HC Deb 29 November 1984 vol 68 cc590-1W
Mr. Maclean

asked the Minister of Agriculture, Fisheries and Food if he will announce the rates of hill livestock compensatory allowance for 1985.

Mr. Jopling

The annual review of economic conditions in the less favoured areas has now been completed.

As far as the severely disadvantaged areas are concerned—that is, those which have had less favoured areas status in the past—I am glad to announce that, despite the pressure on public expenditure, we are proposing to maintain the allowances at their present levels.

This year, for the first time, we have also had to consider the rates to be paid in the disadvantaged areas —that is, those marginal land areas which were given LFA status for the first time in February of this year. So far as these are concerned, my colleagues and I are proposing that the rates for 1985 should be £22.25 per eligible cow and £2.12 per eligible ewe. Payments in these areas will also be subject to certain overall maxima—of £45 per hectare and nine ewes per hectare — which recognise that the land concerned is less handicapped than in the existing LFA but also the need to discourage overstocking, in the interests of conservation and good husbandry. We estimate that these payments will bring an extra £4.5 million to the marginal areas, and this additional new expenditure is provided for in the Estimates laid before the House.

Draft regulations embodying these proposals are being laid before the House today and they have also been notified to the European Commission, as required by the appropriate EC directive.