Agriculture Bill (HC Bill 266)

Agriculture BillPage 30

(b) supporting public access to and enjoyment of the countryside,
farmland or woodland and better understanding of the
environment;

(c) managing land or water in a way that maintains, restores or
5enhances cultural heritage or natural heritage;

(d) mitigating or adapting to climate change;

(e) preventing, reducing or protecting from environmental hazards;

(f) protecting or improving the health or welfare of livestock;

(g) protecting or improving the health of plants.

(2) 10The Welsh Ministers may also give financial assistance for or in connection
with any of the following purposes—

(a) supporting businesses or communities in rural areas;

(b) starting, or improving the productivity of, an agricultural,
horticultural or forestry activity;

(c) 15supporting persons who are involved in the production, processing,
marketing or distribution of products deriving from an agricultural,
horticultural or forestry activity.

(3) Financial assistance may only be given in relation to Wales.

(4) For the purposes of this paragraph—

  • 20“improving productivity”, in relation to carrying on an activity,
    includes—

    (a)

    improving the quality of any products deriving from the
    activity, and

    (b)

    improving the efficiency of the activity in terms of the
    25resources used in, or in connection with, it;

  • “livestock” includes any creature kept for the production of food, drink,
    oils, fibres or leathers, or for the purpose of its use in the farming of
    land.

(5) In this Part “financial assistance” means financial assistance under this
30paragraph.

2 (1) Financial assistance may be given by way of grant, loan, guarantee or in any
other form.

(2) Financial assistance may be given subject to such conditions as the Welsh
Ministers consider appropriate.

(3) 35The conditions may (among other things) include provision under which the
financial assistance is to be repaid or otherwise made good (with or without
interest).

(4) Financial assistance may be given to a person in connection with a scheme
made or operated by that person for the giving of financial support for any
40one or more of the purposes in paragraph 1(1) and (2).

(5) The Welsh Ministers may delegate functions relating to the giving of
financial assistance to any other person.

(6) Functions delegated under sub-paragraph (5) may include—

(a) the giving of guidance;

(b) 45the exercise of a discretion.

Agriculture BillPage 31

(7) The Welsh Ministers may by regulations make provision for or in connection
with requiring the Welsh Ministers or another person to publish specified
information about financial assistance which has been given.

(8) Information which may be specified includes information about—

(a) 5the recipient of the financial assistance;

(b) the amount of the financial assistance;

(c) the purpose for which the financial assistance was given.

(9) Regulations under sub-paragraph (7) are subject to affirmative resolution
procedure.

(10) 10In this paragraph, “specified” means specified by regulations under sub-
paragraph (7).

Financial assistance: checking, enforcing and monitoring

3 (1) The Welsh Ministers may by regulations make provision for or in connection
with—

(a) 15checking whether eligibility criteria for receipt of financial assistance
are met and the consequences, where financial assistance has already
been given, if not;

(b) enforcing compliance with conditions subject to which financial
assistance is given;

(c) 20monitoring the extent to which the purpose of the financial
assistance has been achieved.

(2) Regulations under sub-paragraph (1) may (among other things) include
provision—

(a) about the provision of information;

(b) 25conferring powers of entry;

(c) conferring powers of inspection;

(d) about the process for determining if eligibility criteria, or conditions
subject to which financial assistance is given, are met;

(e) about the keeping of records;

(f) 30about the recovery or withholding of all or any part of financial
assistance;

(g) imposing monetary penalties;

(h) creating offences;

(i) prohibiting a person from receiving financial assistance for a period
35or until conditions specified in, or determined under, the regulations
are satisfied;

(j) about appeals;

(k) conferring functions (including functions involving the exercise of a
discretion) on a person.

(3) 40Regulations under this paragraph are subject to affirmative resolution
procedure.

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Part 2 Financial support after exiting the EU

Direct payments: interpretation

4 (1) This paragraph defines or explains expressions used in this paragraph and
5paragraphs 5 to 8.

(2) The “basic payment scheme” is the Basic Payment Scheme under the Direct
Payments Regulation (see Title III of that Regulation), as it operates in
relation to Wales, including the arrangements relating to each of the
following elements of direct payments under that scheme—

(a) 10so much of a direct payment that does not consist of a redistributive,
greening or young farmers payment (see Chapter 1 of Title III),

(b) a redistributive payment (see Chapter 2 of Title III),

(c) a greening payment (see Chapter 3 of Title III), and

(d) a young farmers payment (see article 50 of that Regulation).

(3) 15The “legislation governing the basic payment scheme” is—

(a) the following retained direct EU legislation—

(i) the Direct Payments Regulation,

(ii) any Council Delegated Regulation, or Commission
Delegated Regulation, made under the Direct Payments
20Regulation,

(iii) any other retained direct EU legislation which relates to the
operation of the basic payment scheme; and

(b) any subordinate legislation relating to retained direct EU legislation
falling within paragraph (a).

(4) 25“Direct payment” means—

(a) a payment under the basic payment scheme (whether or not
including a redistributive payment, a greening payment or a young
farmers payment), or

(b) a delinked payment.

(5) 30The “agricultural transition period for Wales” is the period for the time being
specified in paragraph 5(1).

(6) “Delinked payment”, except in sub-paragraphs (1) and (2) of paragraph 7,
means a payment under regulations under paragraph 7 made by virtue of
those sub-paragraphs.

(7) 35The “Direct Payments Regulation” is Regulation (EU) No 1307/2013 of the
European Parliament and of the Council of 17 December 2013 establishing
rules for direct payments to farmers under support schemes within the
framework of the common agricultural policy.

(8) “Phasing out”, in relation to direct payments, means taking steps to secure
40that, at least once during the period in which the phasing out takes place
prior to the termination of those payments, there are reductions in the
amounts paid out to some or all of those entitled to receive direct payments.

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The agricultural transition period for Wales

5 (1) The agricultural transition period for Wales is the period of seven years
starting with 2021.

(2) The Welsh Ministers may by regulations amend sub-paragraph (1) for the
5purpose of extending the period specified in that sub-paragraph.

(3) The power under sub-paragraph (2) may be exercised more than once (but
may not be exercised if the agricultural transition period for Wales has
already ended).

(4) Regulations under this paragraph are subject to affirmative resolution
10procedure.

Power to modify legislation governing the basic payment system

6 (1) The Welsh Ministers may by regulations modify legislation governing the
basic payment scheme for or in connection with making changes the Welsh
Ministers consider will simplify or improve the scheme (so far as it operates
15in relation to Wales).

(2) The provision which may be made under sub-paragraph (1) includes
provision made for or in connection with terminating greening payments in
relation to Wales before the end of the agricultural transition period for
Wales.

(3) 20Regulations under this paragraph are subject to negative resolution
procedure.

Power to provide for phasing out direct payments and delinked payments

7 (1) The Welsh Ministers may by regulations make provision for or in connection
with either or both of the following—

(a) 25phasing out direct payments under the basic payment scheme in
relation to Wales over the whole or part of the agricultural transition
period for Wales;

(b) terminating direct payments under that scheme in relation to Wales
and instead making delinked payments in relation to Wales in
30respect of the whole or part of the agricultural transition period for
Wales.

(2) For this purpose a delinked payment is a payment, with respect to a year,
which is made in accordance with the regulations to a person who is under
the regulations entitled to receive it.

(3) 35Regulations making provision under sub-paragraph (1)(b) must—

(a) specify the first year within the agricultural transition period for
Wales in respect of which delinked payments are to be made (“the
first delinked year”),

(b) provide that after the end of the year preceding the first delinked
40year no payments are to be made under the basic payment scheme in
relation to Wales otherwise than in respect of that preceding year (or
an earlier year),

(c) specify the descriptions of person who, in respect of a year, are
entitled to receive a delinked payment (whether or not they are

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required by the regulations to make an application before anything
becomes payable), and

(d) make provision setting out rules for determining the amount of the
delinked payment to be made to an entitled person with respect to
5any year.

(4) A description of persons specified under sub-paragraph(3)(c) may (but need
not) be framed by reference to whether they were entitled to a direct
payment under the basic payment scheme in respect of a specific year (or
one of several specific years) prior to the first delinked year.

(5) 10Rules set out under sub-paragraph (3)(d) for determining the amount of any
delinked payment to be made to a person may (but need not) be framed by
reference to the amount of a direct payment to which the person was
entitled, or, if specific assumptions are made would have been entitled,
under the basic payment scheme.

(6) 15Regulations under sub-paragraph (1)(b) may make provision—

(a) for a person who makes a request in accordance with the regulations
to cease to be regarded as a person entitled to receive delinked
payments in relation to Wales,

(b) for other circumstances in which a person ceases to be an entitled
20person in relation to Wales, and

(c) for the repayment (with or without interest) of any amount paid as a
delinked payment to which the recipient was not entitled.

(7) Regulations under this paragraph may make provision for or in connection
with the payment of a lump sum (at the request of a person entitled to direct
25payments) in lieu of any direct payments to which that person would
otherwise be entitled with respect to two or more years of the agricultural
transition period for Wales.

(8) If provision for terminating greening payments is made under paragraph
6(2) above, then sub-paragraph (1) above has effect as if the references to
30direct payments do not include the greening payment element of direct
payments.

(9) Regulations under this paragraph are subject to affirmative resolution
procedure.

Termination of direct payments

8 (1) 35After the end of the agricultural transition period for Wales no direct
payments are to be made under the basic payment scheme in relation to
Wales otherwise than in respect of the last year of that period (or an earlier
year).

(2) If provision for delinked payments is made in regulations under paragraph
407(1)(b)

(a) sub-paragraph (1) above does not apply, and

(b) no delinked payments in relation to Wales are to be made after the
end of the agricultural transition period for Wales otherwise than in
respect of the last year of that period (or an earlier year).

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Other financial support: modification in relation to Wales of general provision connected with
payments to farmers and other beneficiaries

9 (1) The Welsh Ministers may by regulations modify—

(a) retained direct EU legislation relating to the financing, management
5and monitoring of the common agricultural policy, and

(b) subordinate legislation relating to that legislation.

(2) Regulations under this paragraph may only be made for the purpose of—

(a) securing that any provision of legislation referred to in sub-
paragraph (1) ceases to have effect in relation to Wales, or

(b) 10simplifying or improving the operation of any provision of such
legislation in relation to Wales.

(3) Regulations under this paragraph may not make any provision of legislation
mentioned in sub-paragraph (1) apply in relation to financial assistance
under paragraph 1.

(4) 15In this paragraph “retained direct EU legislation relating to the financing,
management and monitoring of the common agricultural policy” includes—

(a) Regulation (EU) No 1306/2013 of the European Parliament and of
the Council of 17 December 2013 on the financing, management and
monitoring of the common agricultural policy,

(b) 20retained direct EU legislation made under that Regulation.

(5) Regulations under this paragraph are subject to negative resolution
procedure.

Support for rural development: modification of legislation in relation to Wales

10 (1) The Welsh Ministers may by regulations modify—

(a) 25retained direct EU legislation relating to support for rural
development, and

(b) subordinate legislation relating to that legislation.

(2) Regulations under this paragraph may only be made for the purpose of—

(a) securing that any provision of legislation referred to in sub-
30paragraph (1) ceases to have effect in relation to Wales, or

(b) simplifying or improving the operation of any provision of such
legislation so far as it continues to have effect in relation to Wales
(pending the achievement of the purpose in paragraph (a)).

(3) In this paragraph “retained direct EU legislation relating to support for rural
35development” includes in particular—

(a) Regulation (EU) No 1305/2013 of the European Parliament and of
the Council of 17 December 2013 on support for rural development,

(b) Regulation (EU) No 1310/2013 of the European Parliament and of
the Council of 17 December 2013 laying down certain transitional
40provisions on support for rural development,

(c) Council Regulation (EC) No 1698/2005 of 20 September 2005 on
support for rural development,

(d) so far as it relates to support for rural development, Regulation (EU)
No 1303/2013 of the European Parliament and of the Council of 17
45December 2013 laying down common provisions on the European
Regional Development Fund, the European Social Fund, the

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Cohesion Fund, the European Agricultural Fund for Rural
Development and the European Maritime and Fisheries Fund etc,

(e) Council Regulation (EC) No 1257/99 of 17 May 1999 on support for
rural development,

(f) 5Council Regulation (EEC) No 2080/92 of 30 June 1992 instituting a
Community aid scheme for forestry measures in agriculture,

(g) Council Regulation (EEC) No 2078/92 of 30 June 1992 on agricultural
production methods compatible with the requirements of the
protection of the environment and the maintenance of the
10countryside, and

(h) retained direct EU legislation made under the retained direct EU
legislation in paragraphs (a) to (g).

(4) Regulations under this paragraph are subject to negative resolution
procedure.

15Part 3 Collection and sharing of data

Agri-food supply chains: requirement to provide information

11 (1) The Welsh Ministers may require a person in, or closely connected with, an
agri-food supply chain to provide information about matters connected with
20any of the person’s activities connected with the supply chain so far as the
activities are in Wales.

(2) The Welsh Ministers may make regulations requiring a person in, or closely
connected with, an agri-food supply chain to provide information about
matters connected with any of the person’s activities connected with the
25supply chain so far as the activities are in Wales.

(3) See paragraph 12 for provision about—

(a) the meaning of “agri-food supply chain”,

(b) who is in such a supply chain, and

(c) who is closely connected with such a supply chain.

(4) 30Sub-paragraphs (1) and (2) do not apply in relation to individuals in a
supply chain so far as they are in the supply chain by reason of them, or
members of their households, being the ultimate consumers (see paragraph
12).

(5) A requirement under sub-paragraph (1) must be in writing.

(6) 35Sub-paragraph (1) binds the Crown.

(7) Regulations under sub-paragraph (2) are subject to affirmative resolution
procedure.

12 (1) This paragraph has effect for the purposes of this Part.

(2) An “agri-food supply chain” is a supply chain for providing individuals
40with items of food or drink for personal consumption where the items
consist of or include, or have been produced using (directly or indirectly,
and whether or not exclusively), the whole or part of—

(a) anything grown or otherwise produced in carrying on agriculture, or

(b) any creature kept in carrying on agriculture, or

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(c) any creature or other thing taken from the wild.

(3) The persons in an agri-food supply chain are—

(a) those individuals (“the ultimate consumers”),

(b) the persons carrying on the agriculture or (as the case may be) taking
5things from the wild, and

(c) anybody in the supply chain between those persons and the ultimate
consumers.

(4) The persons “closely connected” with an agri-food supply chain are—

(a) anybody supplying seeds, stock, equipment, feed, fertiliser,
10pesticides, medicines or similar items to the persons within sub-
paragraph (3)(b) for use in the agriculture or taking,

(b) anybody providing, to persons within sub-paragraph (3)(b) or (c),
services related to—

(i) the health of creatures, or plants, involved in the supply
15chain, or

(ii) the safety or quality of the food or drink to be provided to the
ultimate consumers,

(c) any person carrying on activities capable of affecting a matter
mentioned in sub-paragraph (i) or (ii) of paragraph (b), and

(d) 20bodies representing persons within any of paragraphs (b) and (c) of
sub-paragraph (3) and paragraphs (a), (b) and (c) of this sub-
paragraph.

(5) Activities of the kind mentioned in sub-paragraph (4)(c) are to be treated for
the purposes of paragraph 11(1) and (2) as connected with the supply chain,
25but this is not to be read as limiting the generality of “connected” in
paragraph 11(1) and (2).

(6) In this paragraph—

  • “agriculture” includes any growing of plants, and any keeping of
    creatures, for the production of food or drink;

  • 30“plants” includes fungi;

  • “seeds” includes bulbs and other things from which plants grow.

13 (1) This paragraph applies to a requirement imposed under paragraph 11(1) or
(2).

(2) The requirement must specify the purposes for which the information may
35be processed.

(3) Each purpose specified must be in, or covered by, the list of purposes in sub-
paragraph (4).

(4) The list of purposes is as follows—

(a) helping persons in agri-food supply chains to—

(i) 40increase productivity,

(ii) manage risks (including, but not limited to, financial risks,
non-financial trading risks, climatic risks, and risks of or from
disease or pollution), or

(iii) manage market volatility;

(b) 45promoting transparency or fairness in agri-food supply chains;

(c) promoting the health or traceability of creatures of a kind kept for the
production of food, drink, fibres or leathers;

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(d) promoting the health of plants;

(e) minimising adverse environmental effects of activities connected
with agri-food supply chains;

(f) minimising waste arising from activities connected with agri-food
5supply chains;

(g) monitoring, or analysing, markets connected with agri-food supply
chains;

(h) the purposes of any function of a public authority so far as it is a
function relating to one or more of the following—

(i) 10agri-food supply chains,

(ii) activities connected with agri-food supply chains,

(iii) the health of people or creatures,

(iv) the health or quality of plants or soil,

(v) the safety or quality of food or drink,

(vi) 15waste,

(vii) environmental protection, or

(viii) the countryside.

(5) In sub-paragraph (4)

  • “plants” includes fungi;

  • 20“public authority” means a public authority—

    (a)

    in any part of the United Kingdom, or

    (b)

    in a country or territory outside the United Kingdom.

(6) For the meaning of “agri-food supply chain” (and “person in” such a chain)
see paragraph 12.

25Provision of required information and limitations on its processing

14 (1) This paragraph applies to a requirement imposed under paragraph 11(1) or
(2).

(2) Information provided in response to the requirement may be processed for,
but only for, purposes specified in the requirement (see paragraph 13).

(3) 30Sub-paragraph (2) applies—

(a) to the person to whom the information is provided, and

(b) to a person to whom the information is disclosed,

but, in the case of a person within paragraph (b), sub-paragraph (2) does not
authorise processing contrary to the terms on which disclosure is made.

(4) 35Sub-paragraphs (2) and (3) are subject to sub-paragraphs (6) to (9).

(5) The requirement may specify—

(a) how and when the required information is to be provided, including
(in particular)—

(i) the person to whom the information is to be provided (who
40may be a person other than the Welsh Ministers);

(ii) the form in which the information is to be provided;

(iii) the means by which it is to be provided;

(iv) the time or times at which, or by when, it is to be provided;

(b) the types of processing to which the information may be subjected;

(c) 45the forms in which the information may be disclosed.

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(6) Where the requirement specifies the types of processing to which the
information may be subjected, information provided in response to the
requirement may not be subjected to other types of processing except in
circumstances specified in the requirement.

(7) 5Sub-paragraphs (8) and (9) apply if—

(a) information is provided in response to the requirement, and

(b) a person (“P”) proposes to make a disclosure of the information.

(8) Where P proposes that the disclosure should be of the information otherwise
than in anonymised form—

(a) 10P must consider where the disclosure (if made in that form) would,
or might, prejudice the commercial interests of any person, and

(b) if P considers that it would or might do so, the disclosure (if made)
must be of the information in anonymsied form unless the Welsh
Ministers consider that it is in the public interest for the disclosure to
15be of the information in some other form (in which event the
disclosure may be of the information in that other form).

(9) Where—

(a) sub-paragraph (8)(b) does not govern the disclosure, but

(b) the requirement specifies the forms in which the information may be
20disclosed,

the disclosure must not be of the information in any other form except in
circumstances specified in the requirement.

(10) In this Part “processing”, in relation to information, means an operation or
set of operations which is performed on information, or on sets of
25information, such as—

(a) collection, recording, organisation, structuring or storage,

(b) adaptation or alteration,

(c) retrieval, consultation or use,

(d) disclosure by transmission, dissemination or otherwise making
30available,

(e) alignment or combination, or

(f) restriction, erasure or destruction.

Enforcement of information requirements

15 (1) The Welsh Ministers may by regulations make provision for enforcement of
35a requirement imposed under paragraph 11(1) or (2).

(2) In the following provisions of this paragraph, “specified” means specified in
regulations under sub-paragraph (1).

(3) In sub-paragraph (1) “enforcement” includes (in particular)—

(a) monitoring compliance,

(b) 40investigating non-compliance, and

(c) dealing with non-compliance.

(4) The provision that may be made by regulations under sub-paragraph (1)
includes (in particular)—

(a) provision for the imposition of monetary penalties for non-
45compliance with requirements, whether penalties—