My Lords, it is a pleasure to follow the noble and learned Lord, Lord Hope, who made some compelling arguments, especially about the devolved question. I endorse the points made by the noble Baroness, Lady Finlay of Llandaff, about Wales and the Welsh Government’s needs.
I wish to speak to Amendment 284 in my name. The shape and political make-up of the UK have shifted significantly since the last time we laid domestic agriculture legislation 40 years ago. When the UK first adopted the common agricultural policy, it was on behalf of the whole UK. Now, as we seek to replace that policy, we are doing so as four distinct Administrations with overarchingly aligned but divergent interpretations of what the common agricultural policy is able to deliver.
Devolution developed within the context of the CAP. The Welsh Government were given competence for agriculture policy in 1999. The strength of devolution, for agriculture in particular, is that it gave the constituent parts of the UK—areas whose topography and climate have produced vastly different agriculture sectors—the ability to shape the policy and support to suit individual needs. The flexibility to tailor individual needs while working with high-level parameters and outcomes, laid out in the framework of the CAP, was a key component of what made the policy work in terms of its structure, while delivering the careful balance between divergence and uniformity. The common overarching objectives—the commitment to seven-year funding cycles, the broad agreements on spending limits and the overall breadth and intention of the policy framework —combined to produce a competitive but level playing field. It was a structure that enabled disparate areas with different agricultural systems to address local needs while working towards strategic goals.
As the UK Government and devolved Administrations develop new agricultural policy with new policy intent, we must surely take time to consider not merely what CAP delivered but how it delivered it. While the landscape and agricultural sectors of Wales may be different from England or Scotland—or Northern Ireland, for that matter—we are unified by the need to trade effectively both internally and externally. The fundamental need to unify areas of common interest should be accounted for in this Bill.
For Wales, the most pressing issue is the ability to agree and deliver a multi-annual funding arrangement with Her Majesty’s Treasury. Multi-annual funding is
key to providing stability to a sector that takes time to see the impact of any investment or delivery of any environmental outcome.
Currently, the budget for Wales is set through the annual spending review negotiation between the Treasury and the Welsh Government. An annual funding mechanism for agriculture and land management will create too much uncertainty for Welsh farmers. This lack of stability will destroy the level playing field for farmers and agribusinesses in Wales and consequently the integrated food supply chain within the UK. This is a uniquely Welsh constitutional and political problem.
In this Agriculture Bill, we have a clear opportunity to put in place steps to design and deliver a multi-annual funding arrangement that can create a common structure with shared opportunity against shared UK objectives while allowing devolved Administrations to meet domestic needs. It is the first building block to ensuring that we can accommodate and build resilience into our agricultural sector, our food and drink sector, and the UK’s national security. This is the context in which I have spoken to my amendments.