Ann Davies

Agriculture and farming play a very important part in Welsh society, not just economically but culturally and socially. Farming families are custodians of the landscape and language in Wales, with a high proportion of them living and working in the Welsh-speaking heartlands. Agriculture is devolved, but trade deals are not, and neither are taxation and food security. Agriculture is integral to the Welsh economy, employing around 58,000 people. As the climate crisis leads to more food insecurity, supporting our farmers will be key to our future food security. Despite the importance of farming and agriculture in Wales, this Labour Government have sought to undermine our farmers with the changes announced in the recent Budget. An effective 20% tax rate on assets over £1 million may seem reasonable on paper, but as we know, most farmers are asset rich and cash poor and would be unable to pay this tax. As I mentioned last week, the average wage for an upland farmer in Wales is £18,600. About 30% of land in Wales is under some form of tenancy or let, with the majority being short term—of only a few years—under a farm business tenancy agreement. What is the Secretary of State doing to protect tenant farmers in Wales, who will be at the sharp end of this tax? The news regarding the changes in inheritance tax will be devastating to farmers, and the Government’s communication of it to the sector has been abysmal. The election of Donald Trump in the USA has reopened speculation of a US-UK trade deal. The trade deal agreements we have had with Australia and New Zealand have undermined Welsh farmers with cheap imports, and we must not allow that to happen again. All Parliaments of the UK, including in Wales, should have a deciding say on any terms of a trade deal with America, particularly those that affect Welsh farmers. For example, the previous UK Government consulted to make the country of origin clearer on food labelling, so that customers could more easily buy British produce and support local farmers. Will the Secretary of State say what progress the new Government are making in that area, and will he consider going further by ensuring that “Welsh” and not just “British” labelling is included to help customers who wish to support Welsh farmers when they are shopping?