Government 'needs a laser-like focus' on rural economic growth, says CLA, as review announced

Defra appoints economist for internal review, in the week Labour marks 100 days in office
farm - harvest 2023

The government needs a 'laser-like' focus on rural economic growth, the CLA has argued, as it launches a review of regulations.

Defra has announced an internal review to be led by the economist Dan Corry — who led the No 10 policy unit under Gordon Brown — with a view to putting economic growth at the heart of the department’s activities.

The review, it says, will "examine whether the inherited regulatory landscape is fit for purpose and develop recommendations to ensure that regulation across the department is driving economic growth while protecting the environment".

Country Land and Business Association (CLA) President Victoria Vyvyan said:

“The countryside is full of dynamic and forward-thinking businesses. But they are being held back by a political system that treats rural areas as a museum, instead of as a living, breathing part of the economy.

"Ministers need a laser-like focus on identifying and removing the barriers to economic growth in the countryside: these include our woeful planning system, lack of affordable housing, poor connectivity and what is often an anti-business attitude among National Park authorities.

"The rural economy is 16% less productive than the national average, and closing that gap could add about £40bn to UK GVA. The government has the opportunity to unlock this enormous potential; with the right support, rural businesses can generate growth, creating good jobs and prosperity for every community.”

100 days in power

It comes as the new government marks 100 days in office, and the CLA has urged it to have a greater rural focus.

Victoria said: “This government wants to see growth, so they need policies that create the confident environment for investment. At the moment there is too much uncertainty for the short and medium term and with it a diminished appetite for risk.

“In its first 100 days the government has been keen to put economic growth front and centre of its missions, but it must not forget rural areas. Its National Planning Policy Framework proposals fail to recognise the needs of the rural economy, and overlook the opportunities for housing and farm diversification that is crucial to the sustainability of rural businesses.”