Foot and Mouth (Rural Economy)

Part of the debate – in the House of Commons at 3:30 pm on 20 March 2001.

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Photo of Michael Meacher Michael Meacher Minister of State (Department for Environment, Transport and the Regions) (Environment) 3:30, 20 March 2001

I do not underestimate the seriousness of the situation facing many farms and non-farm businesses, especially in Cumbria. When I was in the east and west midlands on Saturday, I met many representatives of small businesses who said that turnover had dropped by 50 or 70 per cent. and, in one case, by 90 per cent. I understand the problem. The question is how we can best respond to it quickly. That is what the Government have been addressing. There is no specific panacea; the package relies on a combination of measures that give well targeted, practical, short-term and effective help to tens of thousands of firms. That is our intention.

The package does apply to towns and small settlements in the countryside. Indeed, one matter under consideration is how far we can accelerate the application of the measures in the rural White Paper, especially in regard to parishes and small village settlements and the promotion of market towns. We have provided £37 million for that purpose which, if we lever in money, could be £100 million. If we manage to introduce that money quickly enough, it, too, will be an effective measure.

We will certainly consider promoting attractions, but we believe that it is much better to allow the local tourist board, under the direction of the English Tourism Council, to receive extra funding for that purpose, which we propose to provide. That is the best way to get more people to visit attractions and it will reduce the need for direct subsidies. No one wants subsidies; people just want to return to norma1 business. Carefully targeted extra funding can achieve that.