§ Mr. ByersTo ask the Secretary of State for Environment, Food and Rural Affairs what the total annual cost of the common agricultural policy was to(a) consumers and (b) taxpayers in the United Kingdom in the most recent year for which figures are available; what estimate she has made of the cost per person per week; and if she will break down the total cost to consumers by product. [86991]
§ Mr. Morley[holding answer 12 December 2002]: The consumer cost of the CAP can be estimated by considering the difference between UK prices and world prices on agricultural food products purchased by consumers. In 2000, the latest year for which UK figures 15W are available, we estimate that the CAP cost UK consumers around £3.5 billion through higher prices. In the same year the UK taxpayer contribution to the CAP was approximately £3 billion.
The UK population in 2000 was 59.8 million, implying that the average cost of the CAP of £6.5 billion in total equates to just over £2 per person per week, or £8 to £9 pounds a week for a notional family of four.
The following table shows an approximate breakdown of consumer support between agricultural commodities. These estimates have, in the main, been compiled using the methodology utilised by the OECD to produce their estimates of the consumer support estimate. It should be noted that the aggregate estimates will be more robust than estimates for the individual commodities. It is particularly difficult to determine the appropriate gap between UK and world prices for products whose specification varies, such as fruit and vegetables, or pigs, eggs and poultry. Although there is no significant internal regime governing the production of pigs, eggs and poultry, the EU has import tariffs in place, leading to increased costs for consumers.
Breakdown of consumer support between agricultural commodities Commodity Cost (£ million) Cereals 50 Sugar beet 300 Milk 980 Beef and veal 580 Sheep 90 Pigs, eggs and poultry 920 Fruit and vegetables 430 Others 150 Total 3,500
§ Mr.ByersTo ask the Secretary of State for Environment, Food and Rural Affairs how many farmers received total payment from the common agricultural policy of less than £500 in the last 12 months for which figures are available. [87297]
§ Mr. MorleyIn the 12 months ending June 2002, 20,000 claimants received less than £500 each in total direct grants and subsidies under the common agricultural policy in England. The payment of direct grants and subsidies in Scotland, Wales and Northern Ireland was the responsibility of the devolved Authorities in that period. In addition, 35,000 claimants throughout the UK each received payments of less than £500 in total as part of the market support measures of the CAP, for which traders as well as farmers are eligible. The figures exclude any compensation received for animals slaughtered during the FMD crisis for reasons of disease control or animal health. We are unable to identify the total payments received by any individual or business making applications using more than one name.