviate some of the obstacles that are in the way of business?
To be honest, I am not going to take any interventions; it has gone 11 pm.
On plant health threats, the UK Plant Health Service, as I mentioned earlier, has Defra, the Scottish Government, the Welsh Government, the Northern Ireland Executive, DAERA and the Forestry Commission as part of it. So it is properly considered and looked at. The noble Lords, Lord Dodds and Lord Roborough, talked about the removal of border checks putting biosecurity at risk, looking in particular at the rising pest risk in the EU. The agreement will explicitly allow for the UK to take action to protect biosecurity. This will mean that the UK has access to EU databases and other systems to help us do this. This is a big benefit. The common understanding is that the UK should be able to take targeted action to protect its biosecurity in public health, in the same way as member states can in the EU.
The noble Lord, Lord Dodds, mentioned FMD protection for Northern Ireland. As he said, Northern Ireland is protected under the biosecurity regime of the EU. Northern Ireland implements official controls and additional protections in response to risk, such as measures related to pest-free areas, traceability and additional notification requirements for the highest- risk goods in order to maintain the island of Ireland’s biosecurity.
The noble Lord, Lord Lilley, and the noble Baroness, Lady Grender, asked about Popillia japonica. The noble Baroness rightly said that the reason these pests are mentioned in this SI is that the new requirements are already in place in Northern Ireland, so this is bringing the rest of GB into alignment with Northern Ireland; that is what the SI does.
I have said I am not taking any interventions.
The Minister has not replied to a single point I made. If the bug does not exist in Ireland, why are we inspecting goods coming from Ireland?
There are plenty of bugs that do not exist in our other countries and are far away that still have the propensity to come here or could possibly arrive here. Therefore, we need to be absolutely vigilant regarding any new potential pests and diseases. The noble Lord, Lord Roborough, talked about the devastating consequences if we do not do that, so we absolutely need to be doing this.
I just have a couple of points and then I am going to wind up, because it is getting late. I will go to Hansard and write on any outstanding points. The noble Lord, Lord Empey, mentioned the trade and co-operation agreement and that its review is due next year. I will take that back to the department and speak about the noble Lord’s concerns on this, because he made a very sensible and relevant point. I completely agreed with the noble Lord, Lord Bew, regarding compromise. It is an extremely important point to make and, if we are to move forward, compromise is going to be critical.
In conclusion, I emphasise that this instrument is a routine update that ensures that risk-based and proportionate biosecurity controls are in operation in Great Britain. Northern Ireland continues to be able to respond to pest risks specifically for Northern Ireland where needed, and will continue to play a full and comprehensive role in technical and policy decisions affecting the UK as a whole.
I remind noble Lords that I meet regularly with DAERA and the Northern Ireland Ministers and their team. Also, I understand that we have a regular meeting of our Northern Ireland Peers this Wednesday, so I am sure that we can pick up many of these issues and continue further at that meeting.
Finally, it is very late. It has gone 11 pm, so I thank all the staff who have stayed and supported us in the House at this late hour.
(8 months ago)
Lords ChamberIt is a really important point that the noble Lord makes. If we are moving to a more circular economy, as this Government want, we have to see less residual waste being generated —in fact, less waste as a whole. There is a statutory target to effectively halve residual waste by 2042 from 2019 levels, but there still will be an estimated 17.6 million tonnes of residual waste to manage in 2042. Therefore, we have to look at the bigger picture. How do we actually reduce waste overall?
My Lords, is not the biggest incinerator in the country the Drax power station? It receives eye-watering subsidies for burning wood that has been transported across the oceans, creating emissions, which has had to be dried and cut into chips, also making emissions, and which emits, on being burned, more CO2 than coal. This is justified on the grounds that, over the next half-century to a century, trees replanted in those forests will absorb CO2. If we can take this leisurely approach to reducing CO2, is there really a climate emergency?
I do not consider the Government to be taking a leisurely approach on this aspect. What is really important is that we look at how we decarbonise our energy from waste facilities going forward. We have consulted on expanding the UK Emissions Trading Scheme to waste incineration and energy from waste, and we are taking on board the responses to that and will bring forward detailed final policy in due course. We plan to include energy from waste under decarbonisation readiness requirements.
(1 year, 4 months ago)
Lords ChamberAs a resident in Scotland, I would not necessarily agree with everything that the noble Lord has said. It is a devolved issue, and Scotland is entitled to make its own decisions on this.
My Lords, as a young boy, walking in the countryside and coming across a sign saying, “Trespassers Will Be Prosecuted”, my father assured me that it was a bluff. There is no law against trespass in this country, as long as you do not do damage to crops, livestock or property. That was why Mr Fagan, when he climbed over the wall into Buckingham Palace and got into the Queen’s bedroom, could not be sued for trespass but had to be convicted of stealing half a bottle of wine.
I am not entirely sure what the question was, but if my noble friend wants me to agree with him about Mr Fagan, I am very happy to do that.
(1 year, 5 months ago)
Lords ChamberMy Lords, it is a pleasure to follow the noble Baroness, Lady Hayman. I congratulate the noble Lord, Lord Trees, on securing this debate, introducing it so comprehensively and demonstrating its importance. The Government’s Plant Biosecurity Strategy for Great Britain says:
“Since our departure from the EU, the number of plants and plant products entering Great Britain that require inspection has increased significantly”.
I want to explore why, what those inspections will involve and how effective they are likely to be.
As I understand it, before we left the EU in January 2020, we relied on plant passports for higher-risk plants. These were issued by growers who themselves were subject to inspection from time to time. Henceforth, all consignments that used to come with a plant passport must be accompanied by a phytosanitary certificate issued by the exporting country’s plant health service. We also recruited 200 extra inspectors, presumably to carry out our own additional inspections. Does this requirement for increased inspection reflect a new and enhanced threat?
The Forestry Commission says that there seems to have been an increase since 2002. Indeed, there has been one new outbreak affecting trees every year, although there were far fewer before that date. As far as I can see, there is no evidence of any recent acceleration, but I may be wrong. When new controls were announced as coming in shortly, the Government cited African swine fever and another disease, whose name I forget. I certainly see signs in France and Italy about the danger of African swine fever. If there are specific threats, should the checks not be focused on those? Is that the intention, or will we spread the checks more widely?
Are we introducing these controls simply in retaliation because the European Union applies its SPS rules to us? We know that its SPS rules quite often go beyond what is required for health and are somewhat protectionist in their intent. If so, I would counsel against that. Tit for tat is always a bad approach. We should threaten to do things only if it is part of a bargaining strategy with a realistic prospect of us reverting to a situation of mutual recognition, which we had before leaving.
Will the controls be a significant burden on trade? I understand—and I am grateful to the CEO of Fera for this information—that in 2021 a quarter of a million consignments were notified to the PHSI, 30,000 were tested and 6,000-plus were found to contain pests, with more than one pest or problem in some, so there was a 2.5% success rate, as it were, in those consignments assigned. In future, will we be testing a far greater number? Are we expecting any great increase in effectiveness as a result, or are we doing it simply because, as is so often the case, regulators have a natural desire to increase their powers and budgets? Some of the lobbying I have received certainly has a whiff of that about it.
Let us suppose that what is being proposed and introduced is necessary, will be effective and will not induce a great extra burden on our businesses. In that case, we should all welcome it as a great Brexit benefit—something we could not have done while we remained a member of the EU.
(1 year, 11 months ago)
Lords ChamberMy experience of this is that it is not quick enough. The River Thames is the conduit for water for a number of water companies in the south- east and it needs a reservoir in its headwaters. That has been being planned now for more than a decade and a half, and we want to see it built. It is unlikely to be built within the next decade because it is an incredibly complex process, but we are also looking at trying to move water more effectively. We can now move water from Yorkshire to Ipswich and from parts of Wales into the south-east of England—I know that is a controversial issue and I do not want to unleash the noble Lord, Lord Wigley, on that one. We are looking to use technology to move water more effectively.
Does my noble friend agree that, in contemplating how we prepare for the future, we should take into account the science, as prepared by the Intergovernmental Panel on Climate Change, which is summarised in table 12.2 of Working Group II. It says that, though of course the temperature is expected to rise if we follow the most extreme scenarios, as the noble Baroness, Lady Jones, has forecast, there is not expected to be, nor is there any sign so far of, any increase in droughts, floods, landslides or fires.
My experience in talking to members of the Intergovernmental Panel on Climate Change, the Royal Society and some of the best experts in the world on this is that there is a very real danger. While I respect my noble friend in so many ways, I feel I will listen in this case to members of the Royal Society and the Intergovernmental Panel on Climate Change, because they are the guardians of knowledge on this.
(2 years ago)
Lords ChamberMy Lords, I was going to say what a privilege it was to follow such a brilliant speech from my noble friend, but I am sure we all know how brilliant it would have been.
I will try to be brief; I find the idea of shooting a noble animal and displaying its head, tusks or hooves on the wall in one’s home somewhat repugnant. But if I did wish to ban this practice—and the fact that it is repugnant does not necessarily mean it should be banned—I would begin by banning it at home, and stopping the export of trophies from this country, thousands of which are exported every year to other countries. This Bill does not do that; it leaves us free to do these things within our own country and export these things to other countries but simply bans the importation of trophy animals from abroad, in practice from developing countries.
I respect the passionate animal lovers in this place, not least my noble friend Lady Fookes, who automatically supports any measure to protect animals. But it is another aspect of this Bill that I take issue with. I have been struck time and again, since I have been in this place, by the residual imperialism of the attitudes that prevail. Now, one might expect that there might be a certain nostalgia for empire to linger on in the right but, although we hear incessantly from our liberal intelligentsia about the need to decolonise our minds, institutions and history, and lay down and check our white privilege, it is above all on the progressive left—who I confidently predict will support this Bill unanimously—that these neo-colonialist attitudes linger on and who most need to check their own white privilege and decolonise their minds. This Bill absolutely epitomises that; it assumes that Africans do not know what is in their own interests and cannot run their own countries, and that we have a right to tell them how to do so.
In Bleak House, Dickens ridicules this sort of thing as “telescopic philanthropy”, a misguided and patronising obsession with far-off problems about which his anti-heroine, Mrs Jellyby, knew little. Indeed, in some ways this Bill is worse than Mrs Jellyby’s telescopic philanthropy; she may have ignored poverty at home, but at least she wanted to relieve it abroad. But some of this Bill’s advocates are guilty of telescopic misanthropy; they are solely interested in signalling their virtue to their friends, even though the result of their actions can only be to impoverish people far away and put at risk the survival of the creatures they claim to want to protect. They accept that it will deprive some poor people of their income. One very thoughtful letter I have had from an advocate of this Bill said “Oh, it’s only £200 million that will be lost”, but £200 million goes a long way in a poor country. But that is tough—if they lose their income, it makes liberal white people feel good, and they patronisingly tell Africans who lose their jobs that they can still rely on our aid programmes, which makes white liberals feel better still.
The Bill’s advocates also ignore the fact that it will remove the incentive to protect and conserve these animals from the two great threats they face—poaching and habitat loss—and that therefore some species will be made at greater risk of extinction as a result of this Bill than would otherwise be the case. It is time we recognise that our former colonies are sovereign independent countries; they are the best judges of their own interests, and they have every interest in preserving endangered species. It really is time we help the intelligentsia in this country rid themselves of their liberal imperialism, lay down their white man’s burden, and focus on problems which are our own responsibility.
(2 years, 3 months ago)
Lords ChamberMy Lords, it is a pleasure to follow the noble Baroness, Lady Young, with whom I share the honour of serving on the Environment and Climate Change Committee, under the excellent chairmanship of the noble Baroness, Lady Parminter, whose amendment I wish to address. However, before I do, I say that I do not think that anybody in this Chamber wants to tear up necessary environmental protections that maintain the standard and beauty of our environment. Certainly I do not, and I do not think that the Government have any such intention.
However, some of us want to change those regulations in a way which would improve them and make them less onerous and less burdensome. I fear that the amendment tabled by the noble Baroness, Lady Parminter, would prevent that, because it says in proposed new subsection (2):
“No provision to which this section applies may be made … unless … the provision … will contribute to a significant improvement in environmental protection.”
Therefore, no change may be made unless there is some improvement—even to a regulation which could be made less onerous but where there is no scope for improving the standard of environmental protection or where any additional environmental protection would be unnecessary and not cost effective. This could freeze the whole thing.
If the noble Baroness, Lady Parminter, interprets her amendment in a way that she did not in her speech, that improvement can be making a law less onerous, then that would be an excellent and wonderful thing, because there is considerable scope for making environmental protection less onerous than it is now. Current rules can be cripplingly expensive, mind-bogglingly complex and hugely time-consuming. Moreover, those failings can prevent environmentally desirable developments.
My eyes were opened and the scales fell from them when I read an article by Sam Dumitriu—you only have to Google it and you will find it. He points out that the proposed Norfolk Boreas offshore wind farm, which is necessary and desirable for environmental reasons, as I am sure all noble Lords would agree, to reduce our emissions, needed to produce 1,961 documents just to get approval, with a total of 13,275 pages. That is more words than the entire works of Tolstoy and all seven volumes of In Search of Lost Time. That probably could be streamlined and made easier without undermining the protection of the bit of sea where that windfarm is proposed to be.
Let us take Sizewell C nuclear plant. Some people object to nuclear plants, but those who want to reduce carbon emissions think that they are a very necessary part of our energy mix. It will be built alongside an existing nuclear plant, so you would think that most of the environmental obstacles had been overcome. It is desirable to reduce CO2, but it had to produce environmental applications running to 44,260 pages, most of which referred not to land but to any impact that it might have on the sea and maritime areas nearby.
It is difficult to put a cost on, because the people who have had to go through these processes are in the private sector, but a freedom of information request by New Civil Engineer magazine revealed that the highways agency, when applying to build a 23-kilometre road, had to produce 30,000 pages of environmental application, costing £267 million. I am sure that the noble Baroness, Lady Bennett of Manor Castle, does not want any extra roads, and I respect that, but I think that she would agree that if you are not going to build the road, then just stop it, save £267 million and spend it on something worth while rather than on a process of applying for environmental protection which is just mind-bogglingly expensive.
For each of those cases, I do not know how much regulation was imposed on us by the EU and how much by our own volition. From listening to noble Lords and noble Baronesses who have spoken in these debates, almost all assume that all environmental protection of a worthwhile and onerous kind comes from the EU. I would be grateful if the Minister, not necessarily in the reply to this debate but subsequently, can tell us to what extent EU law is feeding into these hugely onerous, costly and time-consuming things that prevent us doing what is necessary for the environment and would help us to meet net zero.
(2 years, 7 months ago)
Lords ChamberMy Lords, it is a pleasure to follow the noble Baroness, Lady Bennett of Manor Castle. Since my wife is always accusing me of verbal pedantry, I suppose I should feel some sympathy for the noble Baroness’s opening argument, which seems semantic in essence—that the words “precision breeding” in the title of the Bill do not accurately describe genetic editing. However imprecise the wording may be, no one can doubt that gene editing is more precise than relying on random variations of natural breeding, let alone the radiative mutations that used to be permitted. I just suggest to the noble Baroness that a rose by any other name may smell as sweet, and that this Bill, under any other name, would be as good.
I cannot claim the expertise contributed by many noble Lords in this debate but, for 35 years, I have had the honour of representing Rothamsted agricultural institute. The noble Baroness, Lady Jones of Whitchurch, has the even greater honour of being on its board. It is one of the oldest agricultural research institutes in the world and it is world-leading. It aims to bring the best of science into practical application. I spoke to people there this morning and gathered that they are immensely supportive of this Bill. Someone said it removes the roadblock that an EU legal ruling has provided, which has prevented the institute implementing and gaining practical benefit from scientific developments that have already been made. Only a couple of weeks ago, it planted the seeds in a second trial for gene-edited wheat. I am informed that normally when wheat is cooked it can produce acrylamides, which are potential neurotoxins. This variant will produce fewer acrylamides and will be less toxic; it will be safer and healthier for users if all goes well. That is an example of how this sort of technology can be good for the health of humans, as well as for plants, animals and the ecosphere.
As the noble Lord, Lord Jopling, said, we are having to change the law because we inherited law from the European Union that was based on the precautionary principle. I only wish that Viscount Ridley were here to contribute to this debate. He has often analysed the precautionary principle in the past and said it boils down to saying that you must not do anything for the first time. The principle has been around in Europe since long before the European Union was thought of. When tomatoes were first brought from South America to Spain, people said, “They are obviously deadly poisonous. You must not eat them. That red colour signifies their danger.” For two centuries, no one ate tomatoes—they were grown only for decorative purposes—until a couple of old souls tried them and found them tasty and nutritious. They are now a major part of our diet.
We must avoid adopting the principle that we must not do anything alien, new and untested, particularly now that we are in a position to understand the science of what we are doing and to know that gene editing is not only essentially natural—doing what nature does but in a more targeted and specific way—but potentially safer. It focuses on benign and beneficial changes, which will increase yields; reduce reliance on herbicides, insecticides, fungicides and artificial fertilisers; and enable crops to adapt more to climate change. It will do so, I hope, with precision and without damage to the environment.
By contrast, nature is not benign. It does not produce only mutants that are naturally beneficial. They can be harmful and dangerous. They often harm the particular organism that has mutated. I am told that, if the potato were now introduced as a new, freshly developed artificial product, it would almost certainly not be allowed in any country in Europe and probably not here: when potatoes turn green, they produce alkaloids that can be toxic. Peanuts would certainly not be allowed if they had been produced by artificial means. However, with this technology, there is every chance that we will be able to produce variants of peanuts that will not produce toxic anaphylactic shock. This would greatly benefit the many people who are potentially allergic to them.
In the past, we have allowed radiation-induced variants. This involved putting seeds and plants into nuclear reactors and bombarding them, producing millions of variations and hoping that some would turn out to be beneficial. That is a far more random process than anything that we are talking about here. Golden barley, much loved by brewers, was produced by that process and contains literally millions of variations from the original, natural barley from which it was produced. We now have 25 years’ experience of various scientific approaches to genetic modification and editing, and no one has suffered or died. None of the fears and concerns that people have expressed has, as far as I know, been observed in practice. We can therefore proceed in the way that the Bill suggests that we should, and that way should give us all confidence.
The noble Lord, Lord Krebs, mentioned how he had been vilified as a result of the Daily Mail campaign against “Frankenstein foods”, one of the most effective images ever conjured up. I am ashamed to say that, at that time, the party of which I was deputy leader played along with that and thought that there were votes to be gained from expressing opposition to those foods. I was certainly not supportive of that particular approach. I am glad that we—and the Labour Party and the Liberal Democrats—have accepted, in principle, that we should go along with the scientific approach of allowing gene editing.
One can understand that naturally people are concerned when something new, strange and unknown comes on the scene. However, I am sad that the hostility stirred up then by the Daily Mail and others was allowed to stop not just gene editing but genetically modified organisms over a generation. For example, it prevented golden rice, which was genetically modified to produce more vitamin A. If used in developing countries, it would have saved millions of people from blindness. However, until very recently, it has not been available—I gather that it is in the final stages of approval in the Philippines and one or two other countries. We should be ashamed of allowing such hostility to build up without examining the science behind it and reassuring ourselves that there was virtue involved, rather than risk.
I very much hope that the Bill will go through. Of course, it may require some of the amendments that have been suggested. I hope too that, when it has been shown to work effectively and not result in the things that people fear, it will pave the way for us to allow other forms of genetic modification as well, to the benefit of humanity and this country.
(4 years, 3 months ago)
Lords ChamberMy Lords, unlike all those who have spoken from home, I am old enough to have been vaccinated and feel relatively secure in this place, but it is comforting to know that many of them are so much younger than they look.
As is usual with debates on agriculture, this debate has been dominated by those speaking for the landed interest—farmers, landowners and, to a limited degree, environmentalists. It is right that we should hear their concerns. We want a healthy agricultural sector and a beautiful environment. However, we rarely hear from consumers and taxpayers, so I will say a few words from their point of view.
I understand that the Government are bound by the pledges made during the election and the referendum to maintain agricultural payments at the level set by the EU for a number of years. Instead of making direct payments to farmers and landowners, the Government intend to phase them out, replacing them with payments to farmers for providing public goods, maintaining the environment and protecting biodiversity.
This raises a number of questions. First, should we continue the same level of spending that we have inherited from the EU? Virtually all speakers so far have assumed that we should or will do so. That raises a second question: what level of environmental goods do we want? It would be an extraordinary coincidence if the cost of the environmental and public goods we think that the taxpayer wants and is prepared to pay for were exactly the same as the previous level of subsidy, inherited from the EU. After all, we used to get a beautiful landscape as a by-product of farming. It was by accident, not design, and certainly not the result of paying farmers over the centuries to farm in an aesthetically enjoyable way. The presumption must be that we do not need to spend all the EU subsidy on environmental goods indefinitely.
The third question is whether these payments are really intended to provide an income roughly equal to the loss of direct subsidy payments. Farmers and several noble Lords seem to assume that they will, but if the payments for environmental goods are equal to the additional cost to farmers of providing the environmental benefits, they will not replace the subsidy income they have lost. For example, if payments compensate for the loss of income resulting from land taken out of production for reasons of biodiversity or otherwise, they will not also offset the loss of subsidy income. Likewise, if the payment equals the opportunity cost to farmers of their or their employees’ time spent on environmental goods instead of on farming, it will not provide any net income to compensate for the lost subsidy. Similarly, if the payment simply meets the cost to farmers of resources and equipment that they have to buy in or hire to provide environmental goods and services, they will not provide any replacement of the lost subsidy.
However, farmers and most noble Lords who have spoken assume that these environmental payments will replace the lost direct subsidy or a significant part of it. They in effect assume that they will be paid for environmental goods above the cost to them of providing those goods, and probably that they will be paid for providing environmental goods and services which they would have provided anyway as a by-product of farming. We should doubtless be grateful for that, but we should not necessarily expect to pay for it.
I hope that in this and the other House we will look at the long-term costs of subsidies to farming and see whether they can perhaps be phased out. I happened to become a good friend of the late and sadly lamented Michael Moore, the former Labour Prime Minister of New Zealand, who phased out, very dramatically, all subsidies for agriculture in New Zealand. We should learn some lessons from that experience. The first lesson he told me was not to do it as dramatically and overnight as New Zealand had to in the crisis that it faced—any phasing out of subsidies should be sensible and over a period of time.
However, we should recognise from New Zealand’s experience that the taxpayer’s interests and agricultural interests are not always as diametrically opposed as they might seem ex ante. Although the abrupt removal of subsidies in New Zealand dramatically reduced average farm incomes, within five years they had reached and exceeded the average incomes before the subsidies were removed. It seems that a lot of the subsidy that was previously given to the agricultural industry in New Zealand—it may be the same here—ended up not in the incomes of farmers but in the margins of suppliers of fertiliser and other agricultural products. In the long run, when farming not for subsidies but for the value of the products produced, the productivity growth of agriculture was greater and the opportunities for increasing productivity were much greater than people had supposed.
(4 years, 4 months ago)
Lords ChamberThe noble Baroness has hit on why we wish to have discussions with the Commission. It interprets the matter as being one of public health. The point is that all molluscs exported from class B waters have to be depurated. That is undertaken by businesses near to the market on the continent, and it is on that we are seeking redress. The Commission made it clear in September 2019—and I can put copies of the correspondence in the House Library along with the letter to the Commissioner—that molluscs exported for purification can be certified. We therefore think that there is an issue that we need to clarify.
My Lords, is not this and other measures taken recently by the EU to punish the UK for leaving its jurisdiction a flagrant abuse not only of the EU’s own laws but of several international laws such as the WTO SPS agreement, which states that WTO members
“shall accept the sanitary or phytosanitary measures of other Members as equivalent, even if these measures differ from their own”—
ours, of course, are identical—as well as the recent TCA, which states that each party shall ensure that SPS measures
“are not applied in a manner which would constitute arbitrary or unjustifiable discrimination against … the other Party’s territory where identical or similar SPS conditions exist”,
which they do in this case? I hope that my noble friend will make this lawlessness apparent to this House, which always maintains the importance of upholding international law.
Again, my noble friend is correct to raise this point. It is why the Secretary of State wrote to Commissioner Kyriakides yesterday. We wish to meet her and her officials, because we simply do not understand the legal interpretation of what has come out of the Commission very recently, which is entirely contrary to what we had been told previously.