Oral Answers to Questions

Jessica Morden Excerpts

Thursday 28th April 2022 Commons Chamber

[Jessica Morden (Newport East) (Lab)]

2. What assessment his Department has made of the impact of food price rises on household budgets.

[The Secretary of State for Environment, Food and Rural Affairs (George Eustice)]

Since we last gathered for DEFRA oral questions, our noble Friend Lord Plumb has, sadly, passed away. He was a titan of the agriculture industry, and National Farmers Union president throughout most of the 1970s, during a period of great change. He then went on to be President of the European Parliament. I know that the thoughts of all those in the House will be with his family.

Agricultural commodity prices fluctuate in any given year based on factors including energy costs and exchange rates. High energy costs exacerbated by events in Ukraine mean that there is going to be pressure on food prices as a result of increased input costs. The Government monitor household spending on food. Between 2008 and 2016, the proportion of household income spent on food by the poorest 20% of households was about 16%. It then dipped to under 15%, but we can expect that proportion to rise.

[Mr Speaker]

Order. We only have until 10 am for these questions, so we have to help each other.

[Jessica Morden]

Family-run farms such as Castle farm in my constituency are really being hit hard by the cost of feed, fuel and fertiliser, which in turn impacts on the cost of things such as eggs, as reported by BBC Wales today, and just adds to the soaring food prices that are hitting families so hard. Why are the Government not doing more, especially when the supermarkets are now cutting prices?

[George Eustice]

The Government are taking action. We have made available an additional £500 million to help households with increased pressure on household budgets. We are also taking measures, for instance, to remove tariffs on maize to try to reduce the costs of animal feeds. The hon. Member is right that the supermarkets will absorb some of these costs, but probably not all.