Conclusions and recommendations
1. We believe that the Government should have
produced an in-depth study of the likely impacts of the various
options for the Single Payment Scheme prior to making its decision
about the Scheme. We strongly recommend that it now speedily produce
its promised detailed analysis of the economic impacts of the
model it has adopted, and that such an analysis also set out the
likely environmental impacts too. (Paragraph 11)
2. We recommend that Defra set out their detailed
assessment of (a) gainers and losers in the new Scheme, (b) what
environmental gains will result from the new system, and (c) the
case made by other European Union member states in favour of a
ceiling on area-based payments. (Paragraph 12)
3. We recommend that, going forward, Defra produce
an annual assessment of English and United Kingdom farming in
order to monitor the impact of its policy decision. It should
focus on environmental impacts and also on socio-economic concerns,
such as land ownership and the incomes of those who work on the
land. (Paragraph 13)
4. We are pleased that the Government has now
responded to the problems which may have resulted from having
significant differences in the level of support given to Severely
Disadvantaged Areas and the rest of England. (Paragraph 19)
5. We recommend that Defra, in conjunction with
the devolved administrations, commission research into the likely
effects on farming production of adopting different single farm
payment regimes in the nations of the United Kingdom. We further
recommend that it consider what support and assistance it might
be able to offer farmers particularly affected, such as those
who operate on either side of the border between the nations.
Farmers whose holdings are divided by a border should have the
right to opt for the regime which they consider most appropriate
for the whole of their holding. (Paragraph 21)
6. the RPA is being asked to deliver a new and
complicated Single Payment Scheme against a tight deadline. It
is an administrative process which will initially bring with it
all of the problems of introducing a historic scheme whilst at
the same time having to manage the transition to a area-based
payment. We recommend that Ministers pay close attention to the
steps taken by the Agency up to 1 January 2005 to ensure that
all necessary systems are in place on time, and report to us by
1 October 2004 about the progress made. We also recommend that
if additional resources are required by the RPA to deliver the
new Scheme that Ministers commit themselves to providing those
without hesitation. (Paragraph 24)
7. We recommend that Defra and the RPA provide
us with an explanation of how the existing Change Programme can
be adapted to provide the systems needed to underpin the Single
Payment Scheme. We further recommend that they set out what work
in the Change Programme has proved unnecessary due to the introduction
of a single farm payment, and thus what expenditure has been nugatory.
(Paragraph 25)
8. We intend to return to this subject in the
second part of our inquiry, to be conducted in due course. At
that time we will address issues including:
Cross-compliance, and what public goods are
expected to be delivered in return for continuing public support
for agriculture;
The particular details of what will be required
of farmers under an entry-level scheme; and
The specific issues faced by sectors such as
orchards, forestry, keeping horses and others. (Paragraph 27)
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