Appointment of the Chair of Natural England - Environment, Food and Rural Affairs Committee Contents


Examination of Witnesses (Questions 60-75)

MR POUL CHRISTENSEN

25 NOVEMBER 2009

  Q60  Patrick Hall: Not because there was any actual conflict of interest but because you conceded that equally important is a possible perceived conflict of interest, so you understand that very well. I still do not follow why it is that with regard to your directorship of the Agricultural Central Trading Limited, the point that Mr Williams made, even if there is not an actual or material conflict, and I do not know whether there is or could not be, surely there is a good chance that there is a perceived conflict of interest. Could I invite you again to tell us why do you resist? Is that a remunerated position?

  Mr Christensen: It is, yes.

  Q61  Patrick Hall: What is the remuneration?

  Mr Christensen: Currently it is just under £10,000 a year.

  Q62  Patrick Hall: Okay. You have answered the question before, I just lay it on the table. I do not understand why you think there may not be a perceived conflict of interest.

  Mr Christensen: At the time I said if that became an issue then I would resign, but I do resist it for the reasons I gave to Mr Williams. I think it is very important to do something else, and I am currently doing that. You get a feel for how an industry is performing because the first thing you see when you are trading with them is the trading patterns, and that is important I think. I have also said, and leave it on the table, if anyone raises it as a real problem then I will do so because Natural England is where my main interest will lie.

  Q63  Chairman: Can I just move on. Let us assume that this process goes as you would like, everything is in order, you are confirmed as the official Chair of Natural England, what is going to happen on day one when you arrive in the office, stamp of approval from the Select Committee if it were to be given, stamp of approval from the Secretary of State, and you think, "Right, this is it, I am in post"? What is going to be different from acting as the Acting Chair where you just keep the wheel ticking over until the new Chairman, possibly you, gets into post?

  Mr Christensen: I hope the wheel continues to turn, yes, if it did not the wheels would fall off. It is a very interesting role to be Acting, particularly for a long period of time, because although you are Acting, and I have given it my all, and personally I have behaved as a Chair would, you still do not have the authority that goes with a Chair, and neither does the organisation. The organisation is not led by a Chair; it is led by an Acting Chair. That may be rather pedantic, it may be rather semantic, but it does make a difference. I look forward to the day when Natural England has a Chair for those reasons, whoever it is. Now, if it is going to be me, on day one is there going to be a revolution, no; can there be a revolution given that I have been Acting Chair for ten months, no, but it will give me the authority to continue where I think I have made changes since I have come in. This is no criticism of what has gone before, Natural England was at a natural point when it was going to need to look at itself and maybe change some of the way it performed.

  Q64  Chairman: What are the priority issues you are going to be looking at now you have got the authority? You are there and you have got the stamp of approval.

  Mr Christensen: For me, the main priority for Natural England, and I think I said this at the beginning and I will say it again, Chairman, is to increase people's awareness of how important the natural environment is to them. We are here to conserve and enhance our natural environment and we have other purposes lying underneath that, which are to promote the natural environment, get people to access it and to enjoy it, to get people to earn their living from it, you know them as well as I do, and that is where I am going to be. The priority to me is to ensure that people value the natural environment, or understand the natural environment and then they would value it, and then we can go on improving it for everybody's benefit long-term. That is number one priority. Following on from that, and this is a word I do not like particularly because it is not very well understood, I think our biodiversity, the species that exist in our natural environment, we do need to ensure that we keep on maintaining them at something like where they are now. If we go on seeing species declining across the globe and across England, and many people have responsibility for it at the moment, we will be short-changing future generations. I see that as a major, major priority.

  Q65  Chairman: One of the things you have not mentioned is addressing some of the problems which you outlined. You sent me, very kindly, a copy of your publication Agri-Environment Schemes in England 2009, a Review of Results and Effectiveness. I read the review and, for example, it talks about "the entry level scheme has not yet delivered the scale of intervention required to address the declines of widespread species of farmland birds". We have debated that on many occasions in the Committee. It goes on in the helpful summary on page six, which you will be abundantly familiar with, in putting forward some quite critical performance appraisal of some of the agri-environment schemes. You did not say improve the performance as one of your top three priorities, you ended up with two things that you would do. Do you not think that improving the performance of these schemes ought to be one of your top priorities?

  Mr Christensen: I talked about biodiversity and that is very much part of that process. That is precisely where it is, that is a delivery mechanism for delivering the priority I talked about and I think agri-environment schemes will continue to evolve and they will need to evolve. They will need to evolve in the face of climate change but they will need to evolve anyway as we learn more about them and their effectiveness. In terms of where I think it is important, there is a whole raft of actions in terms of delivering better biodiversity, and agri-environment schemes are but one, others go into the marine environment, others go into urban areas, all of which are designed to increase biodiversity and maintain it.

  Q66  Chairman: Are you going to review this area? Here is another one, it says, "evidence is emerging that the popular hedgerow option in ELS may not be delivering the full benefits anticipated". It sounds like there is a bit of sorting out to be done, is there not?

  Mr Christensen: Yes, there is, absolutely there is, yes indeed.

  Q67  Chairman: Are you going to have an action plan sorted out with your Chief Executive to get this stuff right?

  Mr Christensen: Yes, and that is what we are doing. One of the areas that we are looking at is around the Campaign for the Farmed Environment, which is another part of that process. It is to get more people involved in developing agri-environment schemes on their farms that will deliver real benefit, and they will change over time. That is precisely what we will be doing. That will be part of the Campaign for the Farmed Environment.

  Q68  Mr Williams: The ethos of some of these agri-environment schemes is that a prescription is devised between Natural England and the farmer and the farmer gets paid for delivering the prescription. Do you think there would be some benefit, if there were a slightly different ethos, if at least some of the payment was only to be paid on delivery of a result, for instance, lapwing, curlew or whatever? We can do the preparatory work but still the lapwing does not come there. Would it not really focus the farmer's attention on getting a success if some of it was paid on outcomes rather than just delivering the prescription?

  Mr Christensen: It sure would. It has been one of the big challenges for me to try and encourage our people to look at how we can better shape some of our agri-environment schemes. Paying on outcomes of course would be a huge step forward in terms of getting results because there is nothing like being paid for results to do it. However, if you look at the mechanisms that you would need to put that in place and to monitor it and to agree it, and then to pay for it, the mind boggles. That was my first reaction, "For goodness' sake, how many skylarks do you want? 50? Well, let's pay for 50 skylarks". Who counts them? You are going to have an army of people—there are enough people now running around the countryside—going out counting skylarks and deciding whose land are they on. Are they on this bit of land or the next door? It would be an absolute nightmare. I do not see that as an easy solution, Mr Williams, but I do think that we need to look at how we shape our agri-environment and a lot of what we do, including our agri-environment schemes, to measure it in different ways. The cost of some of our schemes is higher than I would like it to be, so I think we need to look at the cost of them as well.

  Q69  David Lepper: Coming on from that point, Chairman, over the next three years, whatever your priorities might be, whether they are the same as they are at the moment or whether you are going to go forward with different strategies, are you confident that Natural England will have the resources to do its work properly?

  Mr Christensen: I do not think anyone can be confident about any resources. Anyone who says to me, "We are not going to be impacted by what is going on in the wider world" is living in a different world from me. Clearly that is going to be a main driver in terms of what we do. We are already anticipating that. We have, for example, put the entry level scheme—I presume you know a little bit about the basic scheme we have for farmers—on-line to make it easier for farmers to access and cheaper for us to administer. I think that is the sort of thing that we are going to have to do an awful lot more. No, I am not confident that we are going to have as much money as I would like to deliver our core purpose but, having said that, as I said earlier on, it is a contractual arrangement, you then have to decide what your priorities are with reduced resource and how effective they are, and that may mean some fundamental changes in some of the things that we do and how we do them, but we have to face up to that. That is what a board is for, that is why we exist.

  Mr Drew: So much of the delivery of Natural England is actually commissioned through wildlife trusts and similar local bodies now working in partnership, I am not pretending you just pass the money over. One of the difficult birth pains that Natural England had in the changeover from English Nature was that was when there were budget cuts. The point I would make is for wildlife trusts to have the sort of impact you would want them to have they need security of funding and they need long-term funding. What arguments are you going to have up the line with Treasury to actually make the point that in all the areas the natural environment is not one where you can turn budgets on and off, even over a three year period? This takes decades sometimes to really have the impact you want. What is your preparation for that?

  Q70  Chairman: As witnessed by the problems with Sites of Special Scientific Interest which always seem to be edging towards being in good condition right across the piece but never, ever seemingly getting there.

  Mr Christensen: Thank you for that! I think, to answer Mr Drew's question as best I can, and you mentioned the Treasury, we have just produced a report called No Charge—it is a play on words—which demonstrates the actual value of the natural environment and large parts of it to society. I think in the past we have rather relied on the fact that governments will put money into sustaining the natural environment because it is a nice thing to do, it is a bit cuddly, whatever, and there has not been a hard edge to it, which the Treasury always look for. If you are a guy in the Treasury you are going to say, "What is in it? What is the pay off?" That report is one of the first attempts to put a value on what the natural environment brings to society as a whole. We have done other work around that and one of our purposes is to get people to access and enjoy and benefit from the natural environment and there is our Walk your Way to Health initiative. We have got a lot of people now, every week, going out and walking in the natural environment. We have now got evidence to show that every pound we spend on that initiative saves the Treasury £7 in terms of healthy people. At Natural England we are very proud of that because we are working across Government. This silo mentality has got to go. This silo mentality in terms of Government cannot actually survive long-term when you are talking about a natural environment because it impacts on everything. We are beginning to demonstrate to Treasury that there is a real value in looking after our natural environment. Will that bring in sufficient funds, going back to Mr Lepper's question, that remains to be seen but it is very important indeed that we go on making that point, and we are doing that right now.

  Q71  Mr Drew: Do you now understand the Environmental Liability Directive and how it relates to Natura 2000 and, if you do, can you explain it to me?

  Mr Christensen: I do not, Mr Drew. I will find out and I will explain it to you when I know.

  Q72  Mr Drew: If you do then you are a better man than most civil servants who have tried.

  Mr Christensen: There is a whole raft of things. Someone asked me earlier on areas of weakness and some of this legislation is another area of weakness.

  Q73  Chairman: Let me just bring you back to how much independence you think Natural England should have. You alluded earlier to the pressures on resources in Government. Let us say hypothetically somebody said, "Let's bring all of Defra's family of bodies that deal with environmental issues under one roof within the overall control of the Environment Agency" and you were one of them, what are you going to do if somebody comes up with a revolutionary idea like, "Let's make you, if you like, a subordinate part of the Environment Agency, they do the environment, you do the environment, let us bang the Rural Payments Agency in as well because you hand out money to farmers, they do as well, rationalise to save back office money, maintain the veneer of respectability at the front of the office"? Do you see that as a matter of principle upon which as a Chair you would say, "No, I am not having any of this, it is either independence or bust" or are you going to say, "Okay, fine, thank you very much, jolly good idea"?

  Mr Christensen: Neither. Clearly there is scope for rationalisation of activities across not just Defra family but across Government and this is why I mentioned health, for example. I think there is an opportunity to rationalise across the piece. If I was presented with that as a sort of area that needed consideration I would be duty bound to look at delivering for the natural environment, that is what Natural England's purpose is. In any discussion of that sort that would be what drives me. Now, Natural England may not exist in 10, 20, 30 years' time, I do not know, I have no idea, there may be better ways of delivering it. I am open to those ideas and anyone who closes their mind to it is not living in a real world, frankly. I would need to be absolutely sure that the core purposes for which we were established were reflected properly in a structure that delivered for the Natural Environment. I think you are asking me where I would fight the corner and that would be the corner I would fight in. To say that Natural England is sacrosanct and we have got to fight forever, there may well be other ways of doing it that deliver better value for money and we would be stupid to turn our backs on anything like that.

  Q74  Chairman: You are quite happy to have an element of what I call creative tension in what you are doing because I see from the Farmer's Guardian that you have managed to upset the tenant farmers who say that Natural England's misguided policy on dramatically reducing upland stocking is something you have upset them about. You seem to have also managed to upset people in the uplands by your Upland Vision which seems to have caused some criticism. You believe in a bit of creative tension to try and stimulate the debate in sometimes controversial areas?

  Mr Christensen: Not for its own sake, no. I do not believe in creating tension just for the sake of it or to stimulate debate. I went up to the launch of the Upland Vision at Malham at which the NFU, the TFA, the CLA and the Moorland Association all had an opportunity to speak. The press reports to which I think you are alluding were not reflective of what was said on that day, I have to say. That Uplands Vision is the first real attempt to overcome the problems that bedevil farmers and land managers in policy terms because most of them are short-term, three years, five years, and if you take the natural environment how long is five years, it is not the blink of an eye. We have taken what some people think is a pretty bold step to say, "Well, what would we like it to look like in 50 years' time?" We had a series of montages showing what it could look like and that was part of the beginning of a process. That was our vision and from that will stem a lot of the actions that will fall out in terms of new agri-environment schemes to deliver the vision. We are going to attract criticism. When I say I do not actively go out to seek criticism, I do not seek to avoid it either, if we are being proactive and taking a long-term view. I do not like it when people criticise us, of course, but there are times when that is going to happen and we have to be bold enough to accept when that is and address it and go on talking to people.

  Q75  Mr Williams: One thing we have not touched on is Natural England and National Parks. Could you say something about your role but specifically in terms of new designation, where designation of the New Forest and South Downs has taken such a long time, a huge amount of energy has gone into it. Some people are very happy now, some people not quite so happy. What about new designations?

  Mr Christensen: The Secretary of State, did he not, announced three weeks ago a review of all designations and I am not absolutely clear whether that includes National Parks, to be quite frank, but certainly a review of all other designations, SSSIs, NNRs, the whole raft of them, and we welcome that. I think that is helpful, particularly as we are going into a new way of doing things maybe with the Campaign for the Farmed Environment. There are particular challenges in that campaign but I do really welcome that because it does mean that for the first time an industry is saying, "We want to deliver for the natural environment" and we are absolutely behind that, we want to make that work. Lots of designations, Mr Williams, which are going to change over time and the review will point the direction of some of that. Specifically National Parks, National Parks are funded pretty much directly by the Department, Natural England have a particular locus in chairing the selection panel for some members that are the Secretary of State's Members on National Parks. I hope that answers the specific question. In general terms, National Parks are iconic, they are stunningly beautiful places that inspire a lot of people and actually a lot of people make a lot of money out of National Parks. I know we hear all the talk about them constraining business, but actually in many places they promote it. My wife and I have been—not in my capacity as Chair of Natural England, I am sorry to personalise this now—in four National Parks this year and you feel better every time you go there. I think they are stunningly important to our national economy.

  Chairman: Good. Thank you for ending our first pre-appointment hearing on a positive note. Can we thank you very much indeed for answering our many and varied questions. We now have a procedure to follow so I am going to draw the public part of our proceedings to a conclusion. May I thank Poul Christensen very much for coming before us. We now have to agree a report. To members of the public, thank you very much for your interest in coming, but now is the time if you would be kind enough to vacate your seats because we have to go into deliberative session about the report on this appointment. Thank you all very much indeed.





 
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