HC Deb 17 July 1997 vol 298 cc508-10
3. Mr. Collins

To ask the Minister of Agriculture, Fisheries and Food if he will make a statement about the operation of hill livestock compensatory allowances. [7277]

The Parliamentary Secretary to the Ministry of Agriculture, Fisheries and Food (Mr. Elliot Morley)

In England, 98 per cent. of claims under the 1997 scheme were paid by the target date of 30 April. The 1998 scheme is now open for cattle claims, and the application period for sheep claims will be open as usual in December.

Mr. Collins

Does the Parliamentary Secretary agree that much of the beauty of areas such as the Lake district depends on the hard work of hill farmers? Is he aware that, with sheep prices now falling and the continuing and accelerating difficulties in the beef sector, many hill farmers in my constituency and elsewhere are facing genuine problems? Will he therefore look with sympathy on their case for an uprating of HLCAs in the coming year?

Mr. Morley

HLCAs are indeed an important support package for farmers in the uplands. However, I have to point out that when the Tory party was in government it made no provision for the £60 million that it gave to the beef sector in the uplands this year. That £60 million is not in next year's accounts, which will cause some difficulty in providing support through HLCAs.

Mr. Curry

Would not the review of the upland payments be easier if the Government acted now to prevent the damage it will inflict on the incomes of hill farmers, and beef suckler herds in particular, and withdrew the ill-founded proposal to put a 560 kg weight limit on the animals eligible for culling? Does he not realise that that alone could cost hill farmers—honest hill farmers, not those out to fiddle the system—up to £150 per beast? With the next green pound revaluation now imminent, why does the Parliamentary Secretary not do what the Ministers of eight other countries have already done and go to Brussels to get the compensation to which he is entitled for his farmers, who will otherwise suffer?

Mr. Morley

May I first welcome the right hon. Gentleman to his first Question Time in his new role? I repeat: if the previous Government felt that support for the suckler sector was so important, why did they make no provision for the £60 million in the Ministry's budget next year? It is true that there is hardship for the suckler sector because of the changes that have been made, but the Opposition spokesman will be aware that the total cost of bovine spongiform encephalopathy support is £3.5 billion of public money, spending for which the previous Administration bear some responsibility because of their incompetence.

Mr. Curry

Does the hon. Gentleman not realise that, since this Government came to power, there have been two major green pound revaluations, because the Chancellor let go of control of interest rates, and a third is imminent? As farmers are suffering severe income loss as a result, are they not entitled to get compensation from Brussels? Why does the hon. Gentleman not do what eight of his colleagues at the Council of Ministers are doing and get that benefit for his farmers—or does he not care enough?

Mr. Morley

In relation to the revaluation of the green pound, my right hon. Friend the Minister of Agriculture, Fisheries and Food has already met a delegation of farmers from the National Farmers Union and made it clear that we are considering that point.