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Energy Efficiency

Mr. Wiggin: To ask the Secretary of State for Environment, Food and Rural Affairs how she will double the rate of energy efficiency improvement in order to meet targets for 2020 set out in the Energy White Paper. [133255]

Mr. Bradshaw: The Energy White Paper makes clear that energy efficiency is expected to deliver about half the carbon savings needed to meet our carbon emission reduction goals for 2020. This will mean roughly doubling the rate of energy efficiency improvement of recent decades.

A wide range of policies and measures to encourage energy efficiency across the economy is already in place, including Climate Change Agreements, the work of the Energy Saving and Carbon Trusts to promote energy efficiency in the household and business sectors, the Energy Efficiency Commitment, UK Emissions Trading Scheme (ETS), and updated Building Regulations.

Key measures proposed in the White Paper include extension of the Energy Efficiency Commitment beyond 2005 at possibly twice its current level of activity; further improvements in the Building Regulations, faster improvements in the standards of new household appliances; and consultation on economic instruments to improve household energy efficiency, as well as other measures for the business and public sectors.

The Government intend to publish an Energy Efficiency Implementation Plan within a year of the White Paper's publication, which will provide further detail on all of these policies.

Mr. Wiggin: To ask the Secretary of State for Environment, Food and Rural Affairs if she will make a statement on plans to improve energy efficiency in the UK. [133283]

Mr. Bradshaw: The Energy White Paper details the steps being taken to encourage greater energy efficiency in the UK, and sets out an ambitious strategy for energy efficiency up to 2010 and beyond. Energy efficiency is

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expected to deliver about half the carbon savings needed to meet our goals for 2020. This will mean roughly doubling the rate of energy efficiency improvement of recent decades.

Key measures proposed in the White Paper include extension of the Energy Efficiency Commitment beyond 2005 at possibly twice its current level of activity; improvements in building standards through further revisions to the Building Regulations; and faster improvements in the standards of new household appliances.

The Government intend to publish an Energy Efficiency Implementation Plan within a year of the White Paper's publication, which will provide further detail on all of these policies.

Farm Borrowing

Gregory Barker: To ask the Secretary of State for Environment, Food and Rural Affairs what the (a) total level of borrowing of British farmers and (b) average level of borrowing per farm in the United Kingdom was in the last year for which figures are available. [137255]

Mr. Bradshaw: The information is as follows:

(a) In 2001, the liabilities of United Kingdom agriculture amounted to £9.5 billion. This figure includes: mortgages; bank loans; family loans; leasing; hire purchase; trade credit; bank overdrafts; and other liabilities.

(b) In 2001–02, the average closing value of borrowings on farm businesses in England was nearly £91,000. This estimate is based on Farm Business Survey data, which are a sample of full-time farm businesses. Farms in the sample subject to compulsory cull due to foot and mouth disease in 2001–02 have been excluded. Average borrowings for the United Kingdom are not available, but estimates for the other UK countries are available separately in the publication "Farm Incomes in the United Kingdom" (http://statistics.defra.gov.uk/esg/publications/fiuk/default.asp)

Farm Diversification

Gregory Barker: To ask the Secretary of State for Environment, Food and Rural Affairs what assistance is being provided for farmers to (a) diversify and (b) generate income from new sources. [137265]

Alun Michael: The Government's Strategy for Sustainable Farming and Food clearly sets out the scope of the assistance available to help farmers diversify their sources of income and to generate income from other sources.

Defra offers grants for good diversification projects under the Rural Enterprise Scheme, which forms part of the England Rural Development Programme. The Department also provides free consultancy advice on land use planning issues to farmers who intend to pursue a diversification project through the Rural Enterprise Scheme. Defra's Rural Development Service has been running business planning seminars in a number of regions to help potential applicants work up project proposals which meet the scheme requirements.

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There are many types of farm business and no single approach to income generation will be appropriate to all. The England Rural Development Programme provides support for a range of other opportunities, including organic farming, processing and marketing primary agricultural products, establishing energy crops and woodland, environmental stewardship under the agri-environment schemes, and training in the skills farmers may need to pursue new opportunities.

The Department is also considering how to improve the provision of help and information to farmers considering the diversification of their business base. The Farm Business Advice Service provides up to three days of free advice based around a business health-check and results in a business action plan. The service can help farmers decide whether or not to diversify and will direct them to other sources of support.

Farm Incomes

Gregory Barker: To ask the Secretary of State for Environment, Food and Rural Affairs what estimates she has made of overall farm income in (a) 2001 and (b) 2002. [137254]

Mr. Bradshaw: Total income from farming in the UK is estimated to have increased by 15 per cent. (14 per cent. in real terms) from £2.0 billion in 2001 to £2.4 billion in 2002.

Total income from farming per whole-time person equivalent rose by 19 per cent. (18 per cent. in real terms) from £9.3 thousand to £11.1 thousand between 2001 and 2002.

Total income from farming is income generated by production within the agriculture industry, including subsidies. It represents business profits plus remuneration for work done by owners and other unpaid workers.

Gregory Barker: To ask the Secretary of State for Environment, Food and Rural Affairs what estimate she has made of the level of income in (a) farming, (b) pig production and (c) other livestock production in the last year for which figures are available. [137271]

Mr. Bradshaw: The following table gives estimated average net farm incomes 1 for different types of farm businesses in England for 2001–02. Farms in the sample subject to compulsory cull due to Foot and Mouth disease in 2001 have been excluded. Estimated incomes for 2002–03 will be published on 27 November 2003.

Average net farm income per full time farm business, England 2001–02

£
All farm types13,600
Specialist pigs20,400
Dairy30,700
Hill cattle and sheep7,900
Lowland cattle and sheep0

Source:

Farm Business Survey

(1) Net farm income is defined as the return to the principal farmer and spouse for their manual and managerial labour and on the tenant-type capital of the business.


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Farm Medicines

Gregory Barker: To ask the Secretary of State for Environment, Food and Rural Affairs what recent representations she has received about the cost of farm medicines; and if she will make a statement. [137287]

Mr. Bradshaw: Following earlier complaints about the cost of veterinary medicines from both farmers and other animal owners, MAFF Ministers referred the issue to the Office of Fair Trading. The Competition Commission then carried out an inquiry into the distribution of prescription only veterinary medicines in the UK. The Competition Commission published their Report on 11 April 2003 which included 9 remedies addressed to the Office of Fair Trading and 11 recommendations addressed to the Secretary of State for Environment, Food and Rural Affairs and the Royal College of Veterinary Surgeons. The Government response to the Report was issued on 9 July 2003.

I met with representatives of the BVA on 9 September 2003 to hear their views on the Competition Commission's recommendations and I have received 8 letters following the Commission's Report from veterinary surgeons and veterinary organisations about the cost of farm medicines. The Competition Commission's recommendations that the Government has accepted are being implemented in consultation with interested parties.

Farm Produce Prices

Gregory Barker: To ask the Secretary of State for Environment, Food and Rural Affairs what resources will be available to assist farming communities affected by the fall in produce prices. [137256]

Mr. Bradshaw: Overall income from farming in the UK rose 15 per cent. in 2002, with the average full-time farmer earning £11,107. This was the second year running that there was an increase in farm incomes. This upward trend looks set to continue due to a recovery in the euro so far in 2003, which has led to a rise in prices across a range of commodities and will result in higher direct sterling subsidy payments.

It is important to note that for most farm households, incomes will be enhanced by other sources of income. Furthermore, for a significant number of these households diversified income is at present higher than the income earned from farming.

Government policy is not to attempt to intervene in the market to try and artificially increase incomes, but to facilitate the right economic framework to enable farmers to succeed, compete successfully internationally and have a profitable future.

The Strategy for Sustainable Farming and Food, launched on 12 December 2002, sets out how Government, industry and consumers will work with the whole of the food chain to secure a sustainable future for English farming and food industries, as viable industries contributing to a better environment and healthy and prosperous communities.

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