HC Deb 11 February 1999 vol 325 c420W
Mr. Paice

To ask the Minister of Agriculture, Fisheries and Food what was the cost over the last year of the over thirty months scheme; and what proportions are funded by(a) the Treasury and (b) the EU. [70635]

Mr. Rooker

The cost of the Over Thirty Months Scheme in 1998–99 is estimated to be around £364 million, made up of payments to producers (£247 million) and slaughter and disposal costs (£117 million). Payments to producers are in principle reimbursed by the EU at a rate of around 70 per cent., although the effective rate of reimbursement is close to 20 per cent. after the operation of the Fontainebleau rebate mechanism. The costs of slaughter and disposal are fully funded by the Exchequer.

Mr. Paice

To ask the Minister of Agriculture, Fisheries and Food (1) what estimate he has made of the annual cost of increasing the maximum weight limit under the over thirty months scheme by(a) 100 kg and (b) 200 kg; [70638]

(2) what would be the annual cost of removing the weight limit under the over thirty months scheme. [70636]

Mr. Rooker

First, changes to this scheme are not within the gift of the UK Government; its rules are set by the European Commission.

It is difficult to estimate precisely the likely extra costs of the three options that the hon. Member mentions, as each of the options may cause both slaughter weights and throughput to change. Nevertheless I estimate that increasing the weight limit by 100 kg would increase costs by around £15.5m; increasing the limit by 200 kg would do so by around £16.75m; and removing the limit altogether would increase costs by around £17m.