Policy Research

Public Goods and Public Intervention – Thematic Working Group 3

European Network for Rural Development, with IEEP, 2009-10

This project involved a baseline review of how Member States and Regions across the EU-27 state they are intending to deliver a range of environmental and social public goods associated with agriculture through their Rural Development Programmes over the period 2007-2013. Our work has involved analysing data and contributing the production of overview and analytical reports. We anticipate undertaking further related work for the ENRD with IEEP in forthcoming years.

Cotswold sheepThe Future of Farming and Forestry in the Cotswolds

Cotswolds Conservation Board, with LUC and RAC, 2009

This study explored the potential impacts of climate change and globalisation on farming and forestry in the Cotswolds AONB. It identified a number of scenarios and their probability and assesses the consequences for the special features of the AONB. Policies and actions to promote and guide change in farming and forestry are recommended. The research involved analysis of up to date data and literature, workshops with farmers and foresters, and scenario modelling. The report can be viewed at http://www.cotswoldsaonb.org.uk/userfiles/file/Publications/Final%20Report%20September%2009.pdf

Cross Compliance Consultation: Analysis of Responses

Defra, with IEEP, 2009

This project involves the analysis of responses to Defra’s 2009 cross compliance consultation, working as part of a broader team led by IEEP. Areas covered by the consultation include recapturing the environmental benefits of set-aside, introducing a new GAEC standard covering buffer strips next to watercourses and a number of changes to existing cross compliance standards. Aside from analysis of responses, our work involves the design of the database for analysis and the logging of responses.

Hill Farming Systems in South West England: Economic Viability and the Delivery of Public Goods

Duchy of Cornwall and Dartmoor and Exmoor NPAs, with University of Exeter and Duchy College, 2008

This research was undertaken to inform a review of the future viability of hill farming systems in the South West England. It drew on Farm Business Survey data and considered the economic performance of hill farms pre-SPS and post-SPS, using various scenarios to the period to 2012. It also considered the impacts of potential changes in public support over the period. The report can be viewed at http://www.dartmoor-npa.gov.uk/laf-full-report.pdf.

Impacts of Single Payment Scheme on Woodland Expansion

Woodland Policy Group (Land Use Policy Group), 2008

This project explored the extent to which the Single Payment Scheme (SPS) introduced in 2005 has encouraged or discouraged woodland expansion on farmland in the UK. The study looked at SPS eligibility, cross compliance and permanent pasture rules as well as the interface between SPS and agri-environment/woodland schemes. Recommendations were made to overcome potential SPS and other barriers to woodland expansion on farmland including actions at country, UK and European level. The report can be viewed at http://www.lupg.org.uk/Default.aspx?page=142.

Taking a Strategic View of Land Use: A Policy Options Paper

Environment Agency, 2008

This project assessed the key future land use issues for England and Wales over the next few decades and proposed a limited number of new policy options to manage the challenges ahead. These policy options were appraised and then considered in the context of the Environment Agency’s 2030 scenarios. The intention is to enable the Environment Agency to plan more effectively how it might influence land use and land use policy under different policy climates.

Evaluation of the Environmental Impacts of Milk Quotas

European Commission DG-Agri, with Alliance Environment and IEEP, 2007-2008

The aim of this major project for the EC, was the evaluation of the environmental impacts of milk quotas. This was the sister project to the earlier evaluation covering the EU beef and dairy regimes. The evaluation covered all Member States over the period 1988 to the present day and focused on the impacts of the different systems of application of the milk quota system in Member States. The study is important given the proposed phasing out of milk quotas as set out in the CAP Health Check. We were involved with the overall evaluation as part of the ‘expert group’ as well as being responsible for the Ireland case study.

Arable landFunding for Farmland Biodiversity in the EU

RSPB, with IEEP, 2007

This project aimed to provide RSPB with information to influence the EU Budget review in 2008-9 in order to secure a better match between the funding requirements for reversing farmland biodiversity decline, in particular farmland birds, and the targeting and efficiency of EU funding streams. Our work involved a spatial analysis of EU spending on land management and biodiversity, a review of biodiversity data, GIS mapping, comparative analysis, and the development of policy recommendations. In addition to providing an EU overview, a number of specific countries were examined as case studies.

Set asideCross Compliance – A Policy Options Paper

Land Use Policy Group, 2007

The aim of this project was to provide the Land Use Policy Group with policy options for the future of cross compliance. The paper summarised the rationale and context for cross compliance, the different approaches used by Member States, research findings on the environmental benefits and dis-benefits of cross compliance and the added value provided by cross compliance alongside existing regimes and programmes. Policy options for the development and evolution of cross compliance were then provided covering the short, medium and long term. The long term options covered the situation in which Pillar 1 of the CAP is substantially reduced or removed and Pillar 2 dominates. The paper can be viewed at http://www.lupg.org.uk/pdf/pubs_07Crosscompliancefinalreport_June07.pdf.

Set asideRetaining the Environmental Benefits of Set-Aside – A Policy Options Paper

Land Use Policy Group, 2007

This project summarised set-aside policy, its development, its benefits and dis-benefits. In particular it gave evidence of the need to retain set-aside for biodiversity, water and climate change. The project assessed the current and future drivers of change, particularly the desirability/likelihood of biofuels being grown on previous set-aside land. The project provided policy options for retaining the environmental benefits of set-aside, explores the mechanisms available (regulation as well as incentive) and considered the public cost of these. The paper can be viewed at http://www.lupg.org.uk/pdf/pubs_Retainingenvbenefitsofsetaside07.pdf.

Dairy cattleEvaluation of the Environmental Impacts of the EU Beef and Dairy Regimes

European Commission DG-Agri, with Alliance Environnement and IEEP, 2007

The aim of this challenging, major project for the EC, was the evaluation of the environmental impacts of CAP measures and direct support measures relating to the beef and veal sector and the milk sector. The evaluation covered 15 Member States over the period 1988 to the present day. We were involved with the development of the evaluation methodology as part of the ‘expert group’ as well as being responsible for the Ireland case study. The report can be viewed at http://ec.europa.eu/agriculture/eval/reports/beefmilk/index_en.htm.

Integrated Farm Management

Defra, 2006

This project involved the provision of advice on Integrated Farm Management (IFM) to Defra on a call-off contract. The aim of the work was to identify opportunities and pitfalls relating to Defra’s support of IFM, refine ways in which IFM could be supported at farm-level and wider and gain the views and engage support from external stakeholders.

MoorlandResearch into Tenant Incomes

Yorkshire Water Services Ltd, 2006

This research provided a quick and high level assessment of the impact of the Common Agricultural Policy (CAP) reform and other recent/anticipated policy and market changes on the incomes of YWS tenants. The work involved a literature review and economic analysis of the impact of different future scenarios on characteristic farm types, including SDA and DA livestock farms. The sensitivity of income changes to key variables such as the proportion of land above the moorland line, stock type, stocking rate, agri-environment scheme participation/eligibility and size was also explored prior to making recommendations for future action.

Set-Aside Management and Cross Compliance Conditions in France and Germany

Defra, with CCRU, 2006

This research reviewed set-aside management rules and cross compliance ‘Good Agricultural and Environmental Conditions’ in France and Germany, and compared them with the position in England. It then assessed the extent to which the two sets of conditions are co-ordinated or streamlined, with a view to shedding light on the potential to simplify the systems currently in place in England.

Analysis of Scenarios of Co-financing and Voluntary Modulation

Defra, with IEEP, 2006

This project analysed the impacts of different scenarios of co-financing and voluntary modulation (VM) in terms of farm production decisions, farm restructuring, agri-environment scheme participation and environmental impacts. The scenarios explored ranged from the present day baseline of 7.5% VM and match funding to 20% VM and no match funding. The work involved a literature review, in house analysis and a workshop involving independent policy experts.

A hill farmAssessment of the Impact of HFA Policy Options on Upland Farms and Land Use in SDAs and DAs in England

Defra, with IEEP and CCRU, 2005-2006

This research assessed the potential impacts of different policy options for hill farm support. These include farming, land-use and environmental changes. Regional differences were identified. This work will feed into the review of support for upland farmers and a parallel study, ‘Economic valuation of environmental impacts in the SDAs’. Our report is available at https://statistics.defra.gov.uk/esg/reports/cap%20uplandfarms%20report.pdf.

Price Elasticity of Demand for Nutrients Use (N&P)

Environment Agency/Defra, with Ecotec, 2005

Research into the short term and long term elasticities of demand for Nitrogen and Phosphorous in fertilisers and animal feed. We provided specialist agricultural input to this econometric study including information on key agricultural sectors and management practices.

A Forward Look at the Reform of the Common Agricultural Policy and the Implications for the Heritage Lottery Fund

Heritage Lottery Fund, 2005

This study assessed the implications of CAP reform and associated agri-environment scheme changes across the UK for HLF funding. It included a consideration of the potential impacts on the Heritage Grants and Landscape Partnership Schemes.

Cross Compliance: Regulatory Impact Assessment

Defra, with IEEP, 2004

Prior to the launch of the Cross Compliance Handbook for England, we contributed to the regulatory impact assessment of the cross compliance options under consideration and the analysis of responses to the consultation. Stakeholder meetings were held to scope options and refine guidance for farmers.

Irish landscapeRecommendations for Land Use Policy Changes in Northern Ireland

Environment & Heritage Service, with RPS and RAC, 2004

This project provided an informed overview of the biodiversity effects of agricultural policies in Northern Ireland, both positive and negative; highlighted areas where current policy does not address identified problems; and made recommendations for change. We provided specialist advice on agricultural policy, markets and environmental protection, working as part of a multi-disciplinary team.

UK Impacts of Reforming the EU Sugar Regime

Defra, with University of Cambridge and RAC, 2004

This study made a detailed assessment of the economic, environmental and social impacts of reforming the EU sugar regime on the UK sugar beet sector. Three scenarios were considered including quota cuts and price cuts (two options). We contributed to the environmental impact assessment, focusing particularly on land use and soils, and waste and water. The report is at http://statistics.defra.gov.uk/esg/reports/sugar/default.asp.

Revealing the Value of the Natural Environment in England

Defra, with GHK, 2004

This study summarised the evidence of the role that the rural environment plays in the English economy. In addition to reviewing previous studies, it presented overall estimates of the significance of different environment-related activity to the economy nationally. The study also reviewed evidence of the value of the environment to society.

The Impacts of CAP Reform on Diffuse Water Pollution from Agriculture

Defra, with IEEP, 2004

A study to map out the likely potential impacts of CAP Reform on diffuse water pollution from agriculture, including N&P, siltation, organic wastes, esticide use, veterinary medicines and micro-organisms.

Potential Environmental Effects of CAP Reform

Defra, with IEEP, 2002-2003

A series of four studies to map out the likely potential environmental impacts of the CAP Reform proposals and the final agreement and to provide an indication of the probable direction and magnitude of any environmental change, based on best available information.

Impacts of Birdlife International CAP Reform Proposals on Farms across EU

RSPB/Birdlife, 2002

This report assessed the impacts of Birdlife’s CAP reform proposals on key agricultural sectors across the EU. 8 case studies in the UK, France, Spain and Sweden were undertaken to explore the impacts on: farm incomes, decision-making, structural changes and the broader rural economy.

Policy Mechanisms for the Control of Diffuse Agricultural Pollution with Particular Reference to Grant Aid

English Nature and Environment Agency, with IEEP and ADAS, 2002

A study to assess the potential of various policy mechanisms to implement practical management measures to control diffuse agricultural pollution. The use of grant aid to help control diffuse agricultural loads in the UK and abroad was reviewed and practical proposals were made for new grant aid including indicative costs and the role of supporting policy mechanisms.

Area Payments under the EU Livestock Regimes

English Nature, 2000

The aim of this work was to present and analyse a range of new approaches to area based payments in the livestock sector in place of existing headage based systems. A number of different scenarios were considered and economic and environmental impact assessments were undertaken.

Maintaining Farm Incomes in Less Favoured Areas

English Nature, 2000

Following the introduction of the Hill Farm Allowance, this study examined what positive steps can be taken by farm businesses to adapt to the new subsidy regime and maintain or enhance net farm incomes. Three case study farms were examined. Current and future financial prospects, and potential business strategies were explored.