Defra's statement on the Pre-Budget Report
27 November 2002
Today's pre-Budget Report from the Chancellor Gordon Brown is a welcome statement for the whole of Defra from waste management to sustainable farming. Progress in these areas and others such as energy efficiency, transport and rural policy demonstrates clear commitment to the Sustainable Development agenda.
Key announcements include:
- Proposals to increase the Landfill Tax from 2005 so as to progressively
achieve the £35 per tonne recommended by the Strategy Unit report;
- Reform of the Landfill Tax Credit Scheme to help ensure effective
funding of about £100m to promote sustainable waste management,
while continuing support (of about £50m) for local community environmental
projects;
- A proposal for a 20p per litre reduction in duty on bioethanol. This
sends a positive signal in support of environmentally friendly fuel
production, consistent with other moves to a low carbon economy;
- Publication of an environmental tax strategy and commitment to publish
a paper on economic instruments in relation to agriculture alongside
the Sustainable Food and Farming Strategy. Both clearly show the Government's
continued commitment to develop market-based approaches to environmental
goals;
- Expansion of the Seasonal Agricultural Workers Scheme and increase in the 2003 quota to 25,000. This will enable the scheme to meet the needs of sectors which have not had access to it before, such as early season cut flower and bulb growers in the south west of England and the pre-Christmas trade in on-farm poultry production. This will help address concerns of farmers who have experienced problems finding short term labour.
The measures announced today should be seen against the background of this summer's spending review, which allocated significant additional resources to Defra of £500 million for investment in sustainable farming and food over the three year spending review period. The Government will be publishing its Strategy for Sustainable Farming and Food before the end of the year. The spending review also set a new rural Public Service Agreement focussed on improving productivity in less well performing rural areas and improving accessibility to key services in rural areas. For the first time the Pre-Budget Report includes a separate section on rural economies and communities which sets out what we are doing to deliver on these new targets.
Page published: 27 November 2002