Biodiversity and the Countryside

Lord Roborough Excerpts

Thursday 13th November 2025 Lords Chamber

[Lord Roborough (Con)]

My Lords, I am most grateful to my noble friend Lord Grayling for securing this important debate on the impact of this Government’s policies on biodiversity and the countryside. The scorecard is looking pretty grim, as many noble Lords have pointed out in this fascinating debate, and I will address further some of those points.

Before I do so, I refer your Lordships’ House to my registered interests as a quasi-regenerative farmer with Countryside Stewardship, landscape recovery and sustainable farming incentive schemes, as an owner of woodland and developer of new forests under the Woodland Carbon Code, as a peatland restorer under the Peatland Carbon Code and as an investor in natural capital-related businesses.

Most of us in this debate bear the scars of the Planning and Infrastructure Bill. Creating a new system via the environmental delivery plans to protect and compensate for damage to nature in development simply confuses the issue when we, in government, put in place protections and market structures that ensure that nature overall should benefit from development through our landmark Environment Act 2021.

My noble friend Lord Grayling and others mentioned the biodiversity net gain market, created in the Environment Act and underpinned by the mitigation hierarchy. The BNG industry report from July this year highlights 21,000 acres now dedicated to biodiversity net gain after only 15 months of operation, and forecasts a £3 billion market size by 2035. Should the Government accept our amendment to the Planning and Infrastructure Bill, as mentioned by the noble Baroness, Lady Grender, this would allow those BNG markets to continue to develop, with greater experience building among those buying these units as well as selling them, proving that nature does not need to get in the way of growth.

Earlier this year, the Government conducted a consultation on its functioning. Can the Minister tell us when the Government will respond? We would welcome any changes that make the system easier to use for smaller developers and that allow the market to function more effectively for nature and growth. I agree with my noble friends that this need not mean exempting small developments.

What nature needs as much as our rural community is consistency. Habitats need to be left alone in order to thrive; farmers need to be able to plan ahead to make good decisions for their businesses and the right decisions for land use. This Government have halved inheritance tax reliefs under APR and BPR, destabilising that long-term planning. They have smashed delinked payments, brought SFI applications to an end and forced the farming community to wait until a date—which we hope we will hear shortly—in 2026 before any information or payments will be available for new schemes.

While the one-year extension to Countryside Stewardship mid-tier schemes, due to end this year, is most welcome, it was late. The net result is anecdotal evidence that many farmers have ploughed up or cultivated land that had been managed under these environmental schemes, in order to have some confidence that their businesses would survive. Can the Minister confirm that the beneficiaries of this extension will be able to apply for the new SFIs to be launched next year, rather than having to wait another year and potentially being closed out again?

This Government, and indeed previous Governments, are not providing the answers that biodiversity and the countryside need. The Government must incentivise private investment in nature recovery and other natural capital markets. Farms are businesses, not just producing food but sequestering carbon, protecting and enhancing nature and looking after our landscapes.

The Minister accepted the importance of water companies investing in nature-based solutions in the Water (Special Measures) Act, and at Third Reading of the Planning and Infrastructure Bill, her colleague made helpful and clear commitments about the role of private land managers in delivering environmental goods in these EDPs. I hope that this is part of a progression towards functioning natural capital markets that will replace the burden on taxpayers with investment by the private sector. That could be the underpinning of a more prosperous future for the countryside, delivering even more biodiversity and nature restoration, which we are debating today. The £3 billion forecast for BNG alone is larger than Defra’s farming budget.

Businesses, as the noble Baroness, Lady Willis of Summertown, mentioned, are also good citizens that see the value in protecting all our futures. That is why many are already buying voluntary carbon units and investing in carbon insetting in their supply chains to reduce their overall carbon footprints. They are also evaluating what they can do under the Taskforce on Nature-related Financial Disclosures’ recommendations to improve the natural environment and their reporting. While I agree with the noble Baroness, Lady Willis, that it would be welcome to see this become more widely used in the UK, I would also be cautious about the reporting obligations and costs that this might place on smaller and medium-sized businesses.

Can the Minister inform your Lordships what the result has been of the consultation on including woodland carbon units in the UK Emissions Trading Scheme? The consultation closed 15 months ago. This could be a valuable step towards incentivising much more tree planting, a healthier rural economy and greater biodiversity. The noble Baroness, Lady Young, has already mentioned the disappointing performance of tree planting in the UK versus, frankly, unambitious tree-planting targets. Steps such as this could incentivise much larger-scale planting.

My noble friend Lord Grayling made important points about the restrictions we still operate under in our coastal waters. The Government chose, unnecessarily, to allow our European friends to continue to have access to 40% of our fishing rights, when we could have recovered them all in June next year. The one-off coastal recovery fund of £360 million is a pretty disappointing attempt to buy off our coastal communities, when the full value of our fishing rights would have delivered an extra £600 million a year of revenue. In addition to responding to my noble friends’ questions, can the Minister be clear that the Government have the power to revisit the policy on marine protected areas without consulting and deferring to our European friends?

Lastly, I agree with my noble friends Lord Harlech and Lady Shephard and the noble Lord, Lord Carrington, that farmers need to be allowed to make a return on their land and to help prevent food security being undermined by the loss of the best and most versatile land to energy production. I look forward to the Minister’s response.