A report published by the Auditor General for Wales has reviewed how the Welsh Government has been managing the risks and opportunities posed by Brexit on the Rural Development Programme (RDP) – which supports farmers, the countryside and rural communities.
It recommended better oversight and scrutiny were carried out to ensure farmers don’t lose out.
Two key recommendations are made: Firstly that the current scrutiny arrangements for the management and delivery of the RDP that are in place at the moment, should be improved, and secondly, that risk management arrangements for the RDP should be clarified and documented.
Wales is eligible for around £522 million in European funding under the current round of rural development funding, which covers 2014-2020.
However, the Welsh Government currently plans to contribute an additional £252 million, taking the overall value of the current programme to £774 million.
Recommendations
The report found that the Welsh Government has checks and balances in place to make sure it complies with strict EU rules. But, it calls on Welsh Government to strengthen its scrutiny and risk management of the overall Rural Development Programme and makes a number of recommendations to help achieve this.
The report also concludes that, while the future of agricultural funding post-Brexit is unclear, the Welsh Government is trying to shape the debate and has set out what they want future arrangements to look like.
Even with the extension of the guarantee, the report says there are a number of issues the department needs to continue to manage. For example, it needs to consider wider economic changes and adapt the programme where necessary.
The review also said the department needed to increase the rates of commitment and spending in order to maximise the amount of EU funding that can be drawn down prior to Brexit.
It also stresses that the Welsh Government should eensure that during the transition to any replacement for rural development funds, the department’s expertise is retained.
The Auditor General, Adrian Crompton said: “The Rural Development Programme provides much-needed support to our farming and countryside communities – so I’m pleased that the UK Government’s decision to extend its guarantee has reduced what was a significant financial risk to the sector. Despite this guarantee, this remains an uncertain and fast-changing area.
“The Welsh Government needs to strengthen its oversight and scrutiny of the programme and be flexible and responsive.”
‘Concern’
The has been welcomed by the Farmers’ Union of Wales.
Charlotte Priddy, FUW policy officer, said: “We are pleased to see this report looking at the impact on the RDP in light of Brexit and the FUW agrees with the Auditor General’s comment that the “Welsh Government need to strengthen its oversight and scrutiny of the programme.
“Indeed, the FUW has expressed similar concerns to those raised in the report for a long time through the Programme Monitoring Committee.
“[The FUW has] placed on record significant concerns about the ability of a single PMC to effectively monitor RDP implementation, and the time dedicated to such discussions. We were therefore pleased that the report takes note of, and acknowledges our concerns.”
