Rural Affairs

Government unveils blueprint for rural prosperity

News Release 731:
28 November 2000

A five-point action plan to revitalise England's rural areas was unveiled today by Deputy Prime Minister, John Prescott, and Minister for Agriculture, Fisheries and Food, Nick Brown.

The plan, set out in a White Paper entitled 'A Fair Deal for Rural England', includes measures to:

  • deliver high-quality health, education, transport and housing services, backed up with a set of new standards by which to measure success;
  • tackle the causes of social exclusion by boosting the provision of jobs and affordable housing;
  • support the rural economy with new measures to encourage diversification; attract new businesses; and support existing shops and pubs with 50 per cent rate relief;
  • provide better protection for the countryside; and
  • give more local choice, with new powers for parish and town councils, which meet quality standards.

Commending the package to Parliament, Mr Prescott said:

"The White Paper is about tackling the real issues that matter to people - jobs, housing, health, education and transport - and giving them a real say in what is happening in their town or village.

"Our plans will deliver communities in which economic prosperity, social justice and a healthy environment go hand in hand."

Among the specific proposals are:

  • 50% mandatory rate relief reduction for village shops, pubs and garages which offer community benefit - subject to consultation;
  • £100m for one-stop primary health care centres or mobile units in 100 rural communities;
  • Revitalising rural Post Offices with £270m of investment and a formal requirement to maintain the rural network, preventing any avoidable closures;
  • £37 million extra funding for market town regeneration to strengthen their role as a focal point for economic opportunity, bringing the total programme to £100 million;
  • Continuing to tackle rural crime;
  • £240m over three years for rural transport schemes, with a new £15 million Parish Fund for community based solutions;
  • Using computer technology to connect people in remote rural areas to information, goods and services;
  • Providing 3000 affordable homes each year in small rural settlements and 9000 across all rural districts, while making better use of the planning system to secure a higher proportion of affordable homes in mixed developments in market towns and villages;
  • Proposing to give Local Authorities the discretion to end the 50 per cent discount for second homes with the proceeds ring-fenced to provide additional affordable homes;
  • More help for farm business diversification - a consultation paper on a new rate relief scheme for diversifying farmers was published today;
  • Increasing the number of farmers' markets from 250 to 400; and
  • A strengthened role for parish councils, giving local people more say in the provision of local services and an opportunity to plan the future shape of their community.

The White Paper also makes clear how the commitments will be monitored and followed through. The Countryside Agency will produce an annual report on the impacts of the major policies, new national and regional rural sounding boards will be established, and Ewen Cameron will be the new Rural Advocate to argue the countryside case at the highest level in Government and outside.

Mr Prescott continued:

"The countryside is no stranger to change. Our task is to give people the tools to respond to that challenge. This White Paper represents a new commitment to rural communities and provides the powers and resources to manage it.

"For the first time, we are publishing a Rural Service Standard, setting out minimum service standards and targets for the full range of public services, from education to health and childcare to emergency services.

"The measures set out in the White Paper show that this Government has listened to the voice of rural communities, understands their problems and knows how to deliver effective solutions."

Nick Brown said:

"What this White Paper makes clear is that farming remains central to the vitality of rural areas. Agriculture has been under tremendous pressure. Since 1997, the Government has provided £1bn in exceptional payments, over and above CAP commitments, to help the farming industry through difficult times. And the £1.6 billion England Rural Development Programme will provide vital support to help farming play its role in a diverse and successful rural economy and a properly protected countryside.

"I am glad that help is being given to the small and medium-sized abattoir sector. The Government recognises the distinctive role that many of these operations can play in the meat sector and we have responded positively to the many representations that we have received in their support. This new help - worth £8.7m - will enable the Meat Hygiene Service to implement the main recommendation of the Maclean Task Force report."

Notes to editors

1. Mr Prescott launched the White Paper in a statement to the House today.

2. The outline of key measures covered by "Our Countryside: the future" is attached.

3. The Rural White Paper and associated documents will be available on the DETR website, at
http://www.defra.gov.uk/rural/ruralwp/default.htm.

4. The Urban White Paper was published on 16 November, and is also available on the DETR website at
http://www.urban.odpm.gov.uk/whitepaper/.

5. The Task Force on Meat Hygiene Inspection Charges (The Maclean Task Force Report) was published by the Food Standards Agency on 26 June 2000. It was set up as part of the Government's Agriculture Strategy announced by the Prime Minister on 30 March.

6. A consultation paper seeking views on a proposed new rate relief scheme for farm diversification has been published today. Copies are available from the DETR website.

New Measures

Rural Services

1. Rural Services Standard setting out what rural people can expect from 21 public service providers, with commitment to service improvements, and annual independent audit.

2. Extension of the village shops 50% mandatory rate relief scheme to pubs, garages and shops which offer a community benefit. There has been an extremely positive response to consultation on this which ends on 8 December and a decision on taking this forward will be announced as soon as possible.

3. New Community Service Fund (£15m) operated by Countryside Agency, to restore basic services (shops, community facilities) in villages and small settlements.

- strengthened safeguards against closure of rural schools (September 2000) and additional funding for small schools (Budget 2000).
- reduced VAT on repair and maintenance of listed churches (10,000 in rural areas) in Pre Budget Report (PBR) November 2000.

4. Pilot of new services at rural Post Office (finance, health, community) - available in 280 offices in Leicestershire from Spring 2001 and new duty on Post Office to maintain rural network.

- £270m funding package to retain national post office network (July 2000).

5. Commitment to improved access to rural health services through mobile units or new primary care centres using video and telelinks with specialists 100 new projects, cost (£100m).

- National Health Plan (July 2000) and commitment to national health standards in all areas, and additional resources to support more local intermediate care, including cottage hospitals, quicker ambulance response times,and dentistry.

6. Improved rural policing through higher performance standards, including quicker response times, more visible policing, and better public information.

- increased resources for rural policing (£45m) announced September 2000 and greater use of rural watch schemes, CCTV and investment in new communications.

Affordable housing

7. Doubling Housing Corporation programme in small settlements and working with local authorities to give 1000 extra affordable homes each year and a total of 9000 per year in all rural districts by 2003.

- increase of £1.8bn for housing over next 3 years (July 2000) to boost Housing Corporation, local authority and housing association programmes in rural and urban areas.

8. Local authority plans to include a specific rural element in housing needs assessments and make better use of the planning system to increase the proportion of affordable housing in new developments, particularly in small settlements.

9. Consultation on giving local authorities discretion to remove the 50% discount on second homes and to use the revenues to meet local housing need.

Rural Transport

10. More flexible local transport for rural areas including a new fund to enable Parish Councils to set up social car schemes (paid lifts), taxi and community transport schemes - up to £10,000 for each council (£15m).

11. Consult on reducing regulatory requirements on bus routing (to aid flexible services) and on community transport (on use of paid drivers)

- major expansion of rural bus services (£132m) and continuation of rural bus challenge (£60m) to pilot innovative services - Transport 10 Year Plan (July 2000).
- increased funding for rural Transport Partnerships to cover all counties and encourage flexible local schemes including car clubs and community
transport £15m (July 2000).
- reduced taxation for motorists through lower fuel duties and VED reduction - PBR (November 2000).
- extending eligibility for fuel duty rebate to community transport
- safeguarding rural rail through protection of current service levels in new franchises.
- simpler system of setting local road speed limits
- new powers for local authorities to designate quiet lanes (November 2000).

Market Towns and Rural Economy

12. Increased funding for market town regeneration (£37m) expected to create (with partnership funds) a £100m programme for 100 towns, to strengthen their role as service centres and growth points, and create a national beacon towns best practice network.

- 100% capital allowances for creating flats over shops (PBR 2001)

13. New rural remit for Regional Development Agencies to help rural economies grow and respond to change in traditional industries, supporting rural enterprise.

- £500m per year increase in RDAs' annual budget by 2003-04 to benefit urban and rural competitiveness and regeneration with new budget flexibility from April 2002-03 (July 2000).

Rural infrastructure and Business support

14. Commitment to review need for an expanded Universal Service Obligation to include access to higher bandwidth ICT (high speed internet connection) in light of coverage delivered by market growth.

- Electronic Rural portal - development of a fully interactive site for farmers and rural users by end 2002 (March 2000).
- reduction in road haulage costs through lower VED and fuel duties (PBR 2000).
- tailored business advice (3 days free) for around 15000 farmers from Small Business Service (£21m) announced (October 2000).
- improved road and rail infrastructure in rural areas through the Transport 10 year plan (July 2000).

Farming

15. Additional aid to help secure the future of small and medium sized abattoirs in order to support organic, local market and other specialist producers and remote rural areas (£8.7m in 2001-2).

- additional aid to help farmers restructure and modernise £200m in 2000 - 01 (March 2000) and £300m (July 2000) in addition to annual CAP payments of £2.5 - £2.9 bn.
- abolition of VED on tractors (PBR 2000).

16. Increasing the number of farmers' markets from 250 to 400 and Countryside Agency 'Eat the View' programme to help 300 producers find new markets for local produce.

- support for marketing and promotion of speciality foods (eg £5m in Agriculture Development scheme in 2000 - 01).
- doubling support for conversion to organic farming by 2006 - 7 (£12m - 23m) within England Rural Development Programme.
- increasing environmental support payments to farmers by 50% by 2003 (£97m to £153m) within 7 year £1.6 bn England Rural development Programme.

17. Helping farmers to diversify by:

(i) doubling the farm buildings redundant building grant scheme (operated by the RDAs) from £4m to £8m.

(ii) issuing a consultation paper today on giving farmers time limited rate relief for a wide range of new small scale diversification enterprises and will be consulting on extending agricultural exemption from rates to a range of flexible farming business arrangements.

(iii) revised Planning Policy Guidance 13 to clarify advice on transport aspects of rural development proposals and a new planning policy statement to encourage good quality farm building conversion proposals.

- Energy crops scheme £30m in 7 year England Rural Development Programme to enable 25,000 hectares planting of short rotation willow or poplar coppice and miscanthus, an energy grass.

18. A DETR/MAFF review to evaluate the wider public benefits which farming and land manages provide.

19. Better regulation including a commitment to integrate on farm inspections, extend electronic data transfer and increase the number of overseas students to work on UK farms.

- Action Plan for Farming (March 2000) commitments to reduce regulatory burdens and the recommendations of the of Better Regulation Task Force report (November 2000).

Protecting the Countryside and its wildlife

20. Better assessment of the overall value of landscapes in planning decisions through new national best practice guidance.

21. Legislation to provide better protection for commons, tackle overgrazing and provide fairer and more effective system of registration and management.

- aggregates levy revenues recycled via Sustainability Fund (£35m) to deliver local environmental benefits (PBR 2000).
- increased support for countryside stewardship and for forestry and farm woodland within 2 year £1.6 bn England Rural development Programme.
- a national noise strategy, noise mapping and reduction measures to reduce impacts on rural tranquillity.

22. Commitment to prepare a Biodiversity Strategy for England drawing on increased resources for agri-environment schemes in the England Rural Development Programme

- Commitment to ensure that 95% of nationally important SSSIs are in favourable condition by 2010 and reverse the long term decline in farmland birds (July 2000).

23. Encourage the water regulators to promote more sustainable water management schemes which tackle problems closer to source, and to give greater weight to land use and land management in flood defence policy.

Access and Recreation - increased enjoyment of the countryside

24. Improving countryside around towns through a new programme of demonstration projects (£4.5m) and consultation on a revised PPG17(on sport and recreation).

- New Opportunities Lottery Fund Programme (£13m) administered by Countryside Agency to improve public green space (July 2000).
- supporting farmers on the urban fringe, for example through countryside stewardship.

25. A review of diversity and the countryside to assess how more people with disabilities, from ethnic minorities and young people can be encouraged to visit.

Local Power for country towns and villages

26. A quality status and enhanced role for parish and town councils who can demonstrate that they are well managed and have a good mandate. We will amend the Best Value regime to enable them to make proposals on service delivery where they want to do so and we will promote more county/District/Parish partnerships to enable them to manage more local facilities such as car parks and and markets.

27. A new programme administered by the Countryside Agency to help 1000 communities prepare town and village plans and national planning guidance to set out the role these can play as Supplementary Planning Guidance so as to give stronger recognition to local views and values in the planning system.

- County and District led community strategies to promote the well being of local communities.
- local strategic partnerships to bring together all service providers at local level, business and communities.
- Best Value performance indicators which include "fair access" to services.

Thinking Rural

28. New arrangements to ensure that all major policies are assessed for their impact on rural areas including an annual assessment by the Countryside Agency by Government Departments, a rural policy checklist, and the establishment of the Countryside Agency Chairman as Rural Advocate with direct access to the Prime Minister and attendance at the Cabinet Committee on Rural Affairs.

- stronger regional co-ordination by Government through creation of the regional Co-ordination Unit and the creation of integrated programmes such as the England Rural Development Programme.

29. A national Rural Sounding Board chaired by DETR/MAFF Ministers to bring together a wide range of rural organisations and individuals to provide a direct voice from rural areas at the heart of Government and supported by Regional Rural Sounding Boards to inform and monitor the regional and local delivery of policy.

30. A new set of 15 headline national rural indicators covering all aspects of the countryside and to be reported on in the annual state of the Countryside Report.

Resources

31. An additional £1bn is being allocated to specific rural and farming programmes over the next 3 years (in addition to farm price support under the Common Agricultural policy). This complements the benefits of main spending programmes for rural areas eg on health, education, and transport.

- doubling of expenditure on specific rural programmes 1996-97 (£0.6bn) to 2000-01 (£1.2bn)

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Page last modified: 19 May, 2005
Page published: 10 December, 2002

Department for Environment, Food and Rural Affairs