Brexit. Really ?

In 1926, 250g of butter cost 5p. By 2016, the same butter costs around £1.25. However, if the cost of butter had risen as fast as house prices, it would be around £25 for the same 250g. Fortunately the cost of food does not rise as fast as house prices, but it does rise slower than inflation and that is largely down to the common agricultural policy. 

The CAP has undoubtedly been a success in ensuring food security for Europe and its role in reducing the cost of food to the consumer cannot be denied. Indeed, consumers now spend only 11% of their income on food as opposed to over 30% fifty years ago. I should be very clear that I have believed for many years that UK agriculture would be better off without subsidies. It would solve succession issues at a stroke and change what is undeniably an inefficient industry into one in the same class as New Zealand’s. However, the net effect of unilateral subsidy removal in New Zealand in the mid 1980s was devastating, reducing land prices and driving some of the best, but most highly geared farmers out of business. Having been in Brussels in the week of the recent attacks and seen at first hand the infighting and politics that exist within the EU, I can understand the frustrations expressed by many. If any of you believe that the UK government would continue to support UK agriculture to the tune of 3.1bn post Brexit at the expense of the NHS, schools or anti terrorism, I certainly do not. If we think that our existing partners will rush to build new trading relationships with us after we have damaged their currency and weakened their trading position, I do not. We must remain in the EU, and work with it to reduce subsidies and tariffs.

This article first appeared in the Anglia Farmers members magazine in June 2016.