Select Committee on Environment, Food and Rural Affairs Seventh Report


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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