HC Deb 08 February 1999 vol 325 cc61-2W
Mr. David Stewart

To ask the Secretary of State for Scotland if he will assist salmon farmers in the Highlands and Islands to meet the costs of eradicating Infectious Salmon Anaemia; and if he will make a statement. [70303]

Mr. Dewar

Infectious Salmon Anaemia is potentially a very serious disease and the Government remain determined to eradicate this present outbreak in Scotland. That is the best outcome we can achieve, both for the salmon farmers and for wild salmon stocks. The salmon farming industry must recognise its responsibilities to deal effectively with this outbreak.

The Government have put in place various measures to eradicate ISA, and further measures will be announced shortly when an interim report by a joint Scottish Office/Industry Working Group is completed. I welcome the co-operation of the industry.

I recognise that this eradication programme is imposing significant costs on the industry, particularly for farms where ISA is confirmed. The Government continue to take the view that, in principle, it is for the fish farming industry to meet costs arising from measures taken to control the spread of serious fish diseases. Salmon farming, however, provides very valuable employment in the Highlands and Islands, and the continuing uncertainty, which is undermining confidence in the industry and among investors, presents a serious threat to the economic well-being of the region. In these circumstances I have agreed to enable financial aid to be provided through Highlands and Islands Enterprise to the industry. Up to £9 million will be available over 3 years, on a pound for pound matching basis for contributions from industry funds, to help individual farmers meet costs arising under the ISA eradication programme from new outbreaks of ISA. The detailed terms for such assistance will need to be settled. That offer of assistance is subject to approval by the European Commission under the usual state aid rules. No aid will be paid without the Commission's approval.

The assistance will be limited to a period of 3 years, and within that time salmon farmers will need to put in place alternative financial arrangements. We shall keep the eradication programme under regular review.

From 1 July 1999, this will be a matter for the Scottish Parliament.