HC Deb 11 November 1997 vol 300 c514W
Mr. Jack

To ask the Minister of Agriculture, Fisheries and Food (1) what is his Department's estimate for expenditure on the sheep annual payment scheme for 1997–98; [15461]

(2) what was his Department's forecast of expenditure on sheep annual payment for the financial year 1997–98. [15460]

Mr. Morley

I am replying in my right hon. Friend's absence as he is on official business in South Africa.

The Department's published estimate provision for 1997–98 included £175 million for the sheep annual premium scheme, which is entirely funded by reimbursements from the European Agricultural Guidance and Guarantee Fund. The estimate has not changed.

Mr. Jack

To ask the Minister of Agriculture, Fisheries and Food if he will make representations to the Treasury, in respect of his Department's underspend on current payments of sheep annual payment, to use the surplus to maintain 1997 levels of hill livestock compensatory allowance payments; and if he will make a statement. [15459]

Mr. Morley

I am replying in my right hon. Friend's absence as he is on official business in South Africa.

The Sheep Annual Premium Scheme is fully funded by the European Union. To the extent that actual expenditure falls short of the published estimates, the shortfall is offset by a corresponding loss of receipts from the European Agriculture Guidance and Guarantee Fund. As such, no spare funds result which could be directed towards the payment of Hill Livestock Compensatory Allowances.