A new Bill has entered Parliament with the ambition of ensuring fairer pricing for farmers.

The Food Products (Market Regulation and Public Procurement) Bill proposes measures to protect farmers from unfair pricing practices by large corporations and intermediaries, ensuring they receive a fair share of profits for their produce. This came shortly after Defra announced the immediate closure of the SFI for new applications. Many farmers and land managers have expressed disappointment over the lack of notice, saying the move hinders their ability to adopt sustainable practices.

The UK government has published new planning practice guidance to provide further details about the development of “Grey Belt” land within the Green Belt. In another move to speed up the delivery of new homes and critical infrastructure, the Planning and Infrastructure Bill has now been introduced to Parliament.

FOOD & FARMING

The fallout from the SFI closure continues
Defra announced the immediate closure of the Sustainable Farming Incentive (SFI) to new applications on 11 March. This decision has left many farmers and land managers uncertain about the future of farming support. The abrupt halt of the scheme may necessitate a re-evaluation of some farm businesses' long-term financial planning.

Defra Secretary Steve Reed had previously pledged his department would not “upset the apple cart” concerning Environmental Land Management, the group of schemes in which the SFI sits. NFU president Tom Bradshaw said the decision to close SFI has “blown up the apple cart”, branding the move “a stick of dynamite that has destabilised an already fragile sector”. Farmers and industry bodies have also expressed disappointment that no notice was given for the closure as the Defra website clearly states any changes to the scheme would be communicated with six weeks' notice. The announcement followed Defra’s release of the most recent farmer opinion tracker results, which showed 66% of farmers who answered the survey in October were not at all confident about the future of farming under Defra’s management.

Defra has cited budgetary constraints as the reason for the pause, saying it had “inherited an uncapped scheme, despite a finite farming budget”. The decision to close the SFI may have repercussions for the government, however, as the withdrawal of financial support and incentives provided by the SFI could hinder farmers' ability to adopt sustainable practices, an essential tool for achieving the government's environmental objectives under the 25-year environment plan. A new improved SFI offer will be announced in the summer before applications open in 2026. Read this blog for more information about the closure of the SFI. If you would like to discuss your options , please contact your local food and farming team.

New Bill seeks fairer pricing for farmers
The Food Products (Market Regulation and Public Procurement) Bill has been introduced to the House of Commons with the aim of ensuring fairer pricing for farmers. This Bill proposes measures to protect farmers from unfair pricing practices by large corporations and intermediaries, ensuring they receive a fair share of the profits from their produce. The Bill includes a provision to strengthen the Groceries Code Adjudicator’s remit and resources so local food procurement can be better supported and origin labelling can be enhanced. The Bill will also require better coordination between the Groceries Code Adjudicator and the Agricultural Supply Chain Adjudicator.

If progressed, this Bill could have significant implications for the agricultural sector. Fairer pricing could lead to increased profitability for farmers, allowing them to reinvest in their operations, adopt sustainable practices and improve their livelihoods. Alistair Carmichael, MP for Orkney and Shetland, introduced the Bill and said, “If supermarkets are about to embark on a race to the bottom, we can be pretty sure that it will be farmers, not company executives or shareholders, who will be expected to take the hit”. He said, “If we want to keep farming communities alive for generations to come, we need to act now to make it happen. That is why the Bill is necessary”.

Scotland: “come clean” on single malt plans
Douglas Ross, Highlands and Islands MSP demands transparency from the UK government regarding the potential approval of an English single malt whisky application. This decision, he warns, could have catastrophic effects on the prestigious reputation of the Scotch whisky industry. The government's stance remains ambiguous; Labour minister Darren Jones assured the House of Commons the definition of single malt whisky would not be diluted. Yet, a letter received by Mr Ross from Defra Food Security Minister Daniel Zeichner indicates Defra is content with the English whisky guild's application for a geographical indicator, as it satisfies all relevant criteria.

The Scotch Whisky Association states the method proposed for England is simpler than the traditional process used in Scotland. For Scotch whisky, malted barley is turned into mash, which is then fermented and distilled at a single location. The English proposal would remove the first two steps, thereby eliminating the connection to place that single malt Scotch whisky has.

Lab-grown food within two years
The Food Standards Agency (FSA) has launched a regulatory programme for cell-cultivated products (CCPs), otherwise known as lab-grown or cultured meat. This programme, funded by the Department of Science, Innovation and Technology, aims to complete the full safety assessment of CCPs within the next two years. For some time, lab-grown meat has been viewed as a potential mitigation against climate change. The meat, which is grown from cells, bypasses traditional farming techniques, bringing with it fewer environmental impacts and animal welfare concerns. Whilst the practice has been seen by many as a “solution to climate change,” it is less favoured by the farming industry.

There are concerns if the practice of growing meat in labs becomes mainstream, the livestock sector could be damaged as consumers transition away from traditional meat, taking with them demand for livestock and impacting the financial viability of running a livestock-focused farming business. In 2024, the Royal Agricultural University published a paper assessing farmer’ attitudes to lab-grown meat. The research concluded that while farmers' concerns extended beyond financial implications, cultured meat could offer advantageous opportunities under the right circumstances. Such opportunities include enhancing their competitive advantage in selling premium-quality “real meat” and generating revenue by selling animal cells.

Lab-grown meat may also not be the climate-friendly solution it is heralded to be. Research from an American university found lab-grown meat could carry a carbon footprint 25 times greater than conventionally sourced meat. 

 

POLICY

Planning and Infrastructure Bill unveiled
The Planning and Infrastructure Bill was introduced to Parliament on 11 March and aims to expedite and streamline the delivery of new homes and critical infrastructure. It supports the delivery of the government’s “Plan for Change” of building 1.5 million homes in England and fast-tracking 150 planning decisions on major economic infrastructure projects. It is also intended to support the delivery of the government’s “Clean Power 2030 Action Plan” target by ensuring clean energy projects are built as quickly as possible.

The Bill follows changes to the NPPF in December 2024, which were the first steps towards the government's “planning overhaul”. For more information about the Bill, see this blog.

“Significant change” needed to the Scottish Land Reform Bill
A report published by Holyrood's Net-zero, Energy and Transport (NZET) Committee says significant changes are needed to the Land Reform (Scotland) Bill if the Scottish Government’s policy objectives for land reform are to be met. The Bill aims to address the concentration of land ownership in Scotland through various measures, including community right to buy, the “lotting” of large estates into smaller land parcels if sold and land management plans for estates over three thousand hectares in size (one thousand hectares in island areas).

The committee raised concerns around part one of the Bill in particular - the part that deals with the management and transfer of ownership of large land holdings. It said it risks not delivering, with its approach seen as “potentially burdensome and bureaucratic”. The committee called for “processes that are as simple as they can be, are not an administrative headache, and deliver positive change for people”.

Scottish Land and Estates has responded to the report, saying it echoes its concerns that the Bill, in its current form, is “flawed” and requires “meaningful changes” to benefit rural businesses and communities and deliver positive outcomes for climate and nature.

The Scottish Government has acknowledged the feedback from the Net-zero, Energy and Transport Committee and stakeholders like Scottish Land and Estates. Rural Affairs and Islands Secretary Mairi Gougeon said: “Land reform is a journey towards greater fairness and opportunity. This Bill will strengthen the rights of rural communities by giving them greater involvement in decisions about the land on which they live and work. It will better ensure Scotland’s land is transferred and used in ways that account for local needs – supporting more diverse land ownership and ensuring a level playing field for our small landholders and tenant farmers. I welcome that the majority of the NZET committee has recommended Parliament supports the general principles of this Bill, and we will continue to work with all interested parties as it progresses”.

Additional Grey Belt guidance
The UK government has published new planning practice guidance (PPG) for local authorities to provide further details on “Grey Belt” land within the Green Belt, a concept introduced in the December 2024 National Planning Policy Framework update. Grey Belt is defined as “previously developed land or other land within the Green Belt that does not significantly contribute to the purposes of the Green Belt”. Grey Belt excludes land affected by footnote seven, which defines protected areas such as habitat sites, Sites of Specific Scientific Interest (SSSI), Local Green Spaces, National Landscapes, National Parks, Heritage Coast, irreplaceable habitats, designated heritage assets and areas at risk of flooding or coastal change.

The PPG offers further guidance on the process of assessing the Green Belt to identify potential Grey Belt sites and for considering proposals on potential Grey Belt land. Developers must demonstrate compliance with the “Golden Rules” for green belt development (see NPPF briefing note), such as providing affordable housing above the local limit and improving local infrastructure and green spaces.

ENVIRONMENT & NATURAL CAPITAL

Chicken manure can be classified as industrial waste
A high court ruling has classified chicken manure from industrial poultry farms as industrial waste, requiring detailed disposal plans to prevent environmental damage. This decision impacts new mega-farms and has broader implications for industrial chicken units nationwide. The ruling follows the £1 million funding announcement by the English and Welsh governments to investigate pollution in the River Wye, where intensive chicken farming has contributed to its declining health. Natural England has downgraded the river's condition due to high phosphate levels, largely from poultry farming and the use of poultry manure in the catchment area. The NFU’s challenge to the classification of an agricultural byproduct as waste was rejected, with the court emphasising the need for safe and transparent manure disposal plans. River Action said the decision underscored the industrial nature of intensive livestock production and its waste management requirements.

Water company fines to be used to clean up rivers
The UK government has decided to use fines imposed on water companies for pollution to fund environmental projects. The Water Restoration Fund, which has accumulated £11 million from fines, will support initiatives to improve water quality in regions affected by pollution. This comes after the Water (Special Measures) Act was passed last month to hold water companies accountable, including criminal charges for lawbreaking executives and mandatory monitoring of sewage outlets. Despite the positive steps, environmental campaigners argue the funds are insufficient compared to water companies' profits.

As part of this effort to tackle water pollution, the UK and Welsh governments have jointly announced a £1 million fund to investigate pollution in the River Wye. The research programme will study pollution sources, the impacts of changing farming practices and land uses, and ways to improve water quality and wildlife habitats. Local stakeholders, including farmers and environmental groups, will contribute to the research and work closely with established organisations, including the Wye Catchment Partnership, the Nutrient Management Board, and farming organisations like Herefordshire Rural Hub and Farm Cymru.

PROPERTY & DEVELOPMENT

Rural businesses wait years for planning permission
In some cases, rural businesses in England wait decades for planning permission. The CLA approached 38 councils in England, where over half the population lives in rural areas. Thirty-five responded to its Freedom of Information requests. The research revealed eight councils exceeded the government’s target time to issue decisions in 2023; councils are required to make decisions on minor planning applications within 56 days and major developments within 91 days. Fourteen councils are yet to rule on applications from before 2020, with some dating back to 2007. When decisions are made, several councils approve less than 50% of projects. Maldon approved just 44% of major development applications from January 2023 to June 2024, Woking approved 29% and Wychavon 57%.

Increase of domestic timber to boost the UK economy
Environment Minister Mary Creagh has confirmed the government will recommit to the Timber in Construction Roadmap, which outlines measures to increase the use of timber in the construction sector. The new Timber in Construction Roadmap outlines key actions, including:

  • Promote sustainable, low-carbon materials and account for emissions in building design and construction.
  • Delivering 1.5 million homes this Parliament with Modern Methods of Construction, including timber use.
  • Promoting timber's role in building a sustainable circular economy.
  • Boosting economic growth by creating green jobs in forestry and timber sectors and attracting investment into domestic timber and wood processing supply chains.

BUSINESS & economy

Largest English forest in 40 years approved
Nearly 300 hectares of new commercial woodland will be planted in County Durham, creating the largest English forest in over 40 years. Greencroft Forest Park on the Greencroft Estate in Lanchester will comprise 31 species and 600,000 individual trees. Sitka will be the predominant species in this new forest. The first timber harvest is anticipated in 2045, with an expected total production of 110,000 tonnes of sustainable homegrown timber during the initial rotation.

Archaeological surveys of the forest site revealed the actual route of the Dere Street Roman Road through the valley. This route will be protected and treated as a historic monument, and information boards will be installed to inform visitors. Buggy-compliant walkways will be created to provide access and connect with a broader network of cycle paths. A community and educational engagement programme, including forest schools and nature walks, will also encourage visits.

According to the latest Savills Spotlight on Forestry, new tree planting in the UK reached 20,700 hectares in the planting year to 31 March 2024. This is a 59% year-on-year increase and the first time the figure has been achieved since the 1990s. During the previous four years, the planting of new trees was comparatively steady, with an average of 13,500 hectares planted per year. The Spotlight also reports a 3% rise in the total value of UK forestry transactions to just under £104 million. Over 8,100 hectares of commercial forestry were sold across the UK during the 2024 forest year.

Food system locked into dysfunction
Over the past five years, the average income for a farmer has been £32,272. After adjusting for inflation, this is the same level as in the mid-1970s. According to a report by the Food, Farming and Countryside Commission, farmers have had to scale up or intensify their operations to maintain their living standards. Additionally, most links in Britain’s food chain are controlled by subsidiaries of global agri-business corporations, giving farmers limited bargaining power. It also mentions that although consumers may benefit from lower prices, rural communities and the natural environment pay the true cost. Furthermore, the report notes dependence on fewer larger farms and a small number of major businesses poses risks to food security and resilience.

The report recommends the government's food and farming strategies should address the issue of cheapness. While affordable food is important, political leaders must change policies to reward the production of healthy, sustainably grown food that enhances food security and resilience. It suggests focusing solely on farmers’ otherwise supply chain profits will not lead to lasting change. Action across government departments, including tax, health, trade, education, welfare and housing, is necessary.

OTHER RURAL NEWS

And finally… Beauty and the blob
The blobfish, often dubbed the world's ugliest animal, has been crowned Fish of the Year in New Zealand. This deep-sea dweller, affectionately known as Mr Blobby, grows to about 12 inches (30cm) long and serves as the official mascot of the Ugly Animal Preservation Society. Whilst the blobfish resembles a regular fish in its natural habitat, its unfortunate appearance comes with insufficient water pressure at the surface, transforming it into a mushy sea creature. The blobfish triumphed in the Mountains to Sea Conservation Trust's annual poll, with its unconventional beauty winning the hearts of voters.

 

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