Government farm funds must not disappear back into Treasury – Carmichael

Orkney and Shetland MP, Alistair Carmichael, has today pressed DEFRA ministers to live up to past statements that unspent land management funds should be rolled over into future budgets. Speaking in Parliament for the first time since becoming Chair-Elect of the Environment, Food and Rural Affairs Select Committee, Mr Carmichael noted past problems in DEFRA with underspent funds through ELMS (environmental land management schemes) under the previous government, and warned about the risk of knock-on effects to farm budgets across the UK.

Speaking in the House, Mr Carmichael said:

“The problems with the uptake of environmental land management schemes (ELMS) have been at the heart of a significant departmental underspend. No fair-minded individual would blame the current Government for that, but if that money disappears back into the Treasury, never to be seen again on farms, that blame will be attached to the current Government. In opposition, they said that any underspend should be rolled over into future years. Is that still their position in government, and how will they do it?”

Responding, Minister for Nature Mary Creagh MP said:

“There was about a £350 million underspend in the farm budget under the previous Government, who failed on their manifesto pledge to spend £2.4 billion a year on farmers. We are looking at everything as part of the spending review and decisions will be announced in due course.”

Reacting after the exchange, Mr Carmichael said:

“The difference in the stance ministers took in opposition compared to now is concerning. Farmers are looking for government to give them some confidence, stability and a long-term vision for agriculture and food production going into the future. Rolling over ELMS underspend into the next year is basic common sense if we are going to make these programmes work – and cuts risk having knock-on effects in rural communities across the UK.

“Coupled with rumours about Treasury raiding the overall farm budget in the coming weeks, farmers have a right to be a little uneasy at what is going on. If Labour believe in a long-term strategy for UK agriculture and food security then they need to start offering a long-term, positive budget for farmers.”