Natural England

Matters Arising from the 29th Meeting of the Countryside Agency

Since January this year we have established a team of comprising 12.5 full-time equivalent posts based in 3 locations, Bristol, Manchester and Cambridge. The shape of the grants scheme that the Agency will deliver is now in place with final details regarding drawdown and end of year carry-forward expected to be finalised with DEFRA by the end of September. We will deliver a grants programme to the value of £4.8 million in financial year 2002/03 and £4.05 million in 2003/04. Our grants will be targeted at substantial projects which bring benefits to landscape and communities that have been affected by current or past aggregates extraction. We are working closely with English Nature and English Heritage who are also running similar grants programmes funded from the Aggregates Levy.

DEFRA will review the operation of the Fund during the Summer of 2003. The outcome of this review will determine the future of the Fund beyond March 2004.

We launched our Aggregates Levy Sustainability Fund (ALSF) grants scheme on 1 April with a national press release complimenting the DEFRA press release announcing the implementation of the Levy and the establishment of the Sustainability Fund. Details of the scheme, including downloadable expressions of interest forms are now available on the Agency's web site.

As well as the other Agencies we are working closely with the Aggregates Industry at both the local and national levels to gain their support for the way we are using the Fund. We are also developing strategic partnerships with Groundwork, The Environment Agency, the Council for National Parks and others to assist with the marketing of the scheme. 

Interest in our ALSF grants scheme has been strong from the start and we currently have over 100 expressions of interest and outline proposals nationally which are being developed in negotiation with prospective applicants by the ALSF team. In agreement with DEFRA we can offer grant aid up to 75% of project costs and up to a total value of £500,000 for an individual project.

The Board visit to Somerset on 17 October to look at issues linked to hard rock quarrying in that county will include a visit to prospective ALSF projects.

(Prepared by John Huntley, August 2002) 

AP01/50 New Forest Public Inquiry

Last December when agreeing to make a New Forest Designation Order the Board agreed that should a public inquiry be called into the Order it would participate to defend the boundary line shown in the Order. An inquiry was called by the Secretary of State in May 2002: see attached letter. The inquiry will commence on 8 October 2002. The Agency has as requested by the Inspector submitted detailed position papers on the designation and will in due course provide full proofs in response to each objection.

The terms of reference for the inquiry have been drawn widely. The inquiry will examine, as expected, if the boundary shown in the designation order is correct (i.e. in line with the statutory criteria for designation). The inquiry is also to consider the principle of whether designation is appropriate for the New Forest: it is not yet clear if the inspector intends this to consider any issues beyond whether the area meets the statutory criteria. DEFRA have chosen not to exclude any objections, even where the grounds for an objection are not related to the statutory designation criteria (e.g. that the boundary should be drawn at high water mark because designation is (incorrectly) perceived to interfere with fisheries interests, or to exclude land because designation may affect future development of land).The inquiry will also encompass a discussion on appropriate administrative arrangements for a National Park, including the Agency's advice on this matter. In this respect, DEFRA have acted against the Agency's advice, based on our lawyers interpretation of the 1949 Act. It is also out of step with earlier discussions with DEFRA throughout the designation process, and with precedents from other designations and boundary reviews. There is no statutory provision for an inquiry into advice given by the Agency on administration, nor into the Secretary of State's decision to establish National Park Authorities under the 1995 Act, which is subject to parliamentary scrutiny. DEFRA have however decided that as the issue is controversial in the New Forest it should be considered by the inquiry.The terms of reference for the inquiry make it clear this is a separate matter from the designation order: The Board will recall that when they decided to make the Order this was done quite separately from its advice on administration. The advice was not therefore put on deposit with the order. However a number of those objecting to the designation order have done so on the grounds that they are not happy with the Agency's advice on administration, or the arrangements of the 1995 Act. The Secretary of State has declined to give any indication of what type of arrangement she is minded to put into place. It is not clear therefore how the inquiry will be able to consider possible administration, other than by considering the Agency's advice. DEFRA have chosen not to exclude any objections on administrative grounds, even where these challenge the basis of existing legislation ( e.g. that National park Authorities are "democratically deficit" because they are not directly elected). The inquiry will also allow consideration of requests for new tailor made legislation, even though Ministers have already ruled this out. DEFRA have declined to participate in the inquiry, beyond providing a short background note to the Inspector on the New Forest designation. It thus falls on the Agency to provide information on the legislative and policy basis for administration of of National Park under the 1995 Act, and to provide evidence in rebuttal to all those who object on administrative grounds: not just to the Agency's advice, but to legislation and policy, including the overall principle of national parks.The inquiry is therefore more lengthy and more widely based than expected: this had not been anticipated in planning the Agency's resource needs. The corporate plan figure (and DEFRA's ring fenced grant in aid) for this work have been based on an estimated three month inquiry and on costs estimates for this supplied by DEFRA. From this ring fenced grant in aid the Agency is required to fund a number of the inquiry costs, e.g. venue, assessor, public notices etc., even though DEFRA have called the inquiry and the Planning Inspectorate make decisions on these matters. This has lead to some confusion as to who is responsible for what aspects of the inquiry: the Agency is not in the lead but is bearing a large proportion of costs and action. The Agency must also from this grant in aid fund the costs of its own appearance ( e.g. expert witnesses, advocates) and considerable staff time. The implications of the widened scope and inclusive approach to the inquiry described above are serious:

1. • the length of the inquiry has gone from an estimated 2-3 months to 6 months ( 8 October 2002 to end of March 2003). This means it is unlikely that the Minister will make a decision before winter 2003/04, delaying the anticipated start date for the Park to 04/05 at the earliest.
   • the Agency's programme costs for the inquiry have increased from (approximately) £400k to £650k
   • the Agency team of 3.0 FTE staff working on the New Forest are fully occupied at the inquiry for 6 months, plus 3 months preparation. There is therefore no capacity to progress projects/research in the Forest as planned in order to develop a basis for action by the National Park Authority, nor to work with local interests and DEFRA ( as they have requested) in planning transitional and establishment arrangements for the Park.
   • expected declines in staff costs in 03/04 ( on which the current corporate plan is based) will not be realised until 04/05.    

There are also knock on implications for the South Downs designation. There will be no capacity to make more rapid progress here, and nor to allow progress on South Downs projects/research as a lead in to a National Park. Original estimates (and corporate plan figures) had been for a South Downs inquiry to commence in spring 03 and complete by winter 03. This is clearly not possible as the Agency and planning inspectorate teams will be unable to progress this until the New Forest one is complete. It is unlikely to start therefore until winter 03. Should the department chose to take the same approach with terms of reference and handling representations, we can anticipate a 12-18 month inquiry, suggesting no decision from the Secretary of State until 2006: and no park establish authority for perhaps a further 12 months.Officers have asked for a meeting with DEFRA to discuss the implications that precedents from the New Forest inquiry might have for the South Downs, including how any advice the Agency might give on administration might be treated. We need also to learn from the experience of the handling of the New Forest inquiry, in particular the relative roles of DEFRA, the Agency and the Planning Inspsectorate, in order to ensure the South Downs process runs more smoothly. We hope to be able to report the outcome of these discussions when bringing final recommendations on the South Downs designation to the board in November.

AP02/01 CAP REFORM: CONSULTATION ON MID-TERM REVIEW OF AGENDA 2000

At its meeting in February 2002, the Board considered a paper on the Mid-Term Review of Agenda 2000 and agreed the direction officers should take in pressing for changes. On 10 July 2002, the European Commission published a discussion document containing its proposals for reform. DEFRA have sought the views of interested organisations on the proposals in order to inform the UK Government's response. A copy of our response to DEFRA is being circulated separately to Board Members. This has drawn on paper AP02/01 and the discussion on that paper. The timing of the response - deadline 8 September 2002 to meet EC deadlines - precluded consideration at the September Board meeting. However, if Members have additional points to make these will be conveyed to DEFRA.