Select Committee on Environment, Food and Rural Affairs Minutes of Evidence


Supplementary memorandum submitted by the Centre for Rural Economy University of Newcastle upon Tyne (V08a)

INTRODUCTION

  We appeared before the Committee on the 2 November 2004 as part of its inquiry into the Government's Rural Delivery Strategy. The Committee explored with us our criticism that after almost two years of a review process that began with the appointment of Lord Haskins to the Rural Delivery Review in November 2002 the Government's Rural Strategy represents a partial and disappointing package of institutional reforms. We argued that the reforms in the Rural Strategy give the impression of "work in progress", and that there were several gaps in the Strategy document that begged important questions. The Committee asked if we could consider what—"in an ideal world and starting with a clean sheet of paper"—a rural strategy should look like and how the institutional structures for improved rural delivery might be arranged. We have been happy to oblige and so in this supplementary note, following an introductory overview, we address the following questions:

    —  What are the main gaps in the current reform proposals contained in the Government's Rural Strategy?

    —  What should be the objectives set out in a rural strategy?

    —  What, in an ideal world, should be the institutional structure for rural delivery?

OVERVIEW

  While we welcomed the fact that a major review has been carried out, especially in the light of the pressing need for simplification in rural delivery arrangements, we have been disappointed by several aspects of the Government's Rural Strategy. We argued that it is not really a strategy—it is a set of organisational and institutional changes. The Government has usefully re-presented and consolidated its priorities under three main headings (Economic and Social Regeneration; Social Justice for All; Enhancing the Value of Our Countryside). However, the vision and objectives contained within those priorities are vague, there is little sense of how the priorities inter-relate, and the proposals for social and economic dimensions to rural affairs policy and delivery remain poorly developed.

  Institutional change is disruptive and can hamper both practical delivery and policy development in the short term. It is therefore vitally important that the benefits for policy and delivery are clear and convincing. If the Rural Strategy gave a clear vision, and instilled confidence that we are really moving towards a much more effective system, then the gain would make the pain worthwhile. But the Rural Strategy raises as many questions at it answers, and does not yet inspire widespread confidence that the new arrangements will represent a major step forward. We then have to question whether the Modernising Rural Delivery process is potentially generating a lot of pain for insufficient real gain.

THE GAPS IN THE CURRENT RURAL STRATEGY

  Farming and Land Management versus Rural Development: The Haskins Review was strongly focused on farming, and was actually quite dismissive of "rural affairs". Defra's Modernising Rural Delivery Programme has had to pick up where Lord Haskins left off, and so inevitably has focused more on the farming and land management side of Defra's work. That is where the bulk of public financial support falls, and where major challenges lie ahead as a result of the reforms to the Common Agricultural Policy agreed last year. The treatment of farming and agri-environment programmes in the Rural Strategy is more rounded and coherent, but the rest of "rural affairs" within the Strategy is piecemeal, fragmented, and lacking in clarity. Two of the Government's key priorities mention the social dimension to rural policy (Economic and Social Regeneration and Social Justice for All). However, the social dimensions of rural delivery remain very poorly developed in the proposals.

  Centralisation and Decentralisation: The Government's Rural Strategy and the Haskins Review before it make great play of decentralisation. At first glance, this is something to be welcomed. A key problem with agriculture, countryside and rural development policy in England over the past 30 years has been the over-emphasis on a single national framework, with insufficient scope to do things differently in different local and regional contexts. However, both the Haskins Review and the Rural Strategy approach decentralisation from the perspective of the centre. They have very little, if anything, to say about the actual practice of delivery—the strengths and weakness of different types of delivery models—for example. This is really what a Modernising Delivery Review should be all about.

  The Relationship between the Environment Agency and the New Integrated Agency: This will be a big challenge, and details remain vague in the Strategy. The justification for leaving the Environment Agency out of Lord Haskins's Rural Delivery Review was unconvincing. (In essence, the argument has been that the Environment Agency deals with regulation, while the new Agency delivers "incentive payments"). This is an over-simplification. A basic principle of pollution control is that prevention is better than cure, and the Environment Agency therefore needs to be much more interested in what influences different land management practices, and the role of policy measures and incentives systems. Similarly, English Nature has a regulatory role with respect to Sites of Special Scientific Interest and the European nature conservation designations (Special Areas of Conservation and Special Protection Areas). The Integrated Agency is handicapped in not integrating land and water use. There is also the risk of an institutionalised divide between one organisation that finances environmental "public goods" and another that has to regulate environmental "bads". Tackling diffuse pollution from agriculture—an area of chronic policy failure—will be a real test of whether the two can effectively collaborate. Certainly, the Water Framework Directive, which mandates a preventative approach to the management of rural catchments, will necessitate increasing engagement of the Environment Agency in the design of incentive schemes for environmentally-beneficial land management.

OBJECTIVES OF THE RURAL STRATEGY

  Overall, the Government's over-arching objectives as set out in the strategy are poorly expressed and lack clarity. Ideally, objectives should be "smart" (specific, measurable, achievable, relevant, and time-limited).

  In this section, we set out the Government's over-arching objectives, and then propose our own suggestions. Given the short time available, our suggestions are intended as illustrations, but we nevertheless propose them as an improvement upon those set out in the Rural Strategy. We would recommend that the appropriate evidence base, and the specific quantitative targets under each objective, should be agreed at the regional level (and so could and should vary between regions). Identifying and agreeing priority areas should also be determined at the regional level, so replacing the nationally determined quartile of rural districts under the Government's rural economic performance Public Service Agreement target.

The Government's Objectives as set out in the Rural Strategy 2004

Economic and Social Regeneration

    —  Building on the success of the majority of rural areas to ensure they contribute fully to national, regional and local economic prosperity.

    —  Tackling the structural economic weaknesses and accompanying poor social conditions that exist in a minority of rural areas.

Social Justice for All

    —  For the majority of rural England which is fundamentally prosperous our social priorities are to ensure fair access to public services and affordable housing.

    —  In both more and less prosperous areas, to tackle social exclusion wherever it occurs.

Enhancing the Value of Our Countryside

    —  to continue to take action to protect and enhance the rural and urban environments. Partly through the new institutional arrangements and the devolutionary theme of this strategy, we aim to promote a more integrated approach to management of the natural environment. Also, through our strategies—such as the Strategy for Sustainable Farming and Food—we support sustainable agricultural and other policies and practices aimed at improving biodiversity and avoiding those actions that cause environmental, economic and social damage; and

    —  to enhance the value and natural beauty of the countryside for rural communities and for the benefit of society in general—through making the countryside more accessible to all and promoting sustainable tourism, to contribute to the economic and social well-being of the nation.

Our Illustrative Alternative Objectives

Economic and Social Regeneration

  In the rural priority areas[3]:

    —  to increase the number of new business start ups and their survival rates

    The average number of new business registrations per annum in the period 2000-04 was X and the target for 2005-09 is Y.

    The survival of new businesses beyond three years in the period 2000-04 was X% and for 2005-09 the target is Y%.

    —  to increase average business incomes

    The average business income in 2000 was £X and the target is to increase this to £Y by 2009.

    —  to increase the number of enquiries made to the Business Link network for advice and the provision and take up of training places offered by the network

    The average number of enquiries per annum to the Business Link network was X in the period 2000-04 and the target is to increase this to Y in the period 2005-09.

    The Business Link network offered X training events/places in 2004 with an average attendance of X. The target is to increase the training events/places to Y by 2009 and to achieve an attendance rate of Y.

    —  to increase the number of broadband business connections

    The number of broadband business subscribers in 2004 was X and the target is to increase this to Y by 2009.

Social Justice for All

  In the rural priority areas:

    —  to increase the number of affordable housing units created

    The average number of affordable housing units developed in the period 2000-04 was X and the target is to increase this to Y units in the period 2005-09.

    —  to maintain the current level of public transport provision connecting the market towns and key rural settlements and boost patronage levels

    In 2004 a total of X key settlements have daily public transport services[4] to their market towns and this figure will be maintained until 2009. Patronage levels were X and the target for 2009 is Y.

    —  to maintain a basic network of community infrastructure

    In 2004 a network of:

    X first/middle schools

    X GP surgeries

    X village halls

    X post offices

    X telephone boxes

    existed in the priority area and the target for 2009 will be to maintain this same level of provision.

    —  to increase the take up of schemes which build community capacity and improve rural services and infrastructure

    In the period 2000-05 a total of £X was allocated to X projects under relevant funding programmes.[5] The target will be to increase to £Y and Y projects by 2009.

    —  to introduce a training programme in rural community leadership

    To devise a fully certificated training programme[6] in civic leadership by 2006 and to set a target of Y people receiving the qualification by 2009.

Enhancing the Value of Our Countryside

  For the region as a whole:

    —  to increase the number of farm holdings (and the area of land) which have been entered into agri-environment schemes

    In 2004 a total of X holdings were in receipt of payments under the Countryside Stewardship Scheme covering a total of X ha of land. The targets for 2009 are to have:

    Y holdings in receipt of payments under the Entry Level scheme (Y ha of land)

    Y holdings in receipt of payments under the Higher Level scheme (Y ha of land).

    —  to reduce the impact of diffuse agricultural pollution on water quality

    In 2004 the proportion of water bodies in breach of the Water Framework Directive's standards for nitrate and phosphorus was X%. The target for 2009 is to reduce this to Y%.

    —  to increase the region's biodiversity as represented by key species indicators

    In 2004 the number of breeding pairs of indicator farmland birds[7] was X and the target levels for 2009 are Y.

    —  to ensure that the region's statutorily protected wildlife habitats are maintained in good condition

    In 2004 X % of the regions SSSI's/SACs/SPAs were assessed as being in good condition and the target is to increase this to Y% by 2009.

    —  to ensure that the region's network of public rights of way remain open and suitably signposted and way-marked for public use

    In 2004 X% of the X km network of public rights of way was assessed to be in satisfactory condition and the target is to increase this to Y % by 2009.

    —  to increase the level of use of the region's countryside recreation facilities

    In 2000 visitor attendance figures for a representative range of countryside sites were X. The target will be to increase the attendance levels by Y% by the year 2009.

Crossing Cutting Institutional Issues: Taking Rural Issues Seriously

(i)  Rural Proofing

  Under the current proposals, with different bodies responsible for each of the three pillars of sustainable development (social and community; economy; environment), and with the major revisions to the role and structure of the Countryside Agency, the functioning of rural proofing will become even more important in delivering the Government's objectives for rural areas, economies and communities.

(ii)  Learning from Good Practice in Rural Development

  We have argued that the Rural Strategy looks disappointingly parochial. More than 80% of environmental legislation is agreed at the European level. When agriculture and economic regeneration are added in, much of our rural affairs is actually best understood as part of a larger picture. There is much that is distinctive about the English scene, in terms of the nature of our institutions, and the types of public and political concerns, but there is also much that is common in delivering rural development across Europe. Useful lessons could be learned, for example, from the Swedish system of local partnerships and local government involvement in rural socio-economic development and the distinctive Scandinavian emphasis on gender issues in rural development. Further afield, the Japanese are developing distinctive approaches to coping with an ageing society in rural areas, and are some years ahead of us demographically in the ageing complexion of their rural communities. When it was put to Defra civil servants that greater effort should be placed on learning from rural delivery practices from elsewhere the suggestion was dismissed outright. The myopic national perspective of "we know best" is misplaced in its self-confidence. The British countryside quangos have long been used to commissioning studies of good practice in rural environmental management and agri-environmental policy from beyond the UK, but there has been less interest among Whitehall departments such as Defra. Defra's "rural evidence base" needs to be about much more than just the collection and compilation of socio-economic statistics. It should also be about learning from good practice in all aspects of rural development from beyond the UK as well as within it.

AN INSTITUTIONAL FRAMEWORK FOR IMPROVING RURAL DELIVERY

  See Ev 12

SPECIFIC RECOMMENDATIONS

  We recognise that our proposed framework for rural policy and delivery in the diagram is abstract and idealised, and takes little account of the current institutional landscape. We were asked to start with a blank sheet. Nevertheless, flowing from this analysis, we would make the following specific recommendations to the Committee for how the Government might best take forward the Rural Strategy:

    —  The objectives in the Strategy are vague and woolly and need to be replaced with "smart" objectives that are meaningful and will help drive delivery on the ground and so make an appreciable difference to businesses, communities and environments in rural areas.

    —  This target-setting should be regionally-focused to allow different regional priorities to be set, while allowing government, politicians and the public the opportunity to judge the performance of Government Departments and agencies in the regions.

    —  The Forestry Commission and Environment Agency should be included with English Nature and the Rural Development Service into a single "Natural Resources Agency" with a strongly regionalised structure.

    —  If this proposal were rejected, then in default, the Government should ensure that the legislation establishing the Integrated Agency includes a clear framework for collaboration at the regional level between the Integrated Agency and the Environment Agency.

    —  The Government must ensure that the New Countryside Agency is sufficiently resourced to carry out its policy advice, research, advocacy and rural proofing roles properly and on an England-wide basis.

    —  Defra needs to improve its understanding of the role of local authorities in local rural development (and particularly in relation to social and economic issues) and to establish and assert its credentials as a Government Department with a legitimate interest in the work of local authorities.

    —  Defra, through the Rural Strategy, should demonstrate a stronger commitment to learning from good practice in rural development, including learning from other countries, but also learning between local authorities, and to developing mechanisms for disseminating good practice now that the Beacon Councils scheme for supporting the rural economy is coming to a close.

    —  The Government Regional Offices, Regional Development Agencies and the "Natural Resources Agency"/Integrated Agency at the regional level should be made jointly responsible for Regional Rural Delivery Frameworks, by means of a joint programme group to co-ordinate funding streams, agree priorities and oversee the delivery of regional rural action plans and programmes.

    —  The Regional Rural Affairs Forums should be given an overseeing and scrutiny role in the delivery of regional rural action plans. The Government should ensure that Regional Rural Affairs Forums have sufficient administrative resources adequately to carry out their role. Defra should commit to reviewing the working arrangements for Regional Rural Affairs Forums after two years, including canvassing opinion among rural stakeholders in the English regions.

4 November 2004







3   These might be defined, for example, as the poorest performing quartile of Districts (or Wards) within each region, using either the Index of Multiple Deprivation or the economic measures used to inform the Government's rural economy PSA target. Back

4   to be defined. Back

5   to be defined. Back

6   A partnership between an appropriate training institution and the region's Community Councils is envisaged. Back

7   to be defined but consistent with national sustainability/quality of life indicators and regional Biodiversity Action Plans. Back


 
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