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


Joint supplementary memorandum submitted by England's Regional Development Agencies (V20a)

1.  INTRODUCTION

  1.1  Further to the oral evidence given by RDAs on 2 November, we thought it would be helpful to provide further clarification on a number of issues the Committee raised. This Memorandum describes the Rural Strategy's main expectations of RDAs; the funding Defra provides to the RDAs' Single Pot; clarifies the leadership of the Regional Rural Delivery Frameworks and provides further detail on RDA activity in relation to farming.

2.  THE RDA ROLE

  2.1  The Committee asked the RDAs to clarify what they think is happening in terms of acquiring new responsibilities, new powers and new finances. It is our view that the Rural Strategy 2004 assigns RDAs the following significant roles:

    —  Delivery of an additional £21.3 million of socio-economic funding (which was formerly disbursed by the Countryside Agency) through the Single Pot.

    —  A stronger regional leadership, co-ordination and directing role in relation to the Project-Based Schemes (Vocational Training Scheme, Rural Enterprise Scheme and Processing & Marketing Grant Scheme) within the England Rural Development Programme (ERDP) prior to taking control of these schemes (or their equivalents) from 1 January 2007.

    —  Working with Defra and the Business Links on improvement of the business advisory service within economically lagging rural areas and its availability, in general, to businessmen and women.

    —  Using the mechanisms identified in the Strategy for Sustainable Farming & Food (SSFF), helping farm-based businesses to adapt to the challenges of reform, achieve greater long-term sustainability and contribute effectively to the wider economic, environmental and social objectives of their areas.

    —  Working with Defra and other partners (SBS, Sector Skills Councils, LSCs) to help businesses in rural areas improve their performance through increased take-up of learning opportunities.

    —  Working with local authorities and other regional, sub-regional and local partners to contribute to securing Defra's target to improve access to services.

3.  RDA FUNDING

  3.1  In 2005-06, Defra will contribute £72 million in total to the RDAs Single Pot. The Rural Strategy released £21.3 million to RDAs in addition to Defra's existing commitment of £50 million for 2005-06 (an increase from £45.5 million in 2004-05). The £50 million contribution will be allocated according to the normal Single Pot Funding Formula, but the new funds (£21.3 million) will initially be allocated to allow historical Countryside Agency commitments to be met. For some regions, their segment of the £21.3 million is likely to provide little headroom with which to fund new activity in 2005-06.

  3.2  Defra is able to direct how the new funds will be utilised through their contribution to the RDAs' Tasking Framework. The Tasking Framework contains a series of Public Service Agreement (PSA) targets from a range of government departments, including Defra, against which RDAs are expected to report both in terms of outputs, outcomes and strategic added value. RDAs have committed to disaggregating the data on their six headline outputs[10]on a rural basis to provide a better picture of their interventions in rural areas. In addition, RDAs are being expected to contribute to three of Defra's PSA targets relating to sustainable development, rural productivity & access to services, and farming & food. RDAs need to marry the Government's expectations with the priorities identified in the Regional Economic Strategies and the Regional Rural Delivery Frameworks to ensure their delivery meets the needs of the rural customer.

4.  REGIONAL RURAL DELIVERY FRAMEWORKS

  4.1 RDAs are actively supporting and engaged in the development of Regional Rural Delivery Frameworks (RRDFs) which will determine regional rural priorities and inform the development of delivery structures. The Government Offices are leading the process with support from regional and public agency partners including the RDAs. As mentioned in the oral evidence, in the Eastern region, a seminar on 12 November attended by 150 delegates offered stakeholders an opportunity to comment on the identified regional rural priorities and how they will be delivered.

5.  RDA SUPPORT FOR FARMERS

  5.1  RDAs currently engage in a range of activity that benefits farmers and raises productivity and, in the future, we expect to play a greater role. RDAs believe that farmers, like all rural businesses, should benefit from the mainstream business support and learning & skills agendas. We recognise that specialist advice does need to be made available, but firmly believe that it needs to be accessed through mainstream delivery structures to ensure that sectors are made aware of, and able to benefit from, the full range of advice and support that is available. RDAs assume responsibility for the Business Link network from April 2005 and it is envisaged that Business Links will be fulfilling more of a brokerage role which will allow customers to access the right advice from accredited providers.

  5.2  As part of our approach to support for farmers, RDAs are:

    —  Asking Defra to direct its plans for advice for farmers, focused on the implications of CAP reform and the Single Farm Payment, through the RDAs to enable us to build it effectively in to the Business Link brokerage model.

    —  Participating in the Regional Appraisal Panels which approve grants under the England Rural Development Programme (ERDP).

    —  Acting as joint leaders, with the Government Offices, on the regional implementation of the Strategy for Sustainable Farming & Food, a responsibility which has furthered RDA engagement in this arena.

    —  Expecting to develop England Rural Development Programme (ERDP) Regional Targeting Statements in 2005-06 which will strengthen the coherence between the ERDP and the Regional Economic Strategy.

    —  Engaging with the negotiations on the Rural Development Regulation by participating in Defra's Programme Board and Working Group, responding to consultations and working with RDS, RPA and partners in the Integrated Agency to take forward plans for implementation of the English manifestation of the European Agriculture and Rural Development Fund post-2007.

    —  Working with the Integrated Agency partners to ensure complementarity between the delivery of agri-environmental advice and business advice.

Annex 1

RDA CASE STUDIES

  This section is intended to provide a sample of some of the agricultural activity RDAs have recently engaged with, in partnership with key industry bodies and stakeholders. This activity runs alongside our mainstream delivery of business support and learning & skills.

Rural Regeneration Cumbria: This rural regeneration company, established by the Northwest Regional Development Agency (NWDA) and Cumbria County Council, is assisting farmers to improve their productivity:

    —  A £9.8 million programme, Farming Connect Cumbria, has been launched to improve the long-term sustainability of the farming and agricultural industry by providing business and environmental advice, technical and marketing guidance, and grant application support to farmers.

    —  A Red Meat Production and Marketing Adviser has been appointed to advise farmers on the production, processing and marketing of red meat products.

  Growing Routes: As part of the regional implementation of the Strategy for Sustainable Farming & Food, Yorkshire Forward has worked with the Yorkshire Agricultural Society to develop a scheme to meet the needs of young agricultural entrepreneurs. Growing Routes provides one to one mentoring to 18-45 year olds to encourage and support them to develop business ideas. To date, the project has helped 20 young people to start and grow their agricultural businesses.

  Sentry entry: EEDA sponsors 20 free places at the prestigious Sentry Conference each year to provide the farming community with an opportunity to learn from some of the industry's experts. This year's conference, titled "Collaborate to Compete", will focus on encouraging farmers and growers to work together to survive and thrive in the current market place.

  Learning in the land-based industries: emda has commissioned research into the impact of skills development and business support activity on diversification and business development in the land-based sector. The interim report, due early in 2005, will inform how emda engages with the land-based sector to build the skills needed to enable businesses to thrive. EEDA has provided extensive funding for ADER, a rural business support and skills training initiative developed by industry-for-industry which focuses on the needs of farmers and is aligned to the land-based colleges in the region.

  South West Chamber of Rural Enterprise (SWCore): SWCoRE was established in 2001, with funding from SW RDA, to provide a Forum for representatives from the land based and food and drink sectors, the public and voluntary sectors to develop a co-ordinated regional response to matters affecting the rural economy. As such, SW CoRE provides a valuable interface between land based and food related sectors and regional institutions. Chaired by Sir Harry Studholme (an RDA Board member), the secretariat is hosted by the National Farmers Union (NFU).

  The South Fens Business Centre at Chatteris will provide some 20,000 sq ft of business suites. The centre will aim to attract companies such as food technology business as well as other industries and will be able to provide meeting and training facilities, for a minimum of 20 businesses. The Centre will be run in a supportive office environment and will encourage networking with other innovation centres across the region. The intention is to share knowledge and experience, to increase the number of business opportunities for Fenland which is one of the East of Englands lagging areas.

  The International Agriculture and Technology Centre, based at Stoneleigh Park, Warwickshire, is a highly successful joint AWM/Defra/UKTI project designed to promote the UK's agri-technology industry overseas. It has been identified as a model of cross-RDA working and collaboration between government departments and agencies. Although still in its infancy, the IATC has already delivered large numbers of outputs for right across the English regions.

  Livestock markets and auction marts: RDA activity covers the range of issues that impact on agriculture. In recent years, for example, most RDAs have led research in to livestock markets and auction marts to determine what interventions, if any, are required to support the industry. Recently published reports include a Feasibility Study and Capability Mapping of Abattoirs commissioned by One NorthEast (ONE), a review of livestock markets in the South West and a report on abattoirs and meat processing facilities, both commissioned by South West RDA, whilst Yorkshire Forward has contributed funding to the creation of an Organics Centre at Skipton Auction Mart.

  A sustainable farming and food team: The West Midlands' Food and Farming Team was established jointly by AWM and Government Office West Midlands to facilitate the delivery of Defra's Sustainable Farming and Food Strategy. A dedicated team of four has developed a 10 point delivery plan which is fully integrated with the West Midlands' Food and Drink Cluster plan. The success of the team was recognised by Sir Donald Curry during his recent visit to the region. It is now planned to maintain a team presence for a further two years.

30 November 2004





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