HC Deb 14 April 1981 vol 3 cc101-2W
Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food if, pursuant to his statement and replies on the European Economic Community price review on 3 April, he will set out the calculations which enabled him to announce that the effect of the price review would be to reduce the United Kingdom's contribution to the European Economic Community budget by comparison with its contribution in 1980–81.

Mr. Peter Walker

To determine changes in our net contribution to the Community budget we estimate on the one hand the appropriate adjustments to the agricultural levy and VAT components of our gross contribution and on the other hand the likely change in United Kingdom receipts from Community funds. In general, the estimate is derived from Commission figures for the overall effects of the various measures.

Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food if, pursuant to his statement and replies on the European Economic Community price review on 3 April, he will set out the calculations which enabled him to announce that there would be savings of approximately £40 million on expenditure by the European Economic Community on processed fruit and vegetables; and if this saving is in relation to the actual spending on such support in the year 1980–81.

Mr. Peter Walker

During the price negotiations the Commission undertook to apply the criteria for calculating the production aid payable to processors of fruit and vegetables in such a way as to achieve savings of 73 million ECU—approximately £40 million. The saving is in relation to the original estimate of expenditure for the 1981–82 marketing year.

Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food if, pursuant to his statement and replies on the European Economic Community price review on 3 April, he will set out the calculations which enabled him to announce that the net increase in milk prices arising from the settlement would be 6½ per cent. by comparison with the year 1980–81.

Mr. Peter Walker

I gave the figure of a 6½ per cent. net increase in answer to a supplementary question from the hon. Member for the Isle of Wight (Mr. Ross), but subsequently revised it to 8½ per cent. in reply to a further supplementary from the hon. Member for Durham (Dr. Hughes) a few minutes later. This figure is obtained by deducting the ½ per cent. increase in the basic co-responsibility levy from 9 per cent. increase in Community support prices.

Mr. Teddy Taylor

asked the Minister of Agriculture, Fisheries and Food what increase in the price of basic foodstuffs per pound to the consumer he anticipates will occur in consequence of the 1981–82 price review by comparison with the provisions of the 1980–81 price review.

Mr. Peter Walker

For the effects of the 1981–82 settlement on the prices of certain foods, I refer my hon. Friend to the reply I gave the hon. Member for Newham, South (Mr. Spearing) on 13 April. For comparison, the estimated maximum increases for the same four food items which arose directly from the 1980–81 settlement were:

  • bread ⅓p per standard loaf;
  • bacon 1p per lb;
  • beef nil-2p per lb;
  • liquid milk nil.