My Lords, this large group of amendments—and, indeed, large group of speakers—concentrates on new entrants into farming. I have added my name to Amendments 237 and 245. My noble friend Lady Northover has added her name to Amendments 241 and 244 but, due to unforeseen circumstances, is not able to be present this evening.
At Second Reading, many of your Lordships spoke in favour of ensuring that the passage of new entrants is facilitated. The move from direct payments under the CAP to ELMS is likely to see some of our more seasoned farmers deciding to leave the land to retire or to move on to other, less strenuous occupations. The noble
Baroness, Lady Young of Old Scone, and others have spoken against the community infrastructure levy being applied to new farm buildings, and I support her amendment.
It will be vital to encourage younger, more energetic men and women to enter the profession. Some will be the sons and daughters of existing farmers and able to take on the family farms. Others will be graduates from agricultural colleges who have always had an interest in the land and farming. All will need help, support and encouragement. The supply of those not inheriting farms will be an essential element of success. Without land, you cannot farm.
Given the very short timeframes of the average farm tenancy, as relayed to us by the noble Earl, Lord Devon, do the Government see larger landowners making some of their land available for new entrants?
Many county councils have been forced to sell some of their farms to raise money for other capital projects, and local authority funding is, as ever, problematic. I know from my own county experience that these farms come in a variety of sizes, from very small starter farms to large move-on holdings, but they are rarely very large holdings. For some, the starter units give a flavour of what is involved, but they are not always large enough for them to make a living. The role of the county farm estate is to give a helping hand to those starting out. Some tenants will stay until they need to retire; others will wish to move on to larger farms in other areas. Whatever their wish, the Bill needs to facilitate this.
On Thursday, we heard of the valuable contribution that prosperous landowners with huge holdings are making to the debates in this House. However, I believe that it is the smaller farmers—especially those on the edge, such as hill farmers and those on less productive soil—who need our special consideration. I agree with the noble Earl, Lord Devon, that a three-year tenancy is completely inadequate. Farming is a long-term business, and the noble Lord, Lord Curry of Kirkharle, made a powerful case for tenancies to be set at 10 years to allow a continuity of supply of starter farms.
Tenant farmers are potentially at the mercy of landlords. It is therefore important for them to be able to access funds and not to be dependent on what the landlord says. For example, there are cases where a landlord hopes to get planning permission and does not want the commitment of a grant attached to the land, especially if it lasts for a particular length of time. Sadly, on some occasions, although not all, they would rather their tenant went under than have a constraint preventing them obtaining planning permission. I support the comments of the noble Baroness, Lady McIntosh, on this amendment. I note that the noble Lord, Lord Marlesford, believes that the conversion of redundant farm buildings to homes is good, but we must be sure that the buildings are indeed redundant and that the farmer is not looking to make more money by converting them into dwellings.
It is important that tenants are protected from a landlord’s refusal to consent to enter into financial assistance schemes. It is for the tenant farmer to decide what he or she wishes for their farm. Can the Minister confirm that landlords will be prevented
from blocking their tenants’ aspirations? The noble Lord, Lord Taylor of Holbeach, gave an example of the farming ladder. The ELM schemes need to work. Cropping licences are an important part of the local economy. This is a short-term licence, and I look forward to the Minister’s response.
The terms of inheriting farms are very different from those of other enterprises. Children grow up on farms and it is in their blood. They have developed skills throughout the years. They might not be the sons or daughters of the farmer; they might be the nephews, nieces or grandchildren. Should the farmer die suddenly, as has been the case with three of the farms in the village where I live, members will want to take over the farmer’s tenancy. I note the opposition of the noble Baroness, Lady Neville-Rolfe, to this amendment. Often landlords will be keen for this to happen, with continuity being provided. Immediate family might not be in a position to take on the tenancy, and nor might they wish to do so, but other family members of tenant farmers might absolutely want to carry on the farming tradition, having already invested a large part of their lives in the tenant farm. The noble Lord, Lord Judd, and the noble Earl, Lord Caithness, spoke of the selling off of hill farms to those living away from the land, with it not being farmed in the way intended but often being used as pony paddocks.
As has been said, the average age of a farmer is now over 60, and this is very concerning. We have to make sure that young farmers are able to get started. Given that it is almost impossible for someone without independent means to buy land or to borrow enough from a bank, as predicted profits are so limited, unpredictable and long-term, a tenancy is the only way to provide for young farmers. The noble Lord, Lord Cameron, gave a very powerful example of how elderly farmers are trapped on county farms that are no longer capable of providing a living. Diversification and new ideas are important so that these farms can be taken forward. Therefore, the amendment on widening the inheritance of tenancies seems very important. Can the Minister give an assurance that members of a farmer’s extended family will be able to inherit the farm? This is an important aspect of the Bill and I look forward to the Minister’s reassurance on these issues.