Select Committee on Agriculture Minutes of Evidence



Examination of witnesses (Questions 80 - 99)

WEDNESDAY 17 MAY 2000

MR MARK THOMASIN-FOSTER, MRS FRANCES BEATTY and MISS LUCY MORGAN EDWARDS

Chairman

  80. I am not sure I am.
  (Mr Thomasin-Foster) To start with, the average ownership of the CLA membership is just under 100 acres. So, in fact, we are not the big fat-cats.

  81. But there are a lot of fat-cats about.
  (Mr Thomasin-Foster) There are in industry, there are in any business—there are big businesses and there are small businesses. We represent that level of ownership, which is quite small. Many are farmers; some, indeed, will be tenants but many are owner-occupiers, and some are pure landlords. So it is not fat-cats. I used the TLC point, actually, to try and open this up. It is TLC that we are trying to provide to our countryside, to our rural businesses. That is where it ends up. It is not TLC which is looking after you as an individual or me as a farmer; it is enabling TLC to get through to the countryside management—and the farmers, landowners, tenants and owner-occupiers are the managers of that land. That, surely, must be the aim that we are trying to achieve; we are trying to make the best management process that we can for our countryside in general—whether it is agriculture, whether it is environment, whether it is social, whether it is economic.

  Chairman: There are a lot of supplementaries on this so I will ask colleagues to be crisp.

Mr Drew

  82. A very quick observation, which I would welcome your comment on. I have just had a quick read of the PricewaterhouseCoopers report, and nowhere does it mention at all linkages with either Business Link or the new Small Business Service. If we are asking farmers to become more business-like, more strategic in their vision, how the hell can we expect them to move in that direction when the obvious linkages are just not being explored at all?
  (Mr Thomasin-Foster) The only comment I can make to you is that, for the first time, this very week I have made contact with my own Business Link in Essex. So it is, perhaps, very small pickings, but I think the point is well made. We are dealing with businesses, albeit many of them micro-businesses, in the countryside.

  83. I know why it has happened, because there is not the expertise within those offices. In my own county only recently have we taken people on. If we are going to look at how we can, if you like, both devolve and, essentially, with some aspects of the work, centralise—and the two extremes are being seen at the same time—we need to be even more local to the farmers, to the CLA and the TFAs. I would just be interested to know if that is something that is completely missing in this whole debate.
  (Mrs Beatty) It is one of the things that is beginning to come out of regional government. Again, I go back to the West Midlands because that is the area I co-ordinate, but the link with Business Links—which is now the Small Business Service—is already beginning to be developed through ourselves and the NFU. It is this urban/rural link again that has become so profoundly important in regional government. That is another good feature about the future of regional government, if you like—wherever it ends up—that urban business is beginning to understand rural business, and the other way round. I think that will come forward. I am sure it is going to make an improvement in future.

Dr Turner

  84. I would like to clarify some of the points you make about IT in your document. You recognise that electronic communication can reduce but, as you pointed out, it is not going to eliminate, the need for face-to-face contact. Would you accept it can substantially reduce? Does the CLA accept that electronic communication can substantially reduce the need for contact? Is it a marginal reduction you are accepting, or a substantial reduction?
  (Mrs Beatty) It will be substantial, without a shadow of a doubt, in due course.
  (Mr Thomasin-Foster) It is the time-scale.

  85. That is the second question I wanted to ask. As you have sat there this morning you, perhaps, know what my view is, but what is your view on the realism, starting where you are now (and I would like to know roughly what you think the starting point is with your members) in terms of access to IT facilities, of the Government's target for essential completion by 2008—apart from some face-to-face contact, which I accept is essential? Would you accept that as a realistic target?
  (Mr Thomasin-Foster) The average age of a farmer is somewhere in the region of 56, 57. He is going to be a difficult animal to convert with all confidence.

  86. I was not asking you about the difficulty of getting them converted, I am asking whether you think that is realistic.
  (Mr Thomasin-Foster) I am qualifying my answer, Chairman. It is a difficult pledge to give. I think the CLA view is, yes, that is something we should be working towards, but the caveat is there that I am not certain we can get to that level.

  87. We cannot often be certain of targets. The Government often finds out.
  (Mr Thomasin-Foster) The IT technology must develop: it must give confidence that you can transmit that data with confidence, that you can fill those forms in with confidence, you can be confident that there is an appeal mechanism if you have transmitted it wrong, etc. So, ideally, yes.

  88. Some electronic forms refuse to transmit themselves correctly, but if we pass over those matters, I do understand your concerns, given the history of Government computer projects. It is going to have to be brought in, presumably, with some trialing, and I would accept those caveats which you have quite correctly emphasised. You talk about provision of necessary hardware, and the only hardware you mention is ISDN lines. I am not sure about 2008 for ISDN lines, but I take the point. By the word "provision" do you mean "availability" or do you mean someone is paying for it for you? Are you saying "availability" of hardware or are you talking about being helped to have and own computers and ISDN lines?
  (Mrs Beatty) It is hardware we are looking at at the moment, because one way forward with the hardware—because you can trust third parties are going to be absolutely critical of the whole thing—if you were looking at it laterally, is you could use post offices. Why not? There should be village centres where there is available hardware—and software. The other thing is that it does not want to become a gravy train for professionals filling in forms of 62-year olds who have not a clue what they are doing and do not know how to turn a computer on. That is another big issue. We are working regionally with Harper Adams to see if there is a way that the industry itself could actually put this service out to the more diffident farmers, but the time factor is very difficult. By 2008, one would hope, it would be possible, yes, because the farmer will follow the subsidy—to put it bluntly—and will somehow work his way through the system, but the system has got to be failsafe, both in terms of the stuff coming out of the Government and the way farmers are helped to manage it. Hardware should certainly be made available in all sorts of different areas. Computer companies are offering free computers in some cases.

  89. I want to be clear about provision. "Provision" can be someone giving something. I really feel you are probably saying it should be available and that you would accept that it is not necessarily the government that is handing it over to the farmers.
  (Mrs Beatty) The Shropshire Training Group will tell you that of their membership 30 per cent—and they are training in hedge laying as well as computers—have got computers.

  90. Is that typical of the membership?
  (Mrs Beatty) That is a fairly normal, Shropshire farmer; average sized stock farmer. Of those, only about 10 per cent ever turn them on. That is more worrying than the fact that they have got the hardware.

  91. One last point. You have mentioned already the fact that you are wondering about whether there is some equivalent of an accountant for your income tax form. Does the Association itself see that it might be able to organise a mechanism by which its membership would have access to an intermediary to help with the process? Do you see that as a role for the Association?
  (Mr Thomasin-Foster) It could be. We have a rural business network which is a computer which links a lot of us together, brings information to our members, and they can join it. So we have been, for five years now, working on this type of electronic communication tool. If that answers your question.

Mr Jack

  92. The British Cattle Movement Service: one location, complex issues. How have your members got on with that?
  (Miss Morgan Edwards) We have taken an interest in the British Cattle Movement Service since its inception three years ago now, and at the time we tried to get the message across fairly strongly to Government that we felt that this was something that should have been farmed out to the private sector rather than being provided by MAFF. We were not convinced of their batch processing system or of the type of technology they wanted to use. We also had questions about transparency in respect of costs, and efficiency and accountability and so on. We still have those questions—given that, ultimately, farmers might again be asked to pay for the system.

  93. With great respect, it is a very interesting commentary and we can have a separate inquiry into why, but the question I asked was "How have your members got on with a service which has a single location but deals with complex issues?" As I think your evidence indicated earlier, farmers do have complex questions to answer about changes of ownership, changes in passports and so on. Has it worked? The point I am getting at is that there are not regional centres of the British Cattle Movement Service, there is only one of them.
  (Miss Morgan Edwards) I think that has worked well. The call centres have been quite efficiently run. There are problems with errors—and quite considerable problems—and we can provide more data on that if you require. I think it is possibly dangerous to go down the road of making an analogy between the BCMS and an overall rationalisation of processing and extra support of IACS submission, given the comments that I made earlier about the complexity of the rules, because that does not necessarily always apply to the BCMS, and it is very onerous and there is a problem with error rate. It does not quite relate in the same way.

  94. One other question. One could say to you that what farming is asking for is yet another extension of more nannying. Tax, for example, is an incredibly complex area, yet many people cope. Farmers, by and large, when they see money coming into view, usually cope. Why should they have all this localised back-up, arm-round TLC? Why should they not just get on and sort the job out? Ordinary citizens, without vast back-up, have to deal with tax matters off their own back. There are no great centres. They can go to their tax office if they want, but they seem to cope themselves. Why can farmers not do it?
  (Miss Morgan Edwards) I think the difference is the number of professionals who understand the system within which farmers are having to operate. In a tax system one can employ an accountant who will understand the system to be fairly transparent to them, but when farmers are operating within EU/CAP schemes the rules are constantly changing, and there are very few officials—even throughout MAFF—that actually understand the application of the rules. As I said earlier, I might `phone up Whitehall livestock department on the sheep side and find there is only one person there who understands the particular aspect I am trying to get at. He might have to go off and do some research and come back to me and say "Well, on this partnership structure the person should have foreseen that he could have submitted a covering letter with his IACS form prior to changing his partnership", and it all becomes complex. It is not the same as the tax system.
  (Mr Thomasin-Foster) As CAP changes—reforms—and as we probably see less production subsidy and more environmental and social subsidy coming through—support requirements, or whatever it is—complexity increases and, indeed, delivery of that becomes more and more and more important. A farmer has got to turn from just producing that extra few tonnes per acre or litres of milk to start thinking what he is doing for his countryside. He needs help. I believe in that.

Chairman

  95. Just out of interest, where did you get your copy of the Pricewaterhouse report from?
  (Mr Thomasin-Foster) We do not have a copy.

  Chairman: You must be the only people in the entire galaxy who have not been slipped a copy.

Mr Marsden

  96. Just for the record, I am a member of the Agricultural Rural Economy Committee of the CLA, which is unpaid and is co-opted. When we are talking about IT—this is an aside—I am reminded of the time when an older secretary at a former place of work decided, just before her retirement, she wanted to learn about IT and duly turned up to the training course. She was told by the instructor "Please move the mouse around the screen" and she eventually said she could not do this task. The instructor went round to find out what the problem was and she was sitting there, having picked up the mouse, putting it on the VDU and trying to move it around. This reinforces the stereotype that somehow older people cannot actually cope with IT. There is an interesting stat that the fastest growing use of computers is in the over-50s, and I think people do sometimes underestimate the fact that as long as there is the time they can actually overcome some of those problems. Can I just turn to what I am supposed to be talking about, and that is the role and performance of the RSCs and the TLC aspect. Could you give some examples of where individual RSCs have played a greater role in the community and how they assist in the community beyond their regulatory duties?
  (Mrs Beatty) This is going to come back to the Rural Development Regulation because they will have full responsibility for all the leader funds which have always been targeted into 5(b) areas up to now but are now going to be county-wide so they will have responsibility for community projects, delivery and payment, through sort of local consortiums. The system will not change in delivering leaders for things like village halls and all sorts of things coming in that they are already involved in. Of course, on the environment work they have been doing they have really quite a lot of community involvement when they are doing farm woodland schemes and the access part of the Countryside Stewardship, or the stewardship programmes themselves. They work very closely on the ground, I find, on delivering the projects with a local vision rather than just a farming vision.

  97. So you are emphasising the fact that, with the stress that farmers and their families are under at the moment, having a friendly voice over the telephone or face-to-face in a meeting can help reduce some of that stress, because of the complexity of the paperwork or even electronic versions?
  (Mr Thomasin-Foster) Inevitably, at the moment, yes.

  98. That is the sort of positive side. Can I turn to the more negative side. You do actually say, in your evidence, that there is criticism of regional staff in the way they deal with regulatory matters, including the lack of local discretion and the inability of local officials to understand the rules. How widespread are these concerns, do you think?
  (Miss Morgan Edwards) I know that, on the one hand, we are saying we want to retain contact between people on the ground, and, on the other hand, we are saying that perhaps the quality in pro-activeness of their staff has declined recently. I think it does vary between regions, and we have good reports from some regions with respect to processing payments and so on, and from others there are bad reports, but generally speaking I think it all comes back, I am afraid, to the complexity of the rules and the position that MAFF takes in not having any discretion in their application, and this comes back to having an appeals mechanism for genuine mistakes.

  99. Is the problem the quality of the staff or is it the quality of the information that they can then give out because of the restrictions and complexities of the system they have to work in?
  (Miss Morgan Edwards) I think it is partly because, essentially, they have been neutered by the fact that everything is centralised now in the administration of the agency's funds and direct payments, but it is also because of their fear of disallowance—of the Commission making payments if we make mistakes and if RSC officials make mistakes in the advice they give to people on the ground.


 
previous page contents next page

House of Commons home page Parliament home page House of Lords home page search page enquiries index

© Parliamentary copyright 2000
Prepared 16 June 2000