Agriculture (Investment Incentives)

Oral Answers to Questions — Agriculture, Fisheries and Food – in the House of Commons at 12:00 am on 2nd March 1966.

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Photo of Mr Ian Gilmour Mr Ian Gilmour , Norfolk Central 12:00 am, 2nd March 1966

asked the Minister of Agriculture, Fisheries and Food if he will make a statement giving details of the new investment incentives for agriculture.

Mr. J. E. B. Hill:

asked the Minister of Agriculture, Fisheries and Food when he will announce details of the new incentives to encourage investment in agriculture; what consultations he is having with the industry; and what advice he is giving to farmers who are reluctant to invest further capital before new arrangements have been announced and passed into law.

Photo of Mr Thomas Peart Mr Thomas Peart , Workington

I would refer the hon. Members to the reply I gave on 21st February to my hon. Friend the Member for Norfolk, North (Mr. Hazell).

Photo of Mr Ian Gilmour Mr Ian Gilmour , Norfolk Central

Why is the grant being restricted to licensed tractors? Does not the right hon. Gentleman agree that the delay, obscurity and confusion which there has been over this whole matter is thoroughly regrettable and entirely unjustified.

Photo of Mr Thomas Peart Mr Thomas Peart , Workington

There was no delay on this. When the main scheme was announced, it was stated that agriculture would have to be specially considered. I immediately had talks with the National Farmers' Union and other interests concerned. The scheme itself has been welcomed by the National Farmers' Union and the C.L.A. as well.

Mr. Hill:

Is it not a fact that, rather than have this delay and uncertainty, the industry as a whole would have preferred that the old system was left as it was? Alternatively, if the Minister says that he wants to make these changes to help the smaller farmers and the farms which do not make a profit, should he not have introduced some scheme for second-hand machinery, of which that type of farm is a considerable user?

Photo of Mr Thomas Peart Mr Thomas Peart , Workington

I cannot accept that. We carefully consulted the interests concerned. I think that, in the circumstances, this is a very good scheme and I am glad that it has been welcomed.

Photo of Mr Henry Hynd Mr Henry Hynd , Accrington

Why is my right hon. Friend so hard hearted? Will he not listen to these pleas for National Assistance from the hard-up farmers?

Photo of Mr Thomas Peart Mr Thomas Peart , Workington

I do not regard this as National Assistance in any sense. I believe that the injection of capital from the point of view of farming is a good thing.

Photo of Mr Joseph Godber Mr Joseph Godber , Grantham

Can the Minister give us some total figure involved in the benefits of this and compare it with the previous arrangements? If not, would he acknowledge that, like that for the rest of industry, the benefit will be less than it was under the previous arrangements?

Photo of Mr Thomas Peart Mr Thomas Peart , Workington

I said that it was approximately the same, but it means that there is a greater emphasis within the industry.