§ 1. Mr. Dobsonasked the Minister of Agriculture, Fisheries and Food what is the latest estimate of the total value of the derating of agricultural hereditaments.
§ The Minister of State, Ministry of Agriculture, Fisheries and Food (Mr. Alick Buchanan-Smith)At non-domestic rate poundages for the current year, around £240 million in England and Wales.
§ Mr. DobsonDoes not this massive saving for the agriculture industry show that the industry makes no contribution whatever towards that part of the social wage in rural areas chat comes from local authorities? Does it not make it all the more necessary that agricultural workers should have got a better pay settlement this year than they have done?
§ Mr. Buchanan-SmithThe hon. Gentleman might also recognise that the previous Labour Government, following the Layfield report in 1976, agreed that this de-rating should continue. The sum represents about one-fifth of the net income of agriculture. If that were taken away, it would reduce investment and output and mean more imports and higher food prices. That would certainly not be in the national interest.
§ Sir Ronald BellDoes not my hon. Friend agree that it would be difficult to find a logical justification for rating fields? Would it not be better to return to the 50 per cent. industrial derating which was such a valuable aid to our industry and which, being pre-GATT, was not vulnerable?
§ Mr. Buchanan-SmithDwelling-houses are rated as my hon. Friend indicated. Questions on industrial derating are for others of my right hon. Friends.