HC Deb 02 February 1984 vol 53 cc387-8
Mr. Bruce

asked the Minister of Agriculture, Fisheries and Food if he will make it his policy that hill farmers should not suffer financial loss as a result of threatened delays in payment of hill livestock compensatory allowances; and if he will make a statement.

Mr. Jopling

We are pressing for urgent resolution of the difficulties which have arisen over the continuation of the structures directives. We shall begin paying 1984 hill livestock compensatory allowances as soon as the way is clear. In the meantime, as Agriculture Ministers have already announced, payments of eligible claims under the agriculture and horticulture grant scheme have been resumed. I am pleased to announce that Agriculture Ministers have also decided to resume payments under the agriculture and horticulture development scheme, the farm and horticulture development scheme, the agriculture and horticulture co-operation scheme—for forage groups—and the farm structure (payment to outgoers) scheme, in respect of claimants whose participation in these schemes was approved by 31 December 1983. This will bring some benefit to hill farmers.

Mr. Bruce

I am grateful for the fact that the Minister has used the opportunity of my question to bring us up to date about some other payments. In the context of the hill livestock compensatory allowance, will the Minister confirm that the West German Government have agreed to go ahead with immediate payments to their farmers? Will he give a commitment that British farmers in a similar position will be paid promptly, because in the present climate many of them face severe difficulties and are extremely anxious about the position?

Mr. Jopling

I understand the anxiety that is felt about this matter. I understand also that there has been discussion in some member states about action to continue payments. I am not aware of any grants yet being paid in respect of entitlements arising in 1984. At the meeting of the Council next Monday and Tuesday I have every hope that we shall be able to agree to a roll-over of the structures directive which will allow those payments to be resumed immediately.

Rev. Ian Paisley

Is the right hon. Gentleman aware of the great difficulty faced by hill farmers in Northern Ireland because of the non-payment of these grants? Will he assure the House that they will be paid retrospectively, as some £9 million is due up to 31 March?

Mr. Jopling

The normal practice is that very few hill grants are paid before the second week of February, when the next meeting of the Council of Agriculture Ministers will be held. The vast bulk of the payments are paid annually, later in February and during March. If we can obtain the roll-over and the clearance to go ahead next week, it will mean that only a few hill subsidy payments will be delayed.

Mr. Donald Stewart

I welcome the advances that the Minister has been able to announce, but will he bear in mind that this section of agriculture is least able to stand any delay in payments, particularly after a hard winter? If, as the hon. Member for Gordon (Mr. Bruce) said, other EEC countries are paying their hill farmers, will he take a leaf out of that book and pay ours without further delay?

Mr. Jopling

I hope that we shall be able to pay them in the normal way next week after the Council. I acknowledge the difficulties that hill farmers face, but I hope the right hon. Gentleman will accept that there is another group in the marginal areas who would be beneficiaries of our proposals to extend less-favoured areas, which are currently being blocked in the Council by various states.

Mr. Watson

The House is grateful to my right hon. Friend for the announcements that he has been able to make in response to this question. Will he confirm that the standard of living of hill farmers generally is not high, that these allowances represent a significant part of their income and that a further delay in their payment will result in considerable hardship? Will he therefore treat the payment of these allowances as a matter of the utmost urgency?

Mr. Jopling

We shall be pressing with the utmost vigour to get clearance from the Council next week for these payments. I am well aware, as my hon. Friend rightly says, that they are a significant part of hill farmers' incomes.

Mr. Mark Hughes

We welcome what the Minister said about certain payments, but is he aware that unless he gives an assurance to the hill farmers that, even if he fails at the Council meeting next week, he will go ahead—as the German Agricultural Ministry is doing—and make the payments, he will leave many hill farmers in a desperate plight?

Mr. Jopling

To correct the hon. Gentleman, I understand that the German Government are not yet paying out these grants; I suspect that they are waiting until after the Council meeting next week before making payment. We must go into the Council meeting in four or five days' time with a determination to get clearance to start paying them in the normal way.