Sharma and the Agri-Brigade: bureaucrats and white collar workers lacking all essential survival skills, undermine food producers
In England, many organisations ostensibly concerned with the prosperity of farmers hold endless conferences. Analyst Devinder Sharma notes that, in India, agricultural universities, research institutes, public sector units, and other organisations also frequently gather to talk about ways to improve farmers’ income.
He comments sardonically that while the number of seminars/conferences on doubling the farmers’ income have doubled in the past few months, farmers increasingly sink into a cycle of deprivation.
As he points out, in both countries those who talk of allowing markets to provide higher farm incomes are the ones who get assured salary packets every month – we add that in England some are even paid from a levy on farmers.
The British farming press is now pointing out that large numbers of the UK’s 86,000+ family farmers are facing a threat from the government’s new universal credit (UC). If administered as currently designed, it will have a devastating impact on many of the UK’s most economically vulnerable family farms.
Universal credit will be ‘rolled out’ regionally by the DWP to cover the whole of UK by 2022 – calculated on monthly rather than annual income and it will assume that farmers have a “minimum income floor” which assumes that all applicants earn a wage equivalent to the national minimum wage of about £230 a week which is not the case. Private Eye (The Agri Brigade column) comments:
“None of this is remotely appropriate for farmers, and it shows the folly of trying to introduce a single universal form of income support for all.
On many family farms, where one or two people may work up to 250 acres, there is often no income for up to 10 or even 1 I months in a typical trading year. The sale of a crop of lambs, cattle or grain (or receipt of an EU subsidy) means revenue is raised in just one or two months of the year so the DWP’s assumption of a “basic income floor” each month doesn’t apply. There are also fears that receipts by claimants that rake their income above the basic floor in some months will disrupt entitlement to UC in subsequent months. (And farming losses in some months cannot be offset against a profit in others)”
Shades of the I, Daniel Blake experience:
When the UC administered by the DWP comes into force, skilled hard-working farmers will have to visit unfamiliar Job Centres to register for the benefit. ln addition. They will have to undergo face-to-face interviews over their eligibility for UC and be allocated a work coach to advise them on how to improve their access to better paid employment. Given the difficulties it seems certain many family farms currently claiming tax credits (administered by HMRC) will not apply for universal credit despite their poverty.
An unworkable system
Farming UK reports that a spokesman for the Ulster Farmers Union said: “UC makes it impossible to use prospective incomes or losses, which is often what farmers depend on. The fact that farming is seasonal where there will be long periods of time when a farmer will make a loss in expectation of more profitable times at some other stage during the year. In addition, having to do monthly real-time accounts is an extra burden upon farmers, in an already hard-pressed industry, and to hire someone to prepare these accounts would be an extra expense”.
As the title has it: “bureaucrats and white collar workers lacking all essential survival skills, undermine food producers”.
Posted on March 1, 2017, in Agriculture, Civil servants, Economy, Food, Government, Inequality, Parliamentary failure, Planning, Politics and tagged DWP, HMRC, tax credits, universal credit. Bookmark the permalink. Leave a comment.