Funding for Farming

The Government will restore stability and confidence in the sector by introducing a new deal for farmers to boost rural economic growth and strengthen food security alongside nature’s recovery. The Government are currently conducting a spending review, which will conclude in October. Departmental budgets, including spending on farming, will be confirmed through this process.

The Labour party manifesto rightly stated that the Labour party “recognises that food security is national security.” I agree, but those words must be matched with actions. We have already asked today about future budgets, but have not heard any answers. Will the Secretary of State confirm that there will be no real-terms cuts to the agriculture budget?

As the hon. Member will know, there is a spending review process going on, which will culminate with announcements in the Budget. That is the point at which all of that will be made clear and apparent. I would gently remind the hon. Member that it was her Government who underspent the farming budget by £130 million in the previous financial year. That money should have been in the pockets of farmers, who desperately need it for the work they are doing to provide the food we want to eat and to help nature’s recovery, yet that Government were too incompetent to get it out the door. This Government will make sure that the money allocated to farmers is handed over to farmers so that they are able to use it for the purposes for which it is intended.

Being an MP for the Scottish Borders, I am lucky enough to represent some of the best farmers and food producers in the whole of the UK. However, as we have heard, the new Government have chosen not to give them any clarity about their future funding settlement, so I ask again: can the Secretary of State commit not to cut the funding for farmers and food production?

I congratulate the hon. Gentleman on his appointment as shadow Secretary of State for Scotland. As I said previously, a spending review process is going on. No Government announce their Budget in advance of the Budget taking place. I cannot do that either, but I assure the hon. Gentleman that we are keen to ensure that farmers in every single part of the United Kingdom receive the support they need to do the job that we as a country need them to do to ensure that we have the food security that we want, because it is part of our national security, and that this country deserves.

Farmers in my constituency who receive funding through the sustainable farming incentive are concerned that some of the schemes are becoming over-subscribed and therefore their income is reducing. Will the Secretary of State give a reassurance that that particular initiative will continue and will do so at the existing funding levels?

I have been clear, throughout the election campaign and since, that we do not intend to overturn the applecart in respect of the old schemes in general, including the SFI. We support the principles behind the schemes and want to see them continue. In terms of what the hon. Gentleman alluded to, there are ways to make them work better. My intention is to work closely with the farming sector and the nature sector to make sure that we get the maximum bang for our buck for every single penny that goes through those schemes, and that the farmers who need it get the support they deserve.

British farmers have been badly let down by crippling trade deals, skyrocketing energy prices and devastating floods. Will the Secretary of State outline how he will restore confidence and support British farmers?

My hon. Friend is absolutely right. There are all sorts of ways in which farmers have felt very let down over the past 14 years, and that has contributed to the tragic situation today in which we have the lowest levels of confidence ever recorded in the farming sector. Our new deal for farming is intended to start to sort part of that out. My hon. Friend referred to trade deals that undermine farmers; they are furious about that, and at the National Farmers Union’s Back British Farming Day reception yesterday farmers made that clear to me again. We have ruled out any future trade deals that undercut and undermine British farmers in the way the previous Government’s Australia and New Zealand trade deals did.

May I support your thanks to Terry Wiggins, Mr Speaker? He has been a great servant of this House and is a lovely bloke. The Conservative complaints about support for farmers are a bit lame. Has the Secretary of State had the opportunity yet to work out why there was an underspend of over £100 million in the agricultural budget last year?

My hon. Friend raises an important point. Opposition Members are asking me today about budget decisions that they know cannot be announced before the Budget, when presumably they are aware—because the statement has been laid—that they underspent the previous budget to the tune of £130 million. It is not that they were not warned about this either, because while we were in opposition we were making points, as were farmers, about underspends and the desperate need to get that money back out to the farmers who needed access to it. We will review the situation, find out exactly what went wrong and publish that information as soon as it is available.

I call the Liberal Democrat spokesperson.

Somerset is home to 8,500 farmers and food producers, which is more than any other county in the UK. They are worried that the £130 million of support will be stripped from them because the previous Government replaced the basic payment scheme with systems that were too complicated for many farmers to access. Notwithstanding the previous comments, will the Secretary of State confirm that he will not be slashing their funding, and give farmers the confidence that they need to be able to invest in the future and secure the nation’s food security?

I am delighted to congratulate those farmers, producers and growers in Somerset. It is a fine county and they do an incredibly good job, of which the hon. Lady is rightly proud. I hope she will understand that I cannot make comments about the Budget in advance; I would be in deep trouble with the Chancellor of the Exchequer, which is something I wish to avoid. At the appropriate time, we will make absolutely clear what we intend to do. My intention is to fight the corner of farmers through the spending review process so that we can make sure they receive the resources they deserve.