HC Deb 01 February 2002 vol 379 c618W
Mr. Breed

To ask the Secretary of State for Environment, Food and Rural Affairs what plans she has to introduce new sources of funding for the modulation scheme; and if she will make a statement. [31161]

Mr. Morley

The Policy Commission on the future of farming and food made ambitious recommendations for a significant increase in the rate of modulation as a vehicle to transfer further CAP moneys out of production subsidies to deliver broader land management and environmental outputs. The Government accept we should now consider this option very carefully indeed. We will also look to secure agreement in the CAP mid term reviews to broaden the scope of what funds generated by modulation can be spent on. Subject to discussions with the devolved Administrations and with European Commission, securing that increased flexibility on modulation will be the Government's objective.