What recent discussions she has had with her colleagues in other Departments on the co-ordination of rural development. [148770]

I chair the ministerial rural affairs group, which provides a forum for discussions with colleagues on rural development and other issues.

I am grateful to the Minister for her reply, but what has happened since the establishment of the Cabinet committee on rural affairs? How often has it met? Does it recognise that there is an urgent crisis in rural areas? What action is it taking with other Departments to address the fact that small family farms are going out of business in their droves? After all, they are the bedrock of rural life in this country and they deserve better treatment. How is the Cabinet Committee addressing that issue?

The ministerial rural affairs group is co-ordinating rural policy and rural proofing to ensure that Departments consider the impact of their policies on rural areas, that the policies work as effectively as possible to support rural life, and that a joined-up approach is taken to tackle the problems faced by rural communities. The hon. Gentleman refers specifically to small farms. We have put £1.6 billion into the English rural development programme, which will provide vital support to help farmers to play a role in diversifying their production in the economy.

Does my right hon. Friend agree that, although the initiatives on farms from the Ministry of Agriculture, Fisheries and Food and on village post offices from the Department of Trade and Industry have played an important part in assisting rural regeneration, local authorities are the principal agents of joined-up government in rural areas? Will she evaluate whether this year's well above inflation settlements for local authorities have gone a long way to improve the co-ordination of service; in rural areas?

The additional funding for local authorities will help co-ordination and delivery in rural and urban areas and is a welcome development, so efforts are already being made in relation to rural areas. We have put an extra £239 million into transport, with an extra £15 million in parish funds for community-based solutions. Alongside the £37 million in extra funding for market town regeneration, that shows that we are making noticeable progress. It should be compared with the Tory party's record in government, when 30,000 post offices were closed, one in four parishes were without a bus service and 30 village schools close d each year. I hope that the hon. Member for New Forest, East (Dr. Lewis) bears that in mind before he asks his question.

Is it not a fact that the only real rural co-ordination going on at the moment is the massive co-ordination for the even more massive march that will be held on 18 March to protest about the way in which the Government keep attacking the rural way of life and neglect totally the problems of the countryside?

If the hon. Gentleman's party had not neglected rural areas when in power, the anger would not be so great. We inherited one in four parishes with no transport; 3,000 schools closing; a transport system that was not working; and village schools that were closing. In comparison, we have put money into transport and given a 50 per cent. rate relief to village shops, pubs and garages—which are crucial to communities—and £40 million extra to support small schools, and there is an affordable house scheme. We are concerned about rural areas and we are making a difference. Yes, people are unhappy because we are having to make a lot of progress very quickly, given what we inherited from the Conservative party.

My Constituency has rural areas to the north and west. What is the Government's commitment to rural Britain after years of neglect?

I have talked about rate relief for village shops and the money for transport and schools, but, at the same time, we are encouraging housebuilding on brownfield sites, which is terribly important if we are to have a sustainable policy to keep the green belt alive. We have saved a lot of green belt with our emphasis on building on brownfield sites. We have an area of greenbelt land the size of Bristol. All that we need to do is compare that with what the Opposition did when in government.

Has the rural affairs committee focused in its discussions on the issue of farm incomes? I am sure that the Minister will agree that many rural areas have been very hard hit by the fall in farm incomes by three quarters, so will the Government claim the agrimonetary compensation that will be available before 30 April—yes or no?

It is common practice not to discuss the detail of a Cabinet committee's discussions, but I assure the hon. Gentleman that we cover the whole waterfront in terms of rural policy. Since 1997, we have provided an extra £1 billion to help the farming industry through difficult times and, now, an additional £1.6 billion for the English rural development programme will provide vital support to help farming play a greater role in the diverse economies in rural areas.

On Europe, I assure the Minister—[Interruption.]—the Leader of the Opposition—[Interruption.] I do not know what the hon. Gentleman is.

Does it matter?

I do not think that it does.

I assure the hon. Gentleman that, in relation to Europe, we are working hard to maximise the benefits for industry, including agriculture, in this country. That cannot be said of the Conservative party.

The Minister must know from her discussions across the waterfront that farmers have been hard hit. The Minister of Agriculture, Fisheries and Food has made it clear that this is the worst agricultural recession for many years, and farm incomes are at their lowest in real terms since the 1930s. If ever there were a moment to use the resources that can be claimed from the European Community, it is now and £200 million is available before 30 April. Farmers know that the Conservatives, should we form a Government before 30 April—[HON. MEMBERS: "No."] Yes, and farmers know that the Conservatives will make that £200 million available. Will the Government do that£yes or no?

Farmers know that we have been helpful since 1997 and should compare our record with what happened before. In Europe, we are doing all that we can to help farmers to obtain the benefits that Europe offers. The Conservatives promise that the agrimonetary payments will be claimed but, if I were a farmer, I would consider how many agrimonetary payments they obtained when they were in government. The answer is none.