Government Announces Comprehensive Support Package for Farming and Food Sector

The government has unveiled a comprehensive package aimed at bolstering support for farmers and enhancing the UK’s agricultural and food industry today (Tuesday, 14 May).

Revealed during the Farm to Fork Summit at Downing Street, this initiative is designed to promote domestic food production, encourage innovation within the agricultural sector, and nurture future leaders in farming and food-related fields.

Central to this initiative is a newly introduced Blueprint for Growing the UK Fruit and Vegetable Sector. This document outlines strategies for the government and industry to collaborate in increasing domestic production levels and attracting investment into this significant sector, valued at over £4 billion for the UK economy.

The strategy encompasses:

• Providing the sector with access to affordable and sustainable energy and water sources.
• Simplifying planning processes to expedite the construction of glasshouses.
• Increasing investment to foster innovation, aiming to double the funding available to horticultural businesses to £80 million compared to the previous EU Fruit and Vegetable Aid Scheme.

Additionally, the Summit saw the introduction of the first draft Food Security Index, which outlines crucial data and trends to enable the government and industry to safeguard the UK’s food supply. This index will facilitate real-time monitoring of trends across the nation.

The Government also announced expanded support for farmers impacted by recent wet weather, building upon its commitment to extend the Farming Recovery Fund for those who have experienced flooding. Temporary adjustments will be implemented for farmers and land managers facing challenges fulfilling the requirements of Environmental Land Management Schemes due to poor weather conditions. Furthermore, a £75 million fund will be allocated to internal drainage boards (IDBs) to expedite recovery from winter storms in 2023-24 and modernize infrastructure that supports resilience in rural areas.

Further initiatives include government commitments to enhance fairness in the food supply chain and enforce regulations aimed at ensuring just practices in the fresh produce and egg sectors.

This second annual Summit leverages the achievements of last year’s event, fostering collaboration between the government and key stakeholders in the farming and food industry at No.10.

Environment Secretary Steve Barclay noted:

Food security is crucial to our national stability. Today’s summit is significant as it unites the government with essential stakeholders in the farming and food sectors here at Downing Street.

The announcements made today aim to accelerate the growth of our horticultural industry, supporting the development of state-of-the-art glasshouses and innovative farming methods to ensure British fruits and vegetables are available to consumers all year round.

We will persist in our investment and support for farmers to produce top-quality British food, thereby reinforcing our food security and championing innovation in the sector.

Farming Minister Mark Spencer expressed:

This government is committed to supporting British farmers. The fundamental role of farming is food production, and our farmers and food producers are dedicated to feeding the nation, even amid challenges like flooding.

Backing our farmers and food producers forms the core of our efforts, as we invest in food security and resilient farming enterprises, provide business advice, and eliminate unnecessary bureaucracy.

This is an exciting moment as we invest in innovation, ensure the sector has the necessary workforce, foster fairness within the supply chain, and attract top talent.

More Information

Building a Resilient Food and Drink Sector

The government has launched the Blueprint for Growing the UK Fruit and Vegetable Sector, which details how the government and the industry can collaborate to bolster domestic production, facilitate business growth, and attract investment into this crucial sector. The blueprint includes:

• Access to affordable and sustainable energy and water, assessing eligibility for decarbonization, waste heat, and clean energy initiatives in the horticulture sector.
• Reducing planning delays for constructing glasshouses, including reviewing current barriers, aligning the importance of the Controlled Environment Horticulture sector with new planning policies, and consulting on permitted development rights for small on-farm wind turbines.
• Investing in success with the introduction of a new Horticulture Resilience & Growth Offer that will replace the outdated EU scheme and ensure all sectors of horticulture benefit from government funding. Defra plans to increase funding for horticulture businesses to £80 million compared to the preceding EU scheme set to end in 2026, with up to £10 million allocated to support English orchard growers in acquiring essential equipment and technology.
• Creating opportunities and adding value, including initiating regulations to enhance fairness in the fresh produce supply chain, exploring support for long-term cold storage of crops, and launching the £15 million Farm Gate Food Waste Fund on 31 May 2024 to ensure edible food reaches consumers rather than being wasted.
• Developing skills and innovation in response to the Independent Review of Labour Shortages in the Food Supply Chain, by facilitating automation support up to £50 million to enhance productivity and reduce reliance on migrant labor, while improving the sector’s appeal to local workers. Additional funding will also be allocated to enhance access to more resilient crop varieties through the Genetic Improvement Networks.

Support will also be extended to farmers impacted by wet weather through various measures:

• Extending and modifying the Farming Recovery Fund to assist farmers and land managers who struggle to meet Environmental Land Management Scheme requirements due to adverse weather.
• Allocating £75 million for internal drainage boards (IDBs), with funding applications expected to commence by June.
• Continued engagement with industry representatives to address challenges faced due to wet weather.

A new Endemics Disease Scheme will be launched with over £72 million in funding to aid farmers in eradicating cattle diseases, managing pig health conditions, and addressing various health issues in sheep. Additionally, the Infrastructure Grant for Laying Hens offers financial assistance between £5,000 and £500,000 to enhance the health and productivity of poultry flocks.

Furthermore, £3 million in funding will support the establishment of new and mobile abattoirs through the Farming Investment Fund, complementing the Small Abattoir Fund initiated last year aimed at boosting the efficiency of small red meat and poultry abattoirs in England.

In addition to existing support for the Farming Community Network, the Prime Minister has announced £500,000 for charities focused on mental health in the farming community. Beneficiaries of this funding include Lincolnshire Rural Support Network, YANA, and The Farmer Network.

Legislation will be introduced to establish a mandatory scheme for sheep carcase classification and price reporting, ensuring that sheep producers receive fair compensation based on carcase quality to enhance productivity and market responsiveness.

Fostering an Innovative Food and Drink Sector

Applications for grants supporting novel nutrient management techniques will open this month.

We are launching a new round of Genetic Improvement Networks, backed by up to £15 million over five years, to advance breeding research for essential UK crops, capitalizing on opportunities presented by the Genetic Technology (Precision Breeding) Act to produce more resilient crops.

Further details on supporting horticulture’s automation uptake will be shared in light of the Independent Review into Labour Shortages, aimed at reducing the sector’s dependence on migrant labor.

Enhancing Profitability and Investment in the Food and Drink Sector

To ensure fairness in the supply chain:

• We have published a summary of responses from reviews concerning fairness in the egg and fresh produce supply chains, leading to the implementation of regulations. These will require written agreements between producers and buyers, ensuring equitable practices.
• We will expedite regulations to promote equity in the pig sector, providing stability and security through written contracts.

Richard Thompson has been designated as the Agricultural Supply Chain Adjudicator to oversee the enforcement of Fair Dealing regulations.

After consultations, the 16-week derogation period for labeling free-range eggs from hens under mandatory housing orders due to avian influenza will be eliminated, preventing unnecessary costs for farmers.

We have fulfilled our commitment from the previous Farm to Fork Summit to improve permitted development rights, facilitating farm business diversification with new changes effective from 21 May. Details of these changes can be found here.

We continue to dismantle trade obstacles for UK companies; in 2023, significant agrifood barriers were resolved, potentially boosting exports by £1.4 billion over five years. New market access has been secured for exports of poultry meat and pork to Vietnam, estimated to be worth around £25 million over the same period.

Unnecessary regulatory burdens will be lifted through consultations to revoke and amend 60 pieces of retained EU food and drink legislation.

Nurturing the Next Generation

In line with commitments from the Rock Review into tenant farming and following a call for evidence, we will appoint a Commissioner for the Tenant Farming Sector (CTFS) this autumn. This role will provide neutral and confidential guidance for tenants, landlords, and advisors facing issues of poor conduct regarding the Code of Practice on responsible behavior.

Additional Notes

The statistics regarding resolved barriers originate from the Digital Market Access Service (DMAS), which serves as a partial repository for all market access challenges encountered by UK exporters, with variable reporting rates across regions.

The £1.4 billion figure represents a sample of 15 resolved agrifood barriers in 2023 and is part of a broader aggregate released by the DBT in February 2024 in the 4th anniversary update on Brexit.

To derive these aggregate figures, mid-range estimates over five years were calculated and summed for an accurate representation. Methodology details are available in a DBT analytical working paper, noting that some estimates may be sourced from the industry.