The Green Alliance has proposed that carbon credits could be used to help boost the environmental delivery of projects and improve their viability. There is also scope for farmers and land managers to develop services which would have a beneficial role for public health, underlined by a recent study looking at the relationship between access to green space and mental health.

FOOD & FARMING

UK food standards will not be lowered
The United States Trade Representative (USTR) issued a summary of its negotiating objectives for a post-Brexit trade deal. The report includes a demand for “comprehensive market access for U.S. agricultural goods” and the removal of “unwarranted barriers”. Woody Johnson, the US ambassador to the UK, said terms like chlorinated chicken and hormone beef were “inflammatory and misleading” and “cast American farming in the worst possible light”. The American National Farmers Union argued that its products are “perfectly safe”.

British farming has reaffirmed its support of high production standards in response. Minette Batters, president of the NFU, has said “world-leading standards must not be sacrificed in the pursuit of reaching rushed trade deals”. Former Farming Minister George Eustice branded US agriculture as “quite backward” and said “they will have to learn to abide by British law and British Standards, or kiss goodbye to any trade deal”. Trade Secretary Liam Fox caused division in the cabinet when he defended chlorine washing on health grounds. Defra Secretary Michael Gove stated that the cabinet remained opposed to the practice when it came to animal welfare standards. Liam Fox has since clarified to the Grocer that “this Government cannot be clearer, we will not compromise the UK’s high standards in any future trade agreement”.

Whitehall sources recently revealed that for at least nine months Britain will unilaterally agree to follow all European Union food safety and animal health regulations in the event of a no-deal Brexit. Defra secured clearance for the plan from the cabinet committee in what has been called a clear signal by the UK to remain aligned with EU standards and not those of the US.

Seasonal workers pilot begins
Non-EU seasonal workers can now apply to work in Britain. The Home Office pilot will provide 2,500 places for agricultural workers who will arrive in spring. The scheme was announced in September 2018 to reduce labour shortages faced by the agricultural industry. Minette Batters, NFU president, said it was a “major victory” but the small number of places permitted is not expected to be enough to resolve the issue. The scheme will run until the end of December 2020 when it will be reviewed.

POLICY

Farming Minister resigns
George Eustice resigned from his position as Farming Minister following the decision to allow a vote on a potential postponement of Brexit. He argued that the UK must “have the courage, if necessary, to reclaim our freedom first and talk afterwards”. Mr Eustice said that while he would support the Prime Minister’s Withdrawal Agreement, he wanted to be “free to participate in the critical debate that will take place in the weeks ahead”. The CLA was “saddened” to hear of his departure and said he had been a “strong voice on behalf of the farming industry” as well as a “key ally at this critical time”.

Robert Goodwill, MP for Scarborough, has replaced Mr Eustice as Farming Minister. Mr Goodwill farms 250 acres of mainly arable land which has been in his family since 1850. He received a Bachelor of Science degree in agriculture in 1979 from the University of Newcastle-upon-Tyne. Unlike his predecessor, Mr Goodwill backed remain in the EU referendum but has been described as a “staunch Eurosceptic”. The NFU said it would be stressing to the minister “the importance of having food production at the heart of new policy”.

Defra’s top civil servant to leave
The top civil servant at Defra is to leave the department at the end of March and take up the position of Permanent Secretary at the Department for Exiting the European Union (DExEU). Clare Moriarty had been Permanent Secretary at Defra since 2015. Until a permanent replacement is selected, Tamara Finkelstein who is currently leading on Defra’s Brexit preparations, will become acting Permanent Secretary at Defra. With Defra staff and resources already under increased pressure due to Brexit, it will be important that this leadership change is well managed.

Pheasant shooting ban in effect
A ban on game bird shooting on Welsh public land is now in force. Its introduction follows a three-year campaign by the League Against Cruel Sports which won the support of a government minister and civil servants. The Countryside Alliance maintained its opposition to the decision and has said it will “inevitably mean the loss of jobs”.

ENVIRONMENT & NATURAL CAPITAL

Decarbonising land use
The Green Alliance think tank with support from the National Trust, has published a report which explains how its Natural Infrastructure Scheme (NIS) concept could help decarbonise land use. It argues that offering land based carbon credits alongside other marketable benefits, through the NIS mechanism, will increase both the number of projects that can contribute to climate change mitigation, as well as the environmental value of privately funded schemes which help to deliver the goals. In essence a project focussed on altering land management to reduce flood risk, is likely to adopt the most cost effective method for that outcome, however it could be the case that a more expensive solution would deliver greater environmental benefits. The Green Alliance proposes that a funding framework which includes additional contributions from the sale of carbon credits could help boost the environmental value of projects and also improve the viability of projects which would otherwise be judged financially unviable.

£1 billion investment scheme for Scotland’s natural environment
The Scottish Conservation Finance Project’s £1 billion challenge aims to drive investment into Scottish nature conservation. Public bodies, non-profit organisations and private firms will be encouraged to invest in Scotland’s stocks of natural capital in ways that will deliver significant environmental, social and economic benefits, as well as returns for investors. In part the concept is that insurers and housebuilders would pay towards restoring wetlands and planting woodlands, which would reduce flood risk and save them money in the long run. The initiative is being led by the Scottish Wildlife Trust (SWT) and the Scottish Environment Protection Agency (SEPA). Jo Pike, deputy chief executive of the SWT, said the scheme was at the “cutting-edge” of combatting environmental threats and that it is “probably more likely to succeed than at any time in the past”.

Deal to boost offshore wind
The Government has confirmed a deal with the wind power industry which will ensure 30% of electricity will come from offshore wind by 2030. Offshore wind currently generates 6.2% of UK electricity demand but surprising decreases in costs are anticipated to fuel the future boom. There are concerns about where the remaining 70% of the UK’s future electricity demand will come from. Nuclear power was expected to generate 30%, but plans to expand the sector are encountering some difficulties. Another 30% was to be derived from gas power stations fitted with carbon capture technology but only one plant is planned at a commercial scale. Our recently launched Energy Spotlight (click here to view) looks at the opportunities a move towards smaller, renewable sources together with the need for a capacity market are providing across the UK.

Scotland: Beavers given protected status
Eurasian beavers will be added to the list of species protected by Scottish law. From 1 May 2019 shooting will only be permitted under licences managed by Scottish Natural Heritage and issued in accordance with the law on European Protected Species. Roseanna Cunningham, Environment Secretary in Scotland, said “there are few species that have such a significant and largely positive influence on the health and function of our ecosystem”. She acknowledged that beavers could have a “significant impact on farming” and as such the Government had been “working closely with farmers and partner agencies”. After becoming extinct in the 16th century, 16 were introduced to the Knapdale Forest between 2009 and 2014; the population is now around 500.

Green campaign renamed and relaunched
Championing the Farmed Environment (CFE) will promote the environmental benefits that farming can deliver. The partnership between the NFU and CLA was launched in 2009 and formerly known as the Campaign for the Farmed Environment. This year, a new website will set out how farmers can produce environmental benefits while sustaining a profitable business. Laura Harpham, CFE project manager, said “the name change is a great opportunity to celebrate the work farmers who are already engaged with CFE are doing”.

Ash dieback spreading more quickly than anticipated
Ash dieback caused by the fungus Chalara fraxinea is spreading more quickly than experts anticipated. A survey in 2018 found that based on 10km grid squares, 80% of Wales has confirmed infections, 68% of England, 32% of Northern Ireland and 20% of Scotland. With high levels of infection in Wales, the Welsh Government is setting up an expert group.

PROPERTY & DEVELOPMENT

England: ‘Right to rent’ breaks human rights
Rules preventing illegal immigrants from renting property, breach human rights laws according to the High Court. The ‘right to rent’ scheme introduced in England in 2016 requires landlords to check the immigration status of tenants. Mr Justice Spencer said the discriminatory effect “significantly outweighed” any control the scheme had on immigration. The Government responded by saying it is “committed to tackling discrimination in all its forms and to having an immigration system which provides control”. The Home Office has been granted permission to appeal and is considering the judge’s comments; in the meantime the policy remains in force.

Flooding and coastal risk management over the next 50 years
The Environment Agency has published a new economic assessment to aid planning for flooding and coastal risk management over the next 50 years. It estimates that an average annual investment of £1 billion will be necessary up to 2065. At present £2.6 billion is being invested over the period 2015 to 2021. The Environment Agency calculates that the cost benefit ratio of its new £1 billion per annum estimate is 9 to 1, meaning for every £1 spent on protecting communities, around £9 in property damages and wider impacts would be avoided.

Woodland Trust must sign gagging order
The Woodland Trust must sign a non-disclosure agreement if it wants to see plans for a new train line which could cut through five of its sites. East West Rail (EWR) is planning a line between Oxford and Cambridge as part of the £5.5 billion growth arc scheme, which is likely to pass through ancient woodland. Although the project is out for consultation, the Trust says it cannot give an opinion without knowing the full extent of the plans. Abi Bunker, Director of conservation and external affairs for the Woodland Trust, said “EWR’s decision makes a mockery of the planning process” and added “it is simply unacceptable to hold back important information from a public consultation”.

BUSINESS & ECONOMY

VAT returns go digital in one month
Making Tax Digital (MTD) will be introduced in one month; it applies to all 1.2 million VAT registered businesses with a turnover above £85,000. So far only 30,000 businesses have signed up. Under MTD, these businesses must use approved software to prepare and submit their VAT return for VAT periods from 1 April 2019. The Government intended for the new system to reduce administration time and improve the accuracy of VAT returns. Some businesses have complained that the change is proving so complicated they are being pushed towards collapse and are putting pressure on the Chancellor, Phillip Hammond, to delay the move. Lord Forsyth of Drumlean, Chairman of the Economic Affairs Committee said the introduction is “being rushed and will result in extra stress on business”. He also pointed out that “this is being done at the very moment when we’re leaving the EU and there’s enough uncertainty as it is”. Longer term the Government plans to expand the remit of MTD so that it replaces self-assessment tax returns.

Report on rural shops
37% of the UK’s 46,262 convenience stores can be found in a rural setting according to the Association of Convenience Store’s 2019 Rural Shop Report. 55% of the rural stores are isolated with no other retail services nearby and only 13% are part of a larger parade or village centre. The majority (77%) are operated by their owners. Rural convenience stores are an important asset to many communities; 22% of customers visit every day. One in five would have to travel more than five miles to get essential groceries if their local store closed. There are 346 community owned shops trading in the UK, run by over 10,000 volunteers.

OTHER RURAL NEWS

Green spaces linked to better mental health
Growing up with green surroundings greatly reduces the risk of children developing mental illnesses later in life. A study tracked almost a million people and found those who grew up with the lowest amounts of green space were up to 55% more likely to develop mental illness. The research showed that a child’s environment was as important as family history of mental illness and almost as important as their parents’ socio-economic status. There is also evidence that growing up in greener environments and spending time outside develops a stronger immune system which is linked to improved mental health. In 2018 the Health Secretary promised £4.5 million for social prescribing, which can play a role in mental health treatment. The NHS has included social prescribing for over 900,000 people in its long term plan. This presents an opportunity for rural landowners to develop offerings such as outdoor gyms, animal assisted therapy, and social and therapeutic horticulture to benefit from the emerging market in “social prescriptions”. Savills Research recently produced a briefing note on this topic; if you would like to discuss further please contact Joe Lloyd.

New course in precision technology
The Farmer’s Livery Company has launched a course in association with Harper Adams University which focuses on precision farming. The Adopting Precision Technology in Agriculture course will run over three weeks, including a week in the Netherlands. The course aims to bridge the gap between research and on farm adoption of the technology. Click here for further details.

And finally… salting roads with food by-products
Did you know that food by-products are used to help keep our roads ice free in winter? In the UK and USA molasses from sugar production is mixed with rock salt, and makes it more effective at lower temperatures. The Americans also use cheese brine which contains both salt and organic compounds which enhance the ice melting ability of the salt.