1st Report - The Government’s vision for farming
Select Committee
Environment, Food and Rural Affairs Committee
HC 906
16 May 2025
Recommendations
4 results
6
Acknowledged
Require Government to consult stakeholders and clearly communicate ELMS future direction
Recommendation
A transparent policy on the direction of the Environmental Land Management Schemes (ELMS) and other subsidy arrangements is crucial. If the Government is serious about improving ELMS outcomes it must consult with stakeholders and communicate its plan clearly. Confidence in …
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Government Response Summary
The government acknowledged the need for a transparent ELMS policy and clearer communication, stating they will continue to provide details on schemes and evaluate communications using an established framework.
14
Acknowledged
Defra's poor communication and last-minute decisions erode trust in farming sector
Recommendation
The experience of the Sustainable Farming Incentive 2024 (SFI24) closure follows a pattern within Defra of poor communication and last-minute decision-making following rumours and Departmental leaks. As with the sudden closure of the Capital Grants scheme in November 2024, the …
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Government Response Summary
The government acknowledged the committee's concerns regarding the closure of the Capital Grants scheme without notice, stating that all communications are evaluated using the Government Communications Service Evaluation Cycle. However, they only committed to aim to give reasonable notice for future scheme closures, with a caveat that it 'may not be possible'.
15
Acknowledged
Improve Defra's proactive and transparent communication with Parliament and arm's-length bodies.
Recommendation
We are thankful to the Secretary of State, Ministers and Officials for engaging with our Committee, but we urge Defra to improve its communication with Parliament and be proactive and transparent in its communications. Similarly, communications between Defra and its …
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Government Response Summary
The government agreed on the importance of parliamentary scrutiny and committed to ongoing work to improve parliamentary capability, outlining existing protocols for information sharing within Defra and with arm's-length bodies and committing to regularly review communication protocols.
17
Acknowledged
Establish protocols for Defra's professional information sharing and investigate policy leaks.
Recommendation
Defra should ensure that operational and policy decisions are clearly communicated to its arm’s-length bodies and the farming advice service in advance of them being made public. It should investigate the causes of the leaks of its proposed changes to …
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Government Response Summary
The government outlined its existing protocols for sharing sensitive information with arm's-length bodies and the Farming Advice Service in advance of public announcements, stating they regularly review these communication protocols. However, it did not commit to investigating the causes of leaks or providing details of revised protocols.
Conclusions (4) Observations and findings — click to expand
2
Conclusion
Acknowledged
The Government has made several significant farming policy announcements or sector interventions since the election. This is an impressive list of initiatives that the Defra Secretary has recognised should be part of an ‘interlocking jigsaw’. We are concerned, however, that certain high-profile policies have been announced prior to the completion …
Government Response Summary
The government commits to considering the Committee’s analysis and recommendations when developing plans for the reformed SFI offer, with more information expected later this summer. The response also details past and present management of the SFI scheme, including its closure and reopening for some applicants.
7
Conclusion
Acknowledged
An alternative funding mechanism should be put in place to fill the gap in funding for those who missed out on the SFI24, no later than September
Government Response Summary
The government's response did not address the specific recommendation for an alternative funding mechanism for SFI24. It broadly acknowledged the importance of parliamentary scrutiny and stated it will continue to take recommendations into account in future work.
9
Conclusion
Acknowledged
We support the Government’s objective of reforming Agricultural Property Relief (APR) and Business Property Relief (BPR) to close the loophole that encourages wealthy investors to buy agricultural land to avoid inheritance tax. We recognise longstanding concerns that these reliefs are being used by individuals to shelter wealth and are affecting …
Government Response Summary
The government acknowledged the committee's support for the reforms to Agricultural Property Relief and Business Property Relief, confirming that the changes will take effect from April 2026 as previously announced.
10
Conclusion
Acknowledged
We are concerned, however, that no consultation, impact assessment, or affordability assessment was conducted before the announcement of the reforms. The lack of proper evaluation of the impact of these changes means that the scale and nature of its impact on family farms, land values, tenant farmers, food security and …
Government Response Summary
The government acknowledged the committee's concerns regarding the lack of consultation and impact assessment prior to the reforms, but reiterated that the changes to agricultural and business property relief will take effect from April 2026, referencing previous engagement with stakeholders and its own analytical basis.