Following the vote from the horticultural and potato sectors to end their statutory levies, the Agricultural and Horticultural Development Board (AHDB) is restructuring. It is looking to make around 140 staff redundant around 30% of its total. Whilst the majority will be in the two sectors concerned, the organisation is also looking to make wider efficiency savings.
The Queen’s Speech on the 11th May set out the Government’s legislative agenda for the forthcoming Parliamentary session. A number of the proposed Bills could have an impact on farming and rural areas.
Probably the most directly relevant is the Environment Bill. We have written about this previously (see https://abcbooks.co.uk/environment-bill-progress/ for a summary). The legislation’s passage through Parliament has been repeatedly delayed since it was first introduced in January 2020. It is hoped that it will be passed before the end of this year.
Other plans include three bills on Animal Welfare that will include provisions to ban the live export of animals for slaughter or fattening. A Planning Bill is due which will enact many of the ideas outlined in the White Paper of last year (see https://abcbooks.co.uk/planning-reform-proposed/) including the ‘zoning’ of sites for development and an overall drive to increase the number of homes built.
More generally, legislation in such areas as Infrastructure and Telecoms is promised as part of the overall ‘levelling up’ agenda.
Another chapter in the Brexit process has come to a close with the ratification of the Trade and Cooperation Agreement (TCA) by the European Parliament. On the 28th April 660 MEPs voted in favour of the deal whilst 5 were against it and 32 abstained. The TCA thus fully entered into force on the 1st May – although, for all practical purposes, it had been operating since January. Now the agreement is formally in place, the governance structure can be implemented. At the top is the EU/UK Joint Partnership Council – this will oversee the implementation of the TCA and provides a forum for resolving problems. Beneath the Council are various committees that will look t specific topics – e.g. rules of origin, aviation, fisheries etc. All this gives a clue that the ratification of the Treaty does not mean that Brexit is ‘done’. There will be significant ongoing work on managing the agreement. In addition, there are proposals to expand the scope of the TCA, notably in the area of Financial Services, which
The troubled AHDB has got a new Chief Executive. Tim Rycroft will join the Levy Board on 31st August, replacing Jane King who left her post at the end of March. Ken Boyns, the AHDB’s chief finance and operations officer has been acting CEO. Mr Rycroft joins from the Food and Drink Federation. He, along with the AHDB Chairman Nicholas Saphir, will need to pilot the organisation through a period of turmoil following the votes of both the horticulture and potato sectors to end the statutory levy.
The RPA has announced expiring Countryside Stewardship (CS) agreement holders may be offered a new 5 year Agreement, instead of one year extensions. So called ‘Mirror Agreements’ will be available for Mid and Higher Tier agreements which are due to expire on 31st December 2021. This will include agreements which originally started in 2016 and were extended for one year in 2021 and those that started in 2017 and are due to expire at the end of this year. Those considered eligible will be invited to apply for a new agreement which will ‘mirror’ the current one and start on 1st January 2022. The new Mirror agreements will be offered under domestic CS regulations and subject to the CS 2022 manual. One year extensions of CS agreements will no longer be offered.
Countryside Stewardship Mid-Tier Agreements due to expire on 31st December 2021 will be assessed by RPA. Natural England will assess Higher-Tier Agreements based on environmental outcomes to decide whether to offer 5 year Mirror Agreements. It will not be possible to add, remove or replace options in a Mirror Agreement. Effectively they will be the same as the original Agreement. Expiring Woodland-only agreements will not be eligible and holdings which have an unmanaged SSSI or SM will not be offered a Mirror Agreement. If the agreement is not suitable for a Mirror Agreement, or holders wish to change their options they will be able to apply under the CS scheme this year.
Importantly, Mirror Agreements can still be terminated early at the end of a calendar year without penalty if an ELM Agreement has been accepted. Further information can be found at: https://www.gov.uk/guidance/countryside-stewardship-mirror-agreements?utm_medium=email&utm_campaign=govuk-notifications&utm_source=63305f63-6553-4a46-b757-50c4ea809add&utm_content=daily
The UK Government has set challenging new targets for the reduction of greenhouse gases (GHG). This is likely to have implications for agriculture as one of the economic sectors that is seen as part of the problem, and the solution, when it comes to battling climate change.
In line with the recommendations of the Committee on Climate Change (CCC) the UK’s share of international aviation and shipping are now included in the figures (up to now they have been excluded). The UK had a previous commitment to reduce emissions by 68% compared to 1990 figures by 2030. The target has now been extended to a 78% cut by 2035. The eventual aim is for the UK to be ‘net zero’ by 2050. The commitment comes ahead of the UN climate talks, COP26, which will be hosted in Glasgow this November.
It is quite easy for Governments to announce targets. What is more difficult is producing a set of coherent and sustainable policies to make it happen. This will be especially difficult in the area of climate change. The reductions achieved so far (a 44% drop between 1990 and 2019) have generally been the relatively ‘easy’ things – decarbonising power production and a shift from manufacturing to services. As emissions fall, achieving the marginal extra percentage drop becomes ever-harder. It also starts to affect the lifestyles and livelihoods of the population (i.e. voters) so is more difficult to sustain politically.
The RPA has given some updated information on Countryside Stewardship (CS) inspections, especially for agreements which commenced from 1st January 2021. CS (and Environmental Stewardship (ES)) agreements which started prior to this date must still meet EU rules and regulations for inspections. But for CS agreements starting on or after 1st January 2021 UK domestic rules apply and in its quest to try and increase the uptake of CS, the RPA has changed ‘Inspection’ to ‘Environmental Outcome Site Visit’, as it says it wants to focus on the environmental outcomes of the agreement. It is well documented that the threat of ‘inspections’ is one of the key reasons why farmers do not enter agri-environmental schemes. In 2021 there will be two approaches to the the ‘Environmental Outcome Site Visit’,
For 2021, the following ‘Campaign Options’ have been chosen;
If a Campaign Environmental Outcome Site Visit finds a breach this may trigger a ‘Whole Agreement’ visit.
A reminder that the ‘re-vamped’ Countryside Stewardship Capital Grant scheme closes to applications on 30th April. However, we have become aware of a couple of issues with the new stand-alone scheme this year.
Firstly with the Fencing options F1, F2 and F3. In the CS Capital Grant scheme these options are only available ‘to prevent water pollution caused by farming (approval from a Catchment Sensitive Farming Officer is not required nor does the parcel need to be in a High Priority area for water quality)’. But in Mid-Tier, Higher-Tier or Woodland applications they are also available to ‘protect environmental features (for example newly planted trees, buffer strips and field corners taken out of management) or as agreed with the Forestry Commission Woodland Officer‘. The RPA has recognised that this information may not have been clear at the outset and has changed the guidance to make it clearer. Unfortunately some claimants have already put in CS Capital Grant scheme applications where the fencing has been applied for to protect environmental features. In these cases, RPA has said it will not reject the applications, but will write to those affected and they will be given the chance to remove the fencing from the claim or move the location of them so they are eligible.
Secondly, for those who already have an existing CS Wildlife Offer. It is possible to have a CS Capital Grant on a parcel which is in a Wildlife Offer (although not where a parcel is subject to other Agreements). But some (not all) claimants with a Wildlife Offer are having problems applying online for a CS Capital Grant. The RPA is looking into this matter, but with the deadline looming is suggesting applicants use a paper version this can be found at https://www.gov.uk/government/publications/countryside-stewardship-capital-grant-application-form
The much-delayed consultation on the delinking of the BPS and lump-sum payments has been postponed once again. Originally planned for ‘early in the New Year’ it has now been put back due to the ‘purdah’ period ahead of the Local Elections. It will not appear before the 7th May.
Defra has announced Organic Higher Level Stewardship (OHLS) agreements will now be eligible for one year extensions. Originally it had said extensions would not be available for Organic ELS/HLS agreement holders. This was applied to those whose agreements ended in 2020 – no roll-over was allowed. But after pressure from the Soil Association’s legal team and the English Organic Forum, Defra is now allowing one year extensions to OELS/OHLS agreements subject to the same criteria as HLS. For further information go to https://www.gov.uk/guidance/higher-level-stewardship-hls-2021-agreement-extension This will be a relief to many organic HLS agreement holders who rely on these payments to be able to farm organically and would have been subject to a funding ‘gap’ if they had to move to Countryside Stewardship. Unfortunately it has come too late for some. Defra had blamed high administration costs compared to the number of agreements as the original reason for not extending Organic agreements.
