HC Deb 07 March 1979 vol 963 cc700-1W
Mr. McCrindle

asked the Minister of Agriculture, Fisheries and Food if he will summarise the loan facilities available to farmers from Government sources for the purpose of purchasing machinery and improving buildings.

Mr. Strang

The Government support the Agricultural Mortgage Corporation and the Scottish Agricultural Securities Corporation which makes loans for agricultural purposes in Great Britain, including the purchase of machinery and the improvement of buildings, and the Agricultural Credit Corporation which gurantees bank loans to farmers, growers and agricultural cooperatives in the United Kingdom for machinery, equipment and working capital. Certain Government loan facilities for the purposes named are available in Scotland and Northern Ireland. In addition, interest incurred on borrowing for business purposes is allowable for income tax relief.

Mr. McCrindle

asked the Minister of Agriculture, Fisheries and Food if he is satisfied that there are no Government-induced impediments to farmers preventing access to loan capital; and if he will make a statement.

Mr. Strang

Yes. It remains the Government's policy, recently re-stated in the White Paper "Farming and the Nation"—Cmnd. 7458—that farmers, together with other industrial borrowers and exporters, will retain priority in bank lending, and that Government loan facilities for the industry and support for outside sources of loan capital will be maintained.