Recommendation 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)
The Government carried out substantial analysis which
underpinned the decision on the model for the single payment.
In particular this analysis examined the distributional implications
of the different ways of allocating eligibility for the single
payment, and the implications for the land market. The analysis
also included an assessment of the impacts of decoupling on agricultural
production and markets, the environment and the wider rural economy.
Some analysis was published on the Defra website
at an early stage. However, a complete version was delayed pending
further consideration of industry representations following the
February announcement. The fuller report now available on the
Defra website contains all the economic analysis undertaken in
support of the Government's decision.
In addition to the analysis carried out by Defra
for on the options for England, the Welsh Assembly produced a
report on the impact of various options to inform decisions in
Wales. A copy of this report is available on the Assembly website.
The Scottish Executive Environment and Rural Affairs Department
(SEERAD) and The Department of Agriculture and Rural Development
for Northern Ireland (DARD NI) also carried out analysis on options
and environmental impacts and these are available on their respective
websites.
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