HC Deb 24 February 1994 vol 238 cc415-6
1. Mr. Moss

To ask the Minister of Agriculture, Fisheries and Food what steps the Government are taking concerning reform of the agricultural tenancy laws; and if she will make a statement.

The Minister of Agriculture, Fisheries and Food (Mrs. Gillian Shephard)

We have held extensive and constructive consultations with all relevant interests on tenancy law reform. We are now finalising details so as to be ready to introduce legislation as soon as parliamentary time is available.

Mr. Moss

Is not the joint industry agreement a major breakthrough which removes any final obstacles to the introduction of legislation that will dramatically increase opportunities for new entrants into farming?

Mrs. Shephard

My hon. Friend is right to say that reform is very much needed to increase lettings and opportunities for new entrants. It was tremendously good news that last December all the parties concerned—the National Farmers Union, the Country Landowners Association, the Tenant Farmers Association and the Young Farmers—reached agreement on the reform package. That shows that they all appreciate the urgent need for it.

Mr. Llwyd

Given that the abolition of the wages council was meant to introduce some flexibility into the formulae and resulted in people being paid less than before, is not it another case of the Government looking after their own, as young tenants will be offered 12 or 18-month tenancies? What reception does the Minister think a young entrant into the industry armed with an 18-month tenancy will get at a bank?

Mrs. Shephard

The hon. Gentleman is very much prejudging the issue. Clearly, Iandlords and tenants will reach the agreements that they mutually need. As for his comment about the banks, there is no evidence that banks will take that attitude. Landlords will offer a range of tenancy agreements—some will be long, some will be short and some will be medium-term. I remind the hon. Gentleman that the Young Farmers support the measure.