Environment Bill

Tim Farron Excerpts

Report stage & Report stage: House of Commons
Tuesday 26th January 2021 Commons Chamber

[Barry Gardiner (Brent North) (Lab) [V]]

I am pleased to support the amendments in the name of the shadow Secretary of State, my right hon. Friend the Member for Leeds Central (Hilary Benn) and the hon. Member for Brighton, Pavilion (Caroline Lucas).

The Government said they had a desire to have a “world-leading watchdog”. I wonder whether there was a misprint and it should have said a “world-leading lapdog”. Do they really mean it? I was on the hearing that met Dame Glenys Stacey, and she is a robust regulator, with a proven record of independence, and I trust her. The Secretary of State should set the criteria and the parameters that he expects the Office for Environmental Protection to work to, but he should then leave it to the regulator to regulate. Dame Glenys, I believe, has been appointed as the right person, so let her do the job without further interference. Let her also have the benefit of interim targets, because for someone regulating, targets can be really helpful. I listened to the hon. Member for East Worthing and Shoreham (Tim Loughton), and he is absolutely right. We need interim targets to be able to hold people to account, but also to be able to incentivise businesses and give them clarity about what they have to achieve.

When we are talking about enforcement, it is perhaps salutary if I remind colleagues of those who were there when, as chair of the then all-party group on biodiversity, I worked with Friends of the Earth to organise a photo opportunity for colleagues who came to support ensuring there was no relaxation of the ban on neonicotinoids. It was incredibly well supported: over 100 Members of Parliament came to support that campaign, and I have the photos to prove it. So for those Members who go into the Lobby tonight saying they will support the Government on lifting the ban, perhaps we, with Friends of the Earth, should dig out those photographs and start publishing them one by one to show just how much Members meant it when they had their photograph taken with that bee.

On deforestation, the Government are saying that there should be an imposition on companies to look at the legality of the sourcing of their materials, such as soy and timber. Legality is not enough. Yesterday I met a number of people representing the Brazilian interests as well as the commercial interests, and it is clear that what has happened already in Brazil is that the laws have been reduced because of the pressure. Companies must be asked to look at the sustainability of their supply chain, not just the legality of it.

[Tim Farron (Westmorland and Lonsdale) (LD) [V]]

The Office for Environmental Protection concerns me greatly, because I think it is going to offer us very little protection. Its powers include the terrifying capacity to point out that the Government have failed to safeguard environmental protections or to maintain standards, but it cannot force the Government to comply, it cannot fine and it cannot prosecute. It can shame the Government, but if I could be so flippant, Madam Deputy Speaker, this appears to be a Government who know no shame, as demonstrated by the last-minute decision to delay this already criminally overdue Bill by maybe six months or more.

This is outrageous, but the Government will tough it out and will probably bear no consequences for doing so. However, there will be huge consequences for our environment, for biodiversity, for future generations and, indeed, for farmers and food producers. No formal regulation over these months and pretty much toothless enforcement thereafter will mean the steady erosion of animal welfare and environmental protections just, as it happens, as the Government are engaging in negotiating trade deals around the world. Some might consider this to be a rather convenient hiatus that will allow them to throw British farming under a bus once again. Farmers will lose the ability to look at our regulation as something that they can use to strengthen their hand when it comes to those negotiations. The undermining of our land management community—of our farmers—is a massive threat to our environment. Without them, we lose the practical capacity to deliver biodiversity gains.

--- Later in debate ---

[Anthony Mangnall (Totnes) (Con)]

I had high hopes of being able to start my speech by speaking the words of Margaret Thatcher in 1989 when she addressed the United Nations on the issue of climate change—she outlined the destruction and damage that was facing the world unless action was taken—but, sadly, there is not enough time to be able to read out the full quotation. However, those words are true now, and there is more that can be done.

I welcome the Government’s announcement today, their report and their Bill for what they do in addressing waste, water and air quality. These are all things that, as a triumvirate, must be addressed so that we are able to regain our control over the environment and help it to flourish in years to come. Of course, the Government have already set a number of ambitious targets—from net zero for 2050 to ending the sale of petrol and diesel cars by 2030, eradicating gas boilers, planting more trees and looking at new agricultural regenerative techniques. These are the ambitious things that we must do.

I would like to start by talking a little bit about waste. As my hon. Friend the Member for West Dorset (Chris Loder) has already mentioned, there is an important element here about ending single-use plastics, but we can do more. I ask whether the Government might consider incentivising businesses to ensure that we have full-cycle plastics that are used from cradle to grave, and then recycled. We can incentivise the industries that pollute this world to make sure that they are adhering more to the rules and regulations of countries across the world.

In my own constituency, air quality has remained an incredibly important issue. The A385 runs through my patch, next to a school, which has some of the highest levels of pollution in south Devon, and planning development alongside it is likely to further add to that problem. It is the same in Brixham, where the new Inglewood development would see roads and traffic increased, leading to further pollution of air quality. These are the things that we must take into account when we are building, improving infrastructure and developing for our entire community.

On water, my right hon. Friend the Member for Ludlow (Philip Dunne) has done so impressively well on his private Member’s Bill, something I have supported since I coming to this place. I look forward to seeing what he brings back to the House and how the Government work further with him, but as a keen swimmer all year round—without a wetsuit, I hasten to add—I am very keen that we do all we can to improve the quality of our waterways and of our coastline, and to ensure that we are able to improve the way in which we engage on these issues, especially with groups such as Surfers Against Sewage.

The need to be able to discuss how reports might be put into this place was raised under new clause 6, but I would say that we do have the Environment Agency reports that come to Parliament and are reported on, but we also have the OEP, which I think is very welcome as it enables us to take a hold on our environment and improve it.

[Tim Farron [V]]

On the air quality amendments, the targets in this Bill do not even meet those recommended by the World Health Organisation, as has been said by other Members. That should rightly alarm all of us, especially given that the UK has such a terrible track record in recent years. When we were a member of the EU, it fined us regularly for failing to meet the targets set at that point. Air quality standards are of the utmost importance, and for the Government to under aim and be under-ambitious here is deeply troubling. We are being asked to accept not only decreased air quality standards, but delayed standards, as this Bill is pushed back once again, after years of delay. Yet, tragically, we now increasingly see “poor air quality” cited as a cause of death on the death certificates of many, many people. As many colleagues from both sides of the House, have said, this is a matter of life and death, Delayed action at this time, in the hiatus between the strong targets and standards we had up to the end of 2020 and the point at which we get whatever standards we will get when this Bill is finally agreed, allows bad habits to build up and bed in, and it makes Britain’s poor air quality harder still to clear up.

On waste, the absence of plastic reduction targets beggars belief, given the rhetoric we have heard from many in the Government. The Conservative manifesto made a specific reference—a promise even—to

“ban the export of plastic waste”

to developing countries. The Government have broken that promise. So not only are they not tackling our plastic problem here at home, but we are adding to the plastic problem of poorer countries overseas.

My amendment 30 related to water quality. We simply want the Government to monitor the impact of the abstraction of water on biodiversity in chalk streams and in other waterways. This Bill does not do that, and it is a simple and obvious request. Only 14% of England’s rivers and lakes are in a good quality water position at the moment, so the need for this measure is clear.

So we see an unambitious Bill and a delay, which means even this poor ambition will be hard to bring to fruition, given that we will have to wait many months. This takes commitment to underachievement to new heights, undermining the quality of our environment and animal welfare. These are times when we need to be setting clear and ambitious targets if we are going to lead the world, but I am afraid that we are lagging far behind.

[Duncan Baker (North Norfolk) (Con)]

It has been a pleasure to serve on the Environmental Audit Committee and discuss a number of topics that form part of this landmark Environment Bill through our inquiries. Our Chair, my right hon. Friend the Member for Ludlow (Philip Dunne), has campaigned tirelessly for better water quality and no doubt through his work we have in this Bill sewerage undertakers now being required to produce a statutory drainage and sewerage management plan to actively address environmental risks such as sewer overflows and their impact on water quality.

Without doubt, this Bill paves the way for the Government to continue putting the environment at the very heart of their decision making, with legally binding targets on biodiversity, air quality and waste efficiency just a few of a plethora of new ambitions. I was heartened by the Minister’s opening comments on plastic pollution and new clause 11. As an MP for 50 miles of stunning North Norfolk coast, I am glad that provisions in this Bill will help to reduce plastics on our beaches. This new clause would require the Secretary of State to set targets to reduce plastic pollution and reduce the volume of non-essential single-use plastic products sold. If plastic pollution continues at current rates, plastic in the oceans will outweigh fish by 2050. There is a strong public appetite for action: 63% of people want to reduce their consumption of plastic, and 77% want the Government to take more action to protect the ocean, so I am glad that this is being covered.

Agricultural Transition Plan

Tim Farron Excerpts

Monday 30th November 2020 Commons Chamber

[George Eustice]

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 (Westmorland and Lonsdale) (LD)]

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]

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.

Agriculture Bill

Tim Farron Excerpts

Consideration of Lords amendments
Wednesday 4th November 2020 Commons Chamber

[Theresa Villiers (Chipping Barnet) (Con)]

In putting the environment at the heart of our new system of farm support, this is one of the most important environmental reforms for decades. I was proud to be the one to introduce the Bill to Parliament in my previous role as Environment Secretary.

Dismantling the common agricultural policy is, of course, one of the key benefits of Brexit, but there is no doubting that this legislation, although not a trade Bill, has been overshadowed by trade matters. Like the Chairman of the Select Committee, my hon. Friend the Member for Tiverton and Honiton (Neil Parish), I warmly welcome the significant concessions the Government have made on trade. Setting up the Trade and Agriculture Commission, extending its duration and putting it on a statutory footing will toughen up scrutiny of our trade negotiations in this country. It will also provide invaluable support and an invaluable source of independent expert advice for this House. It will strengthen our ability to hold Ministers to account on trade and farming issues, as will the requirement in Government amendment (a) to report to Parliament on how any future trade deals impact on food standards.

I welcome the statement at the weekend from the Trade and Environment Secretaries that the bans on chlorine-washed chicken and hormone-treated beef are staying on the statute book and will not be lifted, even if our negotiating partners ask us for this. Real progress has been made, which is why I will vote with the Government this evening, but this is not the end of the campaign on trade and food standards. This Government were elected with a stronger commitment on animal welfare than ever before. We must use our new status as an independent trading nation to build a global coalition to improve animal welfare standards.

Many countries use trade agreements to impose conditions on their partners. Even the US has fought lengthy battles in the WTO over protection for turtles and dolphins. It is possible, so while the debate on the Bill is drawing rapidly to a close, the task of scrutinising UK trade negotiations is really only just beginning and will require continued vigilance by all of us in this House. We must ensure that our negotiators stand firm and refuse to remove any of the tariffs that currently apply on food unless it is produced to standards of animal welfare and environmental protection that are as good as our own. The UK market for food and groceries is around the third largest by value in the world. Greater access to it is a massive price for any country. We should not sell ourselves short.

[Tim Farron (Westmorland and Lonsdale) (LD)]

I rise to support the Lords amendments, but I acknowledge the progress that has been made in putting the Trade and Agriculture Commission on a statutory footing. I do not think that I am being churlish when I say that the Government were dragged kicking and screaming to do this; I am just stating the blindingly obvious.

The progress that has been made is testament to the campaigning prowess of the NFU, Minette Batters and, indeed, the whole farming community; otherwise this matter would not have come to this place a few weeks ago, would it? So it is blindingly obvious that the Government’s heart is not in this. Nevertheless it is a step—[Interruption.] Government Members grumble from the Benches opposite. Why did they not fix this a fortnight ago if they meant it?

The reality is simply this: we support free trade and fair trade, which is why we are deeply concerned that, still, this Government amendment, which is an act of progress, will finally be subject to a scrutiny process that culminates in a CRaG procedure. In other words, it is take it or leave it from a Government with an 80-seat majority. We know what matters to this Government—the getting of a deal not just with America, but with other countries. Let us make sure that we remain healthily sceptical, as I know every single farmer in the country will be.

There is a reason why we think that fair trade as well as free trade matters to British farmers: we fear the undermining of the very unit that makes up British farming, makes it special and, indeed, underpins the animal welfare and environmental protections of which we are rightly proud, and that is the family farm. I just want to draw to the Minister’s attention something that she could mistakenly do in just a few weeks’ time that could do as much damage as an unfair trade deal. It is the phasing out of basic payments in just eight weeks’ time, which is seven years before the new environmental land management scheme will come into force. That is 60% of the revenue of livestock farmers that will begin to be phased out from January. It is between 5% and 25% of their BPS incomes from January.

I am simply saying that we want our family farms to survive through to ELMS being available. We support ELMS by the way, but we cannot surely take away people’s major income and then make them wait seven years until the new one comes in place. If the Government are committed to maintaining and protecting family farming and the benefits that it brings to our landscape in the lakes and dales, to biodiversity, to food production, to tackling climate change and to preventing flooding, they need to keep those farmers in place in the first place. I respectfully ask the Minister to look again and maintain the basic payment scheme at its full level until ELMS is available for everyone.

[Douglas Ross (Moray) (Con)]

There is a quote that says, “There are two things that you should never see made—laws and sausages.” We are in a unique position today to be discussing a law that will help to make sausages. The reason that quote is said is all this bartering that we see going on back and forth, with ping-pong from our unique position here in the UK Parliament.

Following on from what the hon. Member for Westmorland and Lonsdale (Tim Farron) said in the previous speech, we can discuss how we got to here, but surely we celebrate the fact that the Government have listened to the Opposition parties, to those of us on these Benches, to the NFU and to the NFU Scotland. Minette Batters has been mentioned many times in this debate, but I want to pay credit to Andrew McCormick, the president of the NFU Scotland, and his leadership team—his vice-presidents and his policy advisers Clare Slipper and Jonnie Hall—who have constructively worked with the Government to get to the stage that we are at today. That is positive for the way that we do politics in this country and for the way that we can improve legislation going through this Parliament.

It was not an easy decision for me to oppose the Government a couple of weeks ago, but I supported the amendments at that time because there were no alternatives on offer from the Government. Tonight, the Government have brought forward a positive alternative, and even those on the Opposition Benches, through gritted teeth, have accepted that the Government have gone a long way to meet the demands of Opposition parties, and all those who have contributed to negotiations on the Bill. I think that is welcome, and we should celebrate a Government who are willing to improve their legislation to deliver the needs of MPs and the campaigning groups that engaged with us. We will have a better Bill as a result of that, and I am therefore pleased to support the Government tonight.

Agriculture Bill

Tim Farron Excerpts

Consideration of Lords amendments & Ping Pong & Ping Pong: House of Commons
Monday 12th October 2020 Commons Chamber

[Victoria Prentis]

I will not just at the moment, but I will later.

I am afraid to say that, despite the considerable thought that has gone into the amendments, we have not yet found a magic form of words that will address all the concerns and avoid undesirable side effects. In asking the House to reject the amendments, I will set out the set of solutions, both legislative and non-legislative, that I hope will allay the fears that Members have expressed. In my view, this range of measures, and constant vigilance on the part of Government and, indeed, consumers, are of more use than warm words in primary legislation.

I will start by reiterating that, alongside my colleagues on this side of the House, I stood on a clear manifesto commitment that in all our trade negotiations we will not compromise on our high environmental protection, animal welfare or food standards. As I have said many times, our current import standards are enshrined in existing legislation.

They include a ban on importing beef produced using artificial growth hormones and poultry that has been washed with chlorine. The European Union (Withdrawal Agreement) Act 2020 carries across those existing standards on environmental protections, animal welfare, animal and plant health and food safety. Any changes to that legislation would need to be brought before Parliament.

It falls to our independent food regulators, the Food Standards Agency and Food Standards Scotland, to ensure that all food imports into the UK are safe and meet the relevant UK product rules and regulations. The FSA’s risk analysis process is rigorous, completely independent of Government and based on robust scientific evidence, along with other legitimate factors such as wider consumer interests and the impact on the environment, animal welfare and food security.

[Tim Farron (Westmorland and Lonsdale) (LD)]

I want to be very clear: the concerns that people have about the Bill and the Government’s decision not to accept the amendment are not about the quality of food. We understand that the product is not a danger. What we are concerned about is the production and the impact on the producer. If we undermine animal welfare and environmental standards, we may well have quality food to eat but we will damage our farmers and the integrity of our farming industry in the process.

[Victoria Prentis]

The hon. Gentleman is partly right. Many of the concerns expressed, perhaps more wildly, in the tabloid press—possibly not by the farming sector—are indeed about the safety of food. I seek to reassure everybody that those regulations are in place, and there is no danger to safety or to the existing standards that we enjoy, and have enjoyed for many years as members of the EU. When we come on to the next argument, which we could perhaps characterise as a more protectionist argument, we need to balance the competing factors of trade deals that we already have, continuity trade agreements and trade deals that we want to enter into in the future, and work out how we scrutinise those trade deals to ensure that our farmers are getting a fair deal. I will go on to set out some of the ways that we hope to do that.

--- Later in debate ---

[Luke Pollard]

I am grateful for that intervention, because it gives me a chance to say that we back our British farmers. Tonight, they will be looking at the votes cast in this place to see whether Members of Parliament that represent farming communities, be they red or blue—these communities are represented on both sides of this House—support British farmers or choose not to do so. That will be a decision for each and every Member, but let me be clear: farmers are watching what happens in this debate tonight and what votes are cast, and their votes are not secured for the next election. Their votes are to be played for. I look forward to that competition.

[Tim Farron]

The hon. Gentleman is making a great series of points. I am sure he would humbly accept that in the election last December the Conservatives made gains from his party in many urban parts of Britain because of the characterisation that Labour had taken those seats for granted. Is the same thing not here on the table tonight: large swathes of blue in rural Britain that the Conservatives assume will vote for them come what may? Is it not the lesson of tonight that at the next election many Conservative MPs will be in the same position as his colleagues were in December?

[Luke Pollard]

I thank the hon. Gentleman for that intervention. The important thing I have taken away from my discussions with farmers in Devon and on visits to farms up and down the country is that their votes are not guaranteed. The votes of rural communities are not guaranteed and are there to be won, but they need to be won through a strong vision and through delivery. Taking votes for granted is not a good electoral strategy anywhere. We need to look at what farmers will benefit from and what will they not benefit from. I worry that leaving a back door to their being undercut in trade deals is neither a good economic strategy for our country, nor a good political strategy for those people advocating it.

I expect the amendment to strengthen the Trade and Agriculture Commission to be redrafted in the Lords, and I hope it will come back to us soon. Amendment 16, on strengthening the trade commission, and amendment 18, on food standards, are a one-two—they are a classic British double act. I do not believe that the temporary and fragile Trade and Agriculture Commission would be able to stop the International Trade Secretary, Dominic Cummings and the Prime Minister signing a trade deal with America that would include imports of chlorinated chicken and hormone-treated beef. That is why we need that one-two—strengthened scrutiny of trade deals and protection for our farmers—in law.

--- Later in debate ---

Of course, this is not all about export. What about our domestic market? To provide some reassurance to our UK farmers, the existing protections will remain. Food coming into this country will need to meet existing import requirements, as the EU withdrawal Act will transfer all existing EU food safety provisions to the UK statute book. We have a great opportunity, but I believe that stronger labelling and a beefed-up Trade and Agriculture Commission will help, and I am sad to see that Lords amendment 18 is not coming to the House.

[Tim Farron]

Let us start with some common ground. I am pretty sure everybody in the House thinks that the paying of public money for public goods is a good thing and that the environmental land management scheme is—in principle, at least—a good thing. Of course, by the Government’s own admission, the environmental land management scheme, or ELMS, will not be accessible to all farmers until 2028. We are three and a half months away from the scheme that it replaces beginning to be phased out, and 85% of the profitability of livestock farmers in this country is based on the basic payment scheme. My first ask is that the Government be mindful of that. They must not take a penny away from the BPS until ELMS is available to every farmer in this country. Given that fragility and that upcoming change in payments, it is all the more important that we do not put British farming at risk as a consequence of the new arrangements for trade.

Paying for public goods is vital. Those public goods are biodiversity, food security, access, education and so many other things, including the landscape that underpins the lake district’s tourism economy. All of them are at risk if we make the wrong decision here. Amendment 16 is so important because it underpins, and prevents the Government from undermining, British values when it comes to animal welfare, the sovereignty of this place in scrutinising and reviewing legislation and trade deals, and the future of farming itself.

What is the USP of British farming’s food exports? It is quality. If we allow the undercutting of our farmers through cheap imports—cheap because of the poor quality of their production—we undermine our reputation and our ability to trade internationally and be successful. It is important for Members to understand that amendment 16 is about strengthening Britain’s hand in negotiations. If our negotiators say to the US negotiators, “We’d love to help you out, but we can’t because Parliament won’t let us,” that is real strength which allows us to get the kind of deal that is good for British farmers, for the environment and for animal welfare. It would strengthen this Parliament. The Minister said that we have spent 100 hours debating the Bill. That contrasts very worryingly with the length of time we will have to scrutinise trade agreements that will last for generations. It will strengthen our standing and reputation as a country if we write into the Bill our determination to ensure that we uphold animal welfare and environmental standards, as so many Members on both sides of the House have said.

The only reason that the Government would resist the enforcement of minimum standards in the Bill is if they wanted to allow themselves the freedom—the wriggle room—to sell out our farmers. In a letter publicised last week, the Minister said:

“Such conditions would make it very difficult to secure any new trade deals.”

In other words, “If you don’t allow us to throw our farmers under a bus, we’ll not get the trade deal that we want.” If we care about not only farmers, animal welfare and environmental protections but the communities that those farms underpin, such as mine in Westmorland, we are letting down generations of farmers and the heritage that they promote and have protected if we allow the Government to throw all that away in negotiations. If Members want to back British farmers, they cannot just wear a wheat badge once a year—they must vote for the amendment tonight.

[George Freeman (Mid Norfolk) (Con)]

I rise as a Member of Parliament for a very agricultural constituency, and as the product of a farming family—in fact, I think I still have a place on offer at Harper Adams if this career does not work out—as well as a former Minister for agritech, former trade envoy, and chair of the all-party parliamentary group on science and technology in agriculture.

This is a major moment, when we take back control of our farming policy from the EU after 40 years, and of our trading destiny and sovereignty. It is on a par with 1947—the last great reset of agricultural policy—or, indeed, the corn laws. I welcome the Agriculture Bill, and the work of DEFRA Ministers and officials in setting out a framework that supports commercial British farming—a great British industry that is leading in the world—and recognises that its important environmental work, which involves managing 70% of our land area, requires additional support. In broad terms, I strongly welcome the Bill.

I welcome even more strongly the Conservative party’s commitments, both in our manifesto and over the last 18 months from the Prime Minister, the Chancellor of the Duchy of Lancaster and my right hon. Friend the Member for Chipping Barnet (Theresa Villiers), who was the Secretary of State for Environment, Food and Rural Affairs at the time of the general election. I also welcome everyone who asked about our commitment to ensuring that we do not in any way undermine those standards. The Prime Minister put it beautifully when he said,

“we will not accept any diminution in food hygiene or animal welfare standards… We will not engage in some cut-throat race to the bottom…We are not leaving the EU to undermine European standards”.

He could not have been any clearer.

For that reason, I welcome the comments of my friend and neighbour, the Secretary of State for International Trade, my right hon. Friend the Member for South West Norfolk (Elizabeth Truss), her agreement to the Trade and Agriculture Commission and her personal commitment to ensuring that we do not negotiate away any standards. This really matters: to the great industry of British farming and agriculture; to consumers watching today, who want to know that we are looking after their interests; to voters, to whom the Conservative party gave those solemn commitments last year; and, dare I say it, to this party, which I have always seen as a party of the countryside, of stewardship, of rural community, and of high standards in animal welfare and environmental farming. That is what is on the table when we vote tonight. Either we are that as a party, or, in the countryside, we are very little.

This should be a hugely exciting opportunity for us to set out an ambition and lead globally, to use our trade leverage to promote fair trade around the world, to give our farmers a level playing field, to embrace variable tariffs, and to ensure that we support growers around the world to follow the standards that we need them to embrace. We have to double world food production on the same land area with half as much water within 20 years. That is a massive opportunity for our agritech industry. Imagine if we used our tariffs variably to say, “We won’t accept food that breaches our minimum standards. We will lower tariffs on decent food, but we’ll zero tariff food produced in ways we know we need as a global community.”

But there is a major problem: the Government, despite endorsing all of that vision, are today stripping out the proper establishment of the commission that the Secretary of State for International Trade herself agreed to, carefully negotiated in the House of Lords. They are asking us to rely on CRaG—a process agreed decades ago that was not designed for this purpose, and which will mean that this House will not have a say on trade deals—and asking us to rely on the WTO, which specifically prohibits animal welfare and food production standards as a legal basis for any trade restrictions. We are saying that we defend farming and the standards that we support, but denying this House the means to guarantee them.

Oral Answers to Questions

Tim Farron Excerpts

Tuesday 19th May 2020 Commons Chamber

[Andrew Selous]

I know that the whole House would want to extend our deepest condolences to my hon. Friend for the very sad loss of his father. What he says about all chaplains is absolutely right, and the Archbishop of Canterbury has himself been volunteering as a chaplain at St Thomas’s Hospital. I thank him very much for his kind comments, which will be deeply appreciated.

[Tim Farron (Westmorland and Lonsdale) (LD)]

What steps Church of England schools have taken to support children and parents during the covid-19 lockdown.

[Andrew Selous]

I would like to thank very warmly and pay tribute to all the teachers and staff in Church schools who are providing teaching and care for children at this difficult time. They have moved rapidly to provide online lessons and resources, and are looking after children of key workers and overseeing the distribution of free school meal vouchers. The Church is also delighted to have partnered with the Oak National Academy to provide assemblies and weekly collective worship.

[Tim Farron [V]]

Here in Cumbria and the South Lakes, headteachers of Church schools—in fact, of all schools—do want to return on 1 June, but of course they see protecting the safety of their school community as their first and primary responsibility. Will the hon. Gentleman make strong representations to the Department for Education about supporting those schools that decide to stay closed for the time being for safety reasons, especially given new Government guidance against schools using flexible approaches for returning pupils?

[Andrew Selous]

I thank the hon. Gentleman for his question. In addition to being Second Church Estates Commissioner, I am a governor myself of a Church school, and I actually attended a governors meeting by Zoom early this morning looking at exactly these issues. I hear what the hon. Gentleman says, and I will make sure that his comments are fed in. I know that the Department for Education is taking these issues very seriously and will proceed cautiously, as we would all expect it to do.

Agriculture Bill

Tim Farron Excerpts

Report stage & Report stage: House of Commons
Wednesday 13th May 2020 Commons Chamber

To conclude, I welcome and support this excellent Bill, but very much hope that Members will join me in supporting the amendment to protect and uphold our high animal health and welfare standards. I see this as an opportunity to raise animal welfare and food-production standards both here and around the world. We should seize it.

[Tim Farron (Westmorland and Lonsdale) (LD) [V]]

It is a pleasure to follow my constituency neighbour, the hon. Member for Penrith and The Border (Dr Hudson). I support much of what he said.

We support the spirit of the Bill, especially the movement to reward farmers for public goods. Today, the Government can introduce one of the most successful changes in agricultural policy in history. Equally, today could be remembered for one of the most catastrophic disasters. The principles are good, but the real value of the Bill will be determined in its implementation.

Farmers in Cumbria and throughout Britain could fall at the first hurdle if the Government insist on beginning the phase-out of the basic payment scheme from next January, long before its replacement is ready. Universal credit is the example of what happens when a good idea is introduced in a hasty, penny-pinching, cloth-eared way. I want to spare the Secretary of State the ignominy of being the person responsible for doing the same with the new environmental land-management scheme. Even more, I want to spare our farmers the hardship, spare our environment the damage and spare our people the loss of British food-producing capacity. In the end, it will cost less to do the right thing than it will to do it badly.

The Government’s plan is to remove 50% of basic payments by 2024, costing farmers 46% of their net income, yet the new scheme will be fully rolled out only by 2028. There are currently 89,000 basic payment claimants; how many of those farms do we expect to survive the long period during which their incomes are slashed before a replacement is ready? It is obvious that the disruption will be huge, undermining the good purposes of the Bill. We cannot care for our environment, guarantee food production and deliver public goods if, by 2028, we have allowed hundreds of farms to close by accident. The answer is a no-brainer: do not phase out basic payments until the environmental land-management schemes are ready. The Secretary of State must listen to farmers on this issue before it is too late.

The ultimate public good that farmers provide is, of course, food. Those empty shelves in March and the disruption to the supplies of imported food must be a wake-up call. Almost 50% of the food consumed in the UK is now imported, compared with 35% just 20 years ago. Successive Governments have contributed to us sleepwalking into a real problem when it comes to food security.

We will suffer a huge blow if the Bill fails to impose import standards, which is why I tabled new clause 10 and will support other amendments of similar intent. We must protect our British standards on food and food production. That will not be possible if Ministers allow the market to be flooded with food produced at a lower standard than we would tolerate here. Let us be clear: if Ministers will not accept amendments ensuring that Britain does not compromise these standards in trade deals, they are clearly saying to British farmers, “Please give us the freedom to sell you out in trade negotiations.” Britain has the best standards in the world, and they will be completely irrelevant if we allow Ministers to strike trade deals that lead to imported goods with lower production, animal welfare, environmental and labour standards.

For us in south Cumbria, the landscape of the lakes and the dales is a breathtaking public good—although, given that we have one of the oldest and most vulnerable populations in the country and the third highest covid infection rate, I strongly urge people not to rush to visit us here until it is safe to do so, at which point we will welcome them with open arms. These landscapes are of global significance. As a UNESCO world heritage site, they underpin, in normal times, an economy worth £3 billion a year. Their contribution to the heritage of our country, its economy and the nation’s wellbeing are astounding, and it is our farmers who are responsible for stewarding and maintaining those landscapes. Will Ministers commit to there being criteria within the environmental land management scheme for payments for aesthetic maintenance and for heritage, especially in the uplands?

Finally, I urge Ministers to ensure that the good principles of the Bill are reflected in wise and effective practicalities. I am convinced that this Bill will be seen as truly historic, but it is up to the Government to ensure that it is for the right reasons.

[Julian Sturdy (York Outer) (Con) [V]]

I start by drawing Members’ attention to my entry in the Register of Members’ Financial Interests. I want to speak in support of new clause 2, new clause 1 and amendment 6. Like other Members, I very much support the broad thrust of the Bill, which has been much improved over time. The revised text, which we debated on Second Reading in January, now recognises the importance of food production and food security, funding to support innovation and productivity improvements, and the proper financing of environmental provisions.

However, the laudable aims of the Bill will come to nothing if the Government do not secure fair terms of trade for UK producers. The new public money for public goods and innovation funding model has to be considered together with the Government’s broad trade policy. Having the right framework for British agriculture is a necessary but not sufficient condition for the future prosperity of the sector, which is why I warmly endorse the amendments proposed, which seek to provide a concrete guarantee on future import standards.

Our producers have worked and invested for decades to raise our standards, and that could easily be lost if they are set at a structural disadvantage by our allowing in a flood of low-quality imports produced with poorer animal welfare and environmental standards, which could ultimately cause economic damage to British agriculture and the social fabric of our rural communities. There is also the risk of environmental damage across the globe if the UK became more reliant on imported produce.

The climate change angle will be increasingly important. UK farmers have a key role to play in our progress towards the 2050 net zero carbon target, as British agriculture accounts for 9% of national emissions, but that opportunity could be wiped out if we allow the importing of food produced overseas in a far more carbon- intensive way—for instance, bringing in Brazilian beef grazed on former rainforest land.

I do not believe that these amendments would damage our ability to strike reasonable trade agreements, so I do not agree with what the Minister said at the start of the debate. The whole argument on standards in trade deals is not unique to this country. We should be looking to base much of our trade on the exchange of quality products. Trade deals should be about the desirable goods we can offer to overseas consumers, not just the market access that they can seek to gain from us. UK agriculture has a huge amount to offer in that regard, already earning the UK some £22 billion a year and representing 6% of overall exports.

I also strongly support the amendment in the name of my right hon. Friend the Member for Gainsborough (Sir Edward Leigh), which would delay the start of the transition to the concept of public money for public goods from the basic payment scheme to 2022, rather than 2021. This would allow the transition to run more successfully and much more smoothly by giving producers more time to restructure their businesses in order to provide those all important public goods. Though DEFRA’s approach is evolutionary, as everyone has said so far, this is still a big shift for British agriculture, and I believe the Government want UK producers to make good decisions, not hasty ones, during the transition. They should therefore give them time.

The amendments I have touched on all have powerful arguments behind them in the best of times; for me, those arguments are substantially strengthened by the new landscape that coronavirus has created. The current situation demonstrates the value of maintaining a strong UK food sector, so that our national food security does not depend on long international supply chains, which have proven fragile in such periods. The outbreak has also showcased the importance of small-scale and regional supply chains that can be relied on for food and drink when all else fails.

I hope the Government will listen to the arguments behind the amendments, and I look forward to hearing their response.

Support for Hill Farmers

Tim Farron Excerpts

Wednesday 12th February 2020 Westminster Hall

[Tim Farron (Westmorland and Lonsdale) (LD)]

I beg to move,

That this House has considered support for hill farmers.

It is an honour to serve under your chairmanship and to be guided by you today, Mr Bone. It is also a real honour to be asked to speak on a subject that is of massive importance to my constituents and to people across the country.

South Cumbria’s landscape is spectacular. Much of it is within the Lake district and the Yorkshire dales, and pretty much all of it has been maintained over generations by our hill farmers. The UK’s uplands are vital to us all, yet they are generally exposed and remote. Furthermore, upland farms are disadvantaged compared with lowland ones due to a shorter grass growing season. Hill farming is therefore often a marginal occupation. My fear is that the unintended consequences of transition to new payment methods and new export arrangements could push hundreds of marginal upland farms out of business. In this debate, I want to help the Government to get this transition right, so that our hill farmers do not pay an unbearable cost and so that Britain does not lose a priceless asset.

I speak regularly to hill farmers in our communities in Cumbria. Many of them are terrified of what is to come and do not have confidence in the Government plans revealed thus far. Right now, their No. 1 concern is the plan to phase out the basic payment scheme from next January, before the environmental land management system is ready to be delivered. The figures from the Department for Environment, Food and Rural Affairs tell us that an average of 85% of livestock farm incomes come from the basic payment.

Despite regular calls from the National Farmers Union, the Tenant Farmers Association and others to think again, the Government have not listened so far. A ham-fisted phasing out of the basic payment may see farm failures across the country, especially in the uplands. The stark reality is that the phase-out of the basic payment begins in 10.5 months’ time, but environmental land management schemes will not be available for everyone until 2028. Rolling out schemes before they are ready can have a catastrophic impact. The lesson of universal credit should have taught the Government that.

We have already had the first predictable evidence of slippage in the timetable. The plan to test a national pilot scheme for ELMS this year has already been pushed back to the autumn, yet the Government insists on ploughing ahead with the phase-out before anyone is ready, least of all the Government themselves. Removing the existing support before the new system is properly tested and ready to implement seems reckless and will surely cost many hill farmers their businesses, and many farming families their future.

Projections prepared by the Uplands Alliance using DEFRA’s farm business survey data from the Andersons Centre consultancy suggest significant reductions in farm business incomes by 2024, and further show a net loss of income to the average farm in 2028, even assuming that ELMS is fully rolled out by that stage. Put simply, the Government are asking hill farmers to endure seven years of lost income, seven years of uncertainty, and seven years when we may lose the backbone and future of our industry, with devastating long-term consequences for our food supply and our environment. I simply urge the Minister to delay the phasing out of the basic payment until the environmental land management system is fully operational for everyone. It would be a tragedy if the Government messed up what might well be a positive new scheme by botching the implementation period.

For all that uncertainty, the outline of the new environmental land management system is cause for some optimism. It is right that we should reward farmers for public goods. The industry is behind that and so am I, but let us get the details and the implementation right. The greatest public good that comes from our uplands is of course the production of food: 45% of UK lamb is produced in the uplands, as is 55% of the UK suckler herd and 35% of UK milk. Given that straw and feed grown in the lowlands go to feed animals in the uplands, if hill farming recedes, clearly lowland farming would soon sadly follow. A country that loses capacity to feed itself is a country in big trouble.

An alarming 50% of the food we consume is imported. Twenty years ago, that figure was more like 35%. Our food security looks more and more tenuous as every year goes by, although it is not just the Government’s stubborn insistence on the premature phase-out of basic payments that threatens our food security but the worry that ELMS itself may inadvertently or deliberately see the draining of funds from upland farms.

One mistake would be to fail to use the skills of hill farmers to fight against climate change. For example, commendably, the National Trust wants to increase the amount of its land used for trees from 7% to 17%, but one means of delivering that would be completely to bypass farmers. Indeed, any other landowner might do the same. However, if we bypass hill farmers, we will lose hill farmers, and if we lose hill farmers, we will lose the very people whom we most need in order to deliver the whole range of vital environmental goods to tackle and to mitigate climate change. I therefore ask the Minister to ensure that ELMS is delivered only to active farmers. After all, it would be a disgrace if the replacement of the common agricultural policy was a policy that removed agriculture from the commons.

Recently, our rural and farming network took the DEFRA policy team to a hill farm near Slaidburn. The farm is already in a higher-level stewardship scheme and doing all it possibly can, but it is still more reliant on the basic payment than on environmental payments. They asked the DEFRA team what else the farm could do environmentally to make up for the imminent loss of the basic payment. The Department offered no ideas. Perhaps the Minister will be able to reassure hill farmers that ELMS will not be biased against certain categories of farm simply because of the nature of their landscapes.

In addition, a concern among farmers in my community is that the new ELMS will be much easier for some farms than others by virtue of location and, to some extent, sheer good luck. For example, a grassland farm, with mostly fences for boundaries and not so many walls or hedges may struggle to tick sufficient environmental boxes, compared with a farm with some existing woodland, perhaps a bit of wetland, or hedges.

Hill farmers are essential to the promotion and protection of biodiversity. They maintain rare natural habitats and ensure the upkeep of our rich heritage landscapes. They protect iconic British breeds such as Herdwick, Swaledale and rough fell sheep. We have to be prepared, through ELMS, to count the rearing of such breeds as a clear public good worthy of attracting public money. Indeed, many of the public goods provided by farmers are by-products of the fact that we have viable farms producing food. That is why a major focus must be to ensure that hill farmers get a fair price for their produce.

That is why, to be honest, I am disappointed that the Government are not more forthcoming about plans to expand the role of the Groceries Code Adjudicator, a piece of machinery that the Liberal Democrats were proud to help deliver in government—but we were sad that the Conservatives chose to water it down before it reached the statute book. Will the Minister commit to ensuring that the Groceries Code Adjudicator has its remit widened so that it can look at the whole supply chain and act on referrals from advocates such as the NFU, the Tenant Farmers Association and indeed Members of Parliament, and so that it is given the power to levy sanctions that will truly hurt those retailers and processors who abuse their market power to pay our farmers a pittance?

Water management work in the uplands is utterly vital—the impact of Storm Ciara over the weekend was a reminder of just how important that is. Farmers protect our towns and villages from flooding. In December, we marked the fourth anniversary of Storm Desmond; the memories and the financial and emotional impact of the devastation it caused are still fresh for many of our communities in Cumbria and elsewhere. Amidst the pain there is much to be celebrated, and we can be proud about how our communities responded and coped. Farmers were a key part of that; they did essential work in places such as Kentmere and Longsleddale. For our farmers to do vital work to mitigate flood damage and, indeed, be part of natural flood management schemes, they need to be equipped. The scope of public goods must be broad enough to reward them for it.

Central to environmental land management schemes must be farm succession. Attracting young people to hill farming, incentivising them to enter the industry and supporting them as they grow their business means allowing older farmers to retire with dignity and to an affordable home. Given the astonishing price of housing in rural communities such as mine, that will take serious Government intervention.

Contrary to popular myth, many hill farmers voted remain—the majority in my patch did—but those who voted leave often tell me that they were motivated by a desire to do away with the red tape and bureaucracy of the CAP—or rather, the British application of the CAP. I trust that the Minister will not replicate or even add to the burdens of bureaucracy, badly run payment agencies, excessive farm visits and insecurity that have been the hallmarks of a hill farmer’s lot in recent times.

To achieve a fair deal for hill farmers, it is essential that the Bill defines public goods to recognise the incredible work that they are doing. The public good that I fear may be in most danger is perhaps the hardest one to quantify, measure or reward: the work that farmers do to maintain the aesthetics of our landscape. I can look down Langdale from the Pikes. I do not know how to quantify and codify a financial reward for the farmers who carefully maintain the view below me, but I know that it takes my breath away.

Those farmers underpin the £3-billion-a-year Lake district tourism economy that employs 60,000 people throughout our county. Our farmers’ work was acknowledged in 2017 when UNESCO granted world heritage site status to the Lake district. It will not be easy to quantify and codify that, which is why the Government should not fool themselves that they will be able to do so competently and without teething trouble in just a few years. The Government need to give themselves time and not rush the phasing out of basic payments.

Britain’s uplands feed us. They give us biodiversity, protection from flooding, carbon sinks, heritage and rare breeds. They underpin a multi-billion-pound visitor economy. They give us space to breathe, to soak up awesome creation in its rawest form; they stir us and they settle us.

[Jonathan Edwards (Carmarthen East and Dinefwr) (PC)]

I congratulate the hon. Gentleman on securing this debate. He has outlined a number of major strategic objectives, and said that farmers are part of the solution, not the problem. Does he agree—I am sure he does—that the four Governments of the UK need to work with our farming community to achieve the strategic objectives he outlined?

[Tim Farron]

The hon. Gentleman makes an important point. The essence is this: farmers manage our landscape and work it as owners or tenants—many of our constituents are tenant farmers who have even more insecurity in the current situation. Without their being able to make a living as active farmers—food production is their primary motivation—we lose their presence on the landscape to deliver all those public goods. First and foremost, the Government must maintain the current farmers on the uplands. If by a slip between cup and lip over the next seven years, we lose a chunk of a hill farming community, we will not get them back. Even if we do, it will be at vast expense.

The delivery of public goods is undoable without the people to deliver them. That seems basic common sense. ELMS fills me with some optimism; the thinking behind the new scheme is positive and the industry as a whole welcomes it. What I am bothered about is that the transition could be so clunky, and lacking understanding of how marginal the incomes of those farmers are, that we end up losing them in the process, and they will see it as a seven-year notice to quit.

We borrow Britain’s uplands from the generations to come, and we are beyond grateful to those who maintain them. We must not, either by design or by accident, threaten the future of our uplands or their stewards.

--- Later in debate ---

[George Eustice]

It is absolutely the case that one key priority of the future scheme and one objective set out in clause 1 of the Bill is about improving water quality. Any measures and interventions that farmers implement that will lead to improved water quality will be exactly the type of project that we would want to support.

I also point out that it seems already to be the case, from some of the work that we have done, that when it comes to sheep farmers in particular, around 30% of them do not actually receive the BPS payment; they are in some kind of contract farm agreement and effectively their landlord takes the BPS payment while they are the ones doing all the work and raising the sheep. It is not at all clear that the current area-based BPS payment is in fact in the interests of the sheep sector.

[Tim Farron]

I want to be very clear that I have agreed with everything that the Minister has said about the area-based payment, its unjustifiable nature and how it is not a basis on which to continue—indeed, I support in principle what we are talking about with the environmental land management scheme. However, my concern is that we have a seven-year transition in which we are about to phase out the current scheme more quickly than we are to phase in the scheme to replace it. That is where we lose the people we need in order to deliver the public goods in the long term.

[George Eustice]

I entirely appreciate that and I assure the hon. Gentleman that I was not going to skip over that point; I have some time left.

The upland areas in particular are well placed to benefit from a system of support based on the delivery of public goods. Some 66% of blanket bog in England is in “triple SI”s—sites of special scientific interest—and is in those upland areas, so projects such as peatland restoration are certainly things that the uplands could do. Some of our rare and endangered bird species are in parts of the uplands so projects to support their recovery also lend themselves well to such areas. I am also thinking of projects that might mitigate the risk of floods by holding water uphill and projects such as the mires project down in the west country, on Exmoor, that can improve water quality by rewetting some of those peatland areas.

All those things mean that the potential for some of the uplands to be rewarded for what they in some cases already do, but may well do even more of in the future, is very high. The reality is that our current system pays the moorland areas, the severely disadvantaged areas, less money than it does the lowlands, even though they are probably doing most of all for our environment. The change in emphasis to payment for delivering public goods means that those severely disadvantaged areas, which historically have been told, “We will give you less subsidy because your land is less productive,” may actually be able to deliver and achieve far more.

I come now to the issue of the transition. The hon. Gentleman is absolutely right, and I agree, that getting the sequencing of the transition right will be very important. Although we have not made final decisions in these respects, I will make a number of points to him. First, the Bill provides for us to make available grants and payments to farmers to help them to improve their productivity, invest in equipment and reduce costs, and that will help farmers to get to a position in which they are less reliant on the subsidy payments that they receive now.

The Bill also provides for us to make several years’ payment in one lump sum to help—aid—the retirement of those farmers who decide that now is the time to leave. Linked to that, we know, from all the work that we have done, that if we want to encourage new entrants into the sector, the critical element is freeing up access to land. That is why, if we want new entrants to come in, we have to have projects and ideas to help farmers, who are sometimes in their 70s or 80s and still going, to make the sometimes difficult decision to retire. The measure gives us the option to be able to do that.

The Bill also gives us the power to modify the legacy scheme, to simplify some of the rules around the basic payment scheme, or indeed to simplify and modify the current pillar two countryside stewardship scheme. The integrated administration and control system that is a requirement of EU law is particularly burdensome on some of the current schemes, and we would have the option, should we wish it, to remove that.

Let me deal with some of the hon. Gentleman’s other points. He suggested that the pilot was delayed. The pilot is not delayed: we always intended to go to a full pilot in 2021, and still do, and will. The issue is that we have had trials running. We have 30 trials already up and running—already under way. There has been no delay, and further trials will be added. He suggested that we would not be in a position to roll out the new scheme until 2028. That is not the case. We intend to be rolling out the new scheme to every farmer—a full launch of the scheme—probably around 2024, so we will not be waiting until the end of the transition before we start the new scheme. We envisage that, as the legacy scheme tapers out, we will be opening up versions of the new scheme in advance of that.

The hon. Gentleman suggested that we ought to have an active farmer test. I am reluctant to get into that kind of EU rule making, as it was not particularly successful when the EU tried it. However, he makes a very good point: some of the environmental benefits that we need explicitly require grazing, and grazing by the right type of animal, to be taking place on our upland areas, to keep the bracken down and the sward at the right length so that conditions are made most favourable for invertebrates, which in turn helps farmland birds. It is therefore not the case that we want to take land out of grazing; indeed, grazing has an important part to play. We have amended the Bill so that it recognises native breeds and rare breeds in particular as a public good. We changed that in its latest iteration so that we can reward those hill farmers who are using and encouraging the preservation of some of our important genetic resources.

The hon. Gentleman is right that we need to get farmers a fair price for the food that they produce. Although we chose not to extend the remit of the Groceries Code Adjudicator, we have in the Agriculture Bill taken wide-ranging powers to be able to legislate in the field of contracts to ensure that there is fairness in the supply chain and transparency around what farmers are paid as well as on issues such as carcase classification. There are quite wide powers in the Bill dealing with those things.

My final point is that it is not correct to say that we watered down the GCA. There was a delay in the introduction of penalties for breaches, but those were put in place—I think even under the last coalition Government, but possibly after the end of the coalition Government and under the Conservative Government from 2015. But substantial sanctions are in place and available to it.

I hope that I have been able to reassure the hon. Gentleman that we see a vibrant future for hill farming. We believe that hill farmers will be able to benefit from our new system of payment for public goods, and they can look to the future with confidence.

Motion lapsed (Standing Order No. 10(6)).

Oral Answers to Questions

Tim Farron Excerpts

Thursday 6th February 2020 Commons Chamber

[Theresa Villiers]

I can; this House will be involved in scrutiny of our trade negotiations, and I look forward to having those debates with hon. Members.

[Tim Farron (Westmorland and Lonsdale) (LD)]

13. It is absolutely right that we focus on high-quality standards in our trade deals with the rest of the world, but the reality is that 90% of Cumbrian farm exports are to the European single market. Can the Secretary of State guarantee that my farmers next January will not be facing crippling taxes and tariffs on their exports?

Agriculture Bill

Tim Farron Excerpts

2nd reading & 2nd reading: House of Commons & Money resolution: House of Commons & Programme motion: House of Commons & Money resolution & Programme motion
Monday 3rd February 2020 Commons Chamber

[Theresa Villiers]

I would encourage everyone to do that. We produce some of the finest food and drink in the world, and I encourage everyone to reflect that in their shopping habits.

We fully recognise the particular challenges faced by upland farmers—indeed, I discussed that issue just a few days ago with a group of farmers in Northumberland National Park. We are determined that ELM will also work for upland farmers, and the incredible work they do to safeguard our beautiful natural landscapes will put them in a strong position to take part in our environmental schemes.

[Tim Farron (Westmorland and Lonsdale) (LD)]

Will the Secretary of State give way on that point?

[Theresa Villiers]

No.

Reformed funding support for farmers and land managers will be an important part of our programme to level up the rural economy, and we will provide grants and funding to improve productivity and help farm businesses become more resilient and successful. We believe that farming efficiently and improving the environment can, and indeed must, go hand in hand. We will therefore support investment in green agri-tech, as referred to by my hon. Friend the Member for North Dorset (Simon Hoare), and invest in research and development to help raise sustainable productivity levels.

Clause 4 includes a duty on the Secretary of State to set out a multi-annual plan for financial assistance, while clauses 5 and 6 include provisions that will require the Government to make annual reports on the amount of financial assistance provided in England. Those three clauses are designed to provide greater certainty and stability about assistance in the future, and are in direct response to concerns expressed by right hon. and hon. Members about the earlier version of the Bill. Clauses 7 to 13 provide that during a seven-year transition period basic farm payments will gradually be phased out.

I strongly believe that the changes in the Bill will be positive for farmers and the environment, but change of this magnitude will also have far-reaching impacts, and adjustment to the new approach will not always be easy. As I emphasised in the debate on the Direct Payments to Farmers (Legislative Continuity) Act 2020, a managed seven-year transition period up to 2027 will give farmers time to adapt to the new system, and provide time for the new schemes to be fully tested before they are delivered across the country.

[Tim Farron]

I am extremely grateful to the Secretary of State for giving way. She will appreciate that in that seven-year transition period farmers will be expected to cope with the loss of the basic payment scheme—according to her Department’s figures, 85% of funding for livestock farming comes from that scheme—and for all the likely and theoretical benefits of ELM it will not be functional for everybody until 2028. Does she agree that a wiser and more compassionate way of dealing with this issue would be to not phase out BPS until 2028, rather than starting before that?

[Theresa Villiers]

I understand the hon. Gentleman’s point. In part, we want our grants for productivity and investment to help plug that gap. But we have to get on with this; we must make progress in transforming the way we support land management in this country. I am afraid the climate crisis is urgent.

Clause 11 contains provisions to introduce delinked payments during the transition, and where we can, and subject to constraints in the withdrawal agreement, we will introduce simplifications to the existing BPS scheme. Our transition to the new schemes opens the door to a fresh approach to the rules that we expect farmers to meet, as provided for in clause 9. We are determined to have a far more rational and proportionate approach to compliance than the inflexible CAP regime that we are leaving. For too long farmers the length and breadth of this country have had to put up with systems of inspection, compliance, and penalties that often seemed to defy logic or common sense. Outside the EU, we can do better.

Clauses 18 to 20 provide that in exceptional circumstances the Government can act to support farmers through significant market disturbances in England. Our farmers want to be competitive, collaborative, and innovative, and to negotiate effectively at the farm gate to get a fairer return. We are using the Bill as an opportunity to take further action, and to improve fairness in the agriculture supply chain.

--- Later in debate ---

[Tim Farron (Westmorland and Lonsdale) (LD)]

Thank you, Mr Deputy Speaker. It is a great honour to share this debate with so many Members making incredibly impressive maiden speeches on both sides of the House. I did not expect there to be even one mention of Nottingham Forest, but there were two from our new colleagues. It is a team with a rich European heritage and, like the United Kingdom, I am sure, a prosperous European future at some point.

Today, Brexit goes from the emotional to the practical, and we are instantly reminded that “Get Brexit done” is the most misleading political slogan since David Steel told Liberals to go back to their constituencies and prepare for government. Brexit is not done and will not be done for perhaps 10 years or more, but our agricultural industries might well be done if the Government get this wrong—and there is every sign today that they will. We must design an agriculture policy that supports agriculture and food production and rewards farmers for the public goods that we rely on them for. We need to begin by acknowledging that this Bill will be a bad deal for Britain if it is not a fair deal for farmers.

First, we must address the transition from the current system. I have been horrified by the Government’s wilful deafness to the farming community over the phasing out of direct payments. ELMS may be a step forward, but the Government’s own figures show that 85% of livestock farm incomes come through direct payments. The phase-out begins in 11 months, even though ELMS will not be fully available until 2028. That is seven years of lost income and uncertainty, when we may lose hundreds of the farmers needed to feed us and deliver vital environmental and public benefits—how short-sighted and foolish. The answer is simple: the Government must not begin to phase out the BPS until 2028, when ELMS is available to all. The Government must listen to our farmers in Cumbria and across the country and make that announcement today.

In order to achieve a fair deal for farmers, it is essential that public goods are defined, to recognise the incredible work that they are already doing. The ultimate public good that farmers provide is food. We must have a coherent food production strategy, and yet the Bill fails to address that. It is a dreadful missed opportunity. Food production is the central motivation for most farmers, and food security is a real challenge for our farmers. Some 50% of the food we consume in the UK is imported, compared with 35% about 20 years ago. We are in a precarious position. How stupid would we be to put our farmers in a similarly precarious position?

We could solve so many of our problems if our farmers got a fair market price for their produce. The Liberal Democrats were proud to introduce the Groceries Code Adjudicator during our time in coalition, but of course the Conservatives limited its powers. The adjudicator could be empowered to take referrals from advocates such as the NFU, the Tenant Farmers Association or, indeed, Members of Parliament. They could expand its scope to investigate unfairness in every element of the supply chain. It must have powers to penalise those who abuse their market power to pay farmers a pittance. In short, it must have the power to secure a fair price for farmers.

A fair price for farmers will be made harder by the Bill’s failure to impose import standards. The consequences of cheap goods flooding our market would be catastrophic. Cheap imports, a market watchdog that lacks teeth and the phasing out of farmers’ main source of income in less a year are threats to farms that are plain for all to see except, it would appear, by this Government. If we fail to support farmers to be productive and to survive, there will be no farmers left to deliver any public goods.

The public good that I fear is in most danger of being overlooked is the one hardest to quantify or reward—the work farmers do in maintaining the aesthetics of our land. It is a privilege to call the Lake district and the dales of south Cumbria my home. Two or three years ago, UNESCO granted world heritage site status to the Lake district, largely due to the contribution of our farmers to the maintenance of our landscape. As well as being worth £3 billion a year to the economy, tourism in Cumbria provides 60,000 jobs. Without farmers to maintain the landscape, the entire industry would be undermined.

This is not just true of Cumbria. Helping farmers to deliver public goods and improving the productivity and resilience of UK agriculture mean releasing farmers from bureaucracy, badly run payments agencies and, worst of all, insecurity. If we want a diverse and bountiful ecology, we need farmers to steward and deliver it. If we want a better environment, we need farmers. The intentions behind this Bill may be good. In practice, though, it looks set to do more harm than good, because the Government have not listened to the farming communities that will bear the brunt of a poorly managed, detail-free transition.

[Several hon. Members rose—]

Direct Payments to Farmers (Legislative Continuity) Bill

Tim Farron Excerpts

Committee stage & 3rd reading: House of Commons & Committee: 1st sitting: House of Commons & 3rd reading & Committee: 1st sitting
Tuesday 28th January 2020 Commons Chamber

[George Eustice]

I very much agree with my hon. Friend. The Bill will give certainty and clarity about this year to all farmers who currently make a BPS claim and have done for some years. That will include, of course, dairy farmers and beef farmers. Beef farmers in particular have been through a rather difficult year, in which beef prices have been suppressed, and the knowledge and clarity that there will absolutely be continuity this year, and that payments will be made, will be very welcome to them.

[Tim Farron (Westmorland and Lonsdale) (LD)]

The Minister’s own Department’s figures recognise that 85% of livestock farm income comes through basic payments. Of course, this 12-month stay of execution will be welcomed by many of my farmers, but from next January, he is planning to phase out BPS, and the danger is that there will be no certainty about its replacement before 2028. Does he not worry that we will lose many livestock farmers during that seven-year transition, and does he agree that he should therefore delay the phasing out of BPS?

[George Eustice]

It is important to recognise that a significant proportion of sheep farmers in particular do not receive the basic payment scheme area payment, because they are on contract farm agreements and the landlord receives that money. Nevertheless, the hon. Gentleman makes an important point. I think the principle of investing in public goods has support across the House, but we need to strike this new course sensitively and ensure that agriculture remains profitable. We want a vibrant and profitable agriculture industry, which is why the Agriculture Bill also makes provision for payments to improve productivity, and sets a quite long transition period of seven years, so that we can gradually phase out the old legacy scheme. He will be reassured to hear that the Bill before us makes no changes at all for the coming year. Farmers in his constituency can rest assured that once this Bill is passed, the direct payment scheme will operate this year in exactly the same way as it has in previous years.

--- Later in debate ---

[Daniel Zeichner]

I am sure that we will return to this issue over the coming weeks and months. We hear what the Government say, but the simple way of resolving the matter would be to put something into the Bill, which is what many people would like to see. The point in this context is that we would all agree that this is not easy. It may well take time, and it will be difficult.

Alongside the potential delays, the National Audit Office has pointed to teething problems with the Government’s planned environmental land management schemes, which are terribly important to how our rural areas will be supported in future. Added to the 14-month delay to the Agriculture Bill, the Opposition are simply not convinced that everything will be in place for the new farming payment system by the end of the year.

We want to see an urgent shift to a payment system that rewards public goods, environmental protection and welfare standards, but there is a danger of continuing uncertainty for farmers who will have to make decisions in just a few months’ time about their plans for the following year. If the introduction of the new payment system is delayed, it is imperative that a continuation mechanism is in place in this Bill.

The new Agriculture Bill proposes powers to extend direct payments in future, so we will doubtless discuss those powers at that point, but the fact remains that, as we stand here today, that Bill has not even had its Second Reading. We are starting with this Bill, and we believe it would have been wiser for the Government to have re-examined the sunset clause to allow the possibility of extending the provision of direct payments to farmers beyond 2020 in the event of any delay. That would have given confidence and, frankly, would have reflected what many of us think is likely to happen anyway.

[Tim Farron]

The hon. Gentleman is making some important points. As things stand, we are certain that the BPS will begin to be phased out in 12 months’ time, and there is a possibility that we will have the environmental land management scheme by 2028. In principle, he and I probably agree that scheme is a good thing but, in practice, it does not yet exist. Does he agree there is a danger that, in the seven-year transition, we will lose many of the farmers we need to deliver those public goods?

[Daniel Zeichner]

I suspect that discussion will continue, but the hon. Gentleman makes an important point. As I said on Second Reading, we have replaced the certainty in the system. The only certainty we have now is of future uncertainty, which makes it extremely difficult for people who are planning ahead.

The Government have expressed total confidence that a further period of direct payments will not be needed. I wonder whether we will be having this discussion again in a year’s time. They are absolutely confident that there will be no further delays and, frankly, we hope they are right, but if they are not, I suspect we and others will be quick to remind them of the problems they caused by failing to prioritise safeguards in such an extension.

Another missed opportunity is the exclusion of measures to provide potential compensation to those farmers who have faced, and likely will face, delays to their payments. I cannot help noticing that the hon. Member for Brecon and Radnorshire (Fay Jones) made this point, and I am sure she will happily support us when we return to this topic in future.

Although the Government have rightly lauded the efforts of the Rural Payments Agency to pay farmers on time this year, I am afraid we are all well aware of the previous difficulties, poor performance and delayed payments in its management of direct payments to farmers.

Of course, it is not only about the Rural Payments Agency’s past performance. Look at what it is facing now: there is a real risk that it will be diverted by planning ahead for changes next year while we enter this period of uncertainty about our post-Brexit trade negotiations and the complex provisions of the Agriculture Bill. The danger is that we will find late payments building up again at precisely the time when farmers will most need financial certainty. A sensible response to that threat would have been to make provisions to enable farmers to be compensated if they suffered hardship or financial loss because of a delay in payments under this Bill. I hope the Government will duly consider a compensation mechanism for any such delays.

--- Later in debate ---

[Tim Farron]

Adding to comments that others have made, this is undoubtedly necessary legislation and we certainly will not seek to oppose it. It is a small amount of certainty in a sea of uncertainty for our farmers—certainly for mine in Cumbria.

When I speak to farmers throughout the lakes and dales and the rest of south Cumbria, they tell me that their concerns regarding our departure from the European Union are manifold. One undoubtedly is the future of direct payments and the environmental payments that we now refer to as coming under pillar two, but the concern about trade deals is massively significant. Over 90% of Cumbrian farm exports are to the single market, so a deal is critical. The problem is, of course, that if we are desperate for a quick deal, the chances of us getting a good one are, almost by definition, reduced.

It seems to me that there are three options; I cannot think of a fourth one. Option one is that we align wholly with single market rules, either officially or unofficially, in which case we have lost control, not taken it back one little bit. Option two is that we de-align and increase our standards, as many people say we would, but that will likely mean increasing input costs, making British farming less competitive at home and abroad. Option three, which is most likely, is that we de-align and reduce the standards of our production, meaning that we may be competitive, but we undermine everything that we said we hold dear and everything that our farming community holds dear. I see no alternative to those three options. We need there to be a deal, but the chances are—in fact, the certainty is—that it will not be as good as the one we currently have.

I am glad that the Government are committing to this legislation, which gives some stability and predictability for the next 11 months. While there is a commitment to £3 billion or so a year for the life of this Parliament, we have no clarification about where that money will go. For all its faults, the CAP money that came to this country was restricted for use on agriculture and the environment. If we are making up our own rules, to which there are many advantages, who is to say that the £3 billion that the Government have allotted will not end up being siphoned off to other rural pots? That might be all well and good, but it would reduce the amount of money going into agriculture. In fact, when I questioned the former Secretary of State for Environment, Food and Rural Affairs on that point, he specifically said that he could not promise that all the £3 billion would be spent on agriculture and the environment. I would like the Minister to comment on that. Will all this money be ring-fenced for agriculture spending? There is nothing to force the Government to do that at the moment. It is a likely cut in the money that will go into our agricultural sector.

Over the last 45 years or so that we have been in the European Union and the Common Market before it, we have not had to debate whether it is right to subsidise food, but we do, and if we stop, we will notice. The average spend on food in 1970 was roughly 20% to 25% of household income. Today, it is around 9%. Whether it is right or wrong to subsidise food, we have done so, and choosing not to will have enormous consequences for the lives of every one of our constituents and colossal political consequences. Thinking this through is vital.

We must consider the unintended consequences. As several Members have said, there is an understanding throughout the agricultural community—indeed, across the country—that we should be spending public money on public goods, and I completely support that, but there is great vagueness about that as things stand. For instance, farmers in my community have always opened their doors to local primary schools, so that children can look around, enjoy being on a farm and get a sense of where their food comes from. In the future, will he or she have to formally bid for funding to provide that public good? Are we in danger of getting to a stage where we account for everything and take the heart out of the public role that farmers currently provide willingly and freely?

So many of those public goods are hard to pin down. How do we make a payment to a farmer in Troutbeck, Kentmere, Longsleddale or the Langdale valley to compensate and reward them for the aesthetics of their land—for ensuring that the Lake district continues to be our premier rural tourist destination and the second biggest tourist destination in the country? How do we put a price on that or fund it? These things are massively important and will not be easily done overnight.

We must think about the value that farmers bring to the United Kingdom. In terms of the production of food, we already import nearly 50% of that which we eat. It is so important that we maintain at least what we currently produce and preferably expand our production. Farmers also maintain rare and natural habitats, promote biodiversity and look after our rich heritage landscapes, which underpin our tourism industry, worth £3 billion a year to the Cumbrian economy and providing 60,000 jobs. What about the water management work in the uplands, protecting the towns and villages from flooding? All those things are massively important, and we will have nobody to deliver the environmental goods that we so desperately need if there is nobody working in the farming industry—especially in the uplands—at the end of the seven-year transition period. If we care about the environment, we care about protecting the livelihoods of those people who are there as our partners to protect our environment.

That is why I am so concerned about the Government’s plan to start phasing out basic payments from next January, which make up 85% of livestock farm incomes in this country. That is a certainty; it is what they face. It is, if you like, a seven-year notice to quit. For all the benefits that I believe and hope environmental land management schemes will bring, they will not be available to everyone until 2028. That is seven years during which British farming has to hang in the balance. Many farmers will either choose to leave the industry before it gets bad or will go under because it has got bad. If we care about our environment and protecting the public goods that farmers bring to this country, we must do the right thing—I challenge the Minister to do this—and agree not to phase out the BPS until 2028 for anyone until ELMS are available for everyone.