CONSTITUTION AND LEVY SCHEMES OF MEAT AND LIVESTOCK COMMISSION (Hansard, 23 July 1986)

§ Mr. Gummer
I beg to move, That this House doth agree with the Lords in the said amendment.

Mr. Deputy Speaker
With this, it will be convenient to discuss the following Lords amendments: No. 5, in page 7, line 43, at end insert— (d) in subsection (6) (provision in levy schemes for persons on whom levy imposed to recover all or a specified part of sums paid by them from others) the words 'all or a specified part of shall be omitted; and (e) after that subsection there shall be inserted— (6A) Where a levy scheme makes such provision as is mentioned in subsection (6) above it shall— (a) authorise the Commission from time to time to determine the proportion of the sums paid under the levy scheme which shall be recoverable; (b) specify whether the Commission may determine that the whole of those sums shall be recoverable and, if not, the maximum proportion of them which they may determine shall be recoverable; and (c) specify whether the Commission may determine that none of those sums shall be recoverable and, if not, the minimum proportion of them which they may determine shall be recoverable.'. 513 No. 51, schedule 3, in page 27, line 55, column 3, leave out "(4)" and insert "in subsection (4)" No. 52, in page 27, line 57, column 3, at end insert and in subsection (6) the words "all or a specified part of'

§ Mr. Gummer
These amendments are intended to introduce limited additional flexibility into the Meat and Livestock Commission's levy arrangements. As originally drafted, clause 7 gave the MLC the ability to include in a levy scheme special arrangements for particular parts of the levy. This will enable the MLC to make special funding arrangements for certain activities, such as meat promotion or research and development. In particular, it will enable the commission to stipulate that the two groups of levy payers—slaughterers and livestock producers—should each pay a different proportion of these parts of the levy in line with the industry's own wishes.
These amendments go a small step further by providing for the proportions payable by each sector to be fixed administratively within the limits laid down in the levy scheme. This will mean that where only minor adjustments are proposed the MLC will be able to act on its own initiative without having to go through the lengthy process of submitting a new or amending levy scheme. This seems to us to introduce worthwhile additional flexibility into the arrangements, but I must stress that the MLC's freedom of manoeuvre will be restricted by whatever limits are written into the basic levy scheme, which will be subject to the closest scrutiny by the industry, by Ministers and by Parliament. I am sure the House will agree that this is an important safeguard. Therefore, we have tried to introduce enough flexibility to make it a useful way of giving the MLC a chance to make small alterations while not in any way giving it a power which could be abused.