Thursday 2 July 2009

FSA Board Agrees Meat Charging Proposals

Thursday 17 July 2008

The Board of the Food Standards Agency today agreed to recommend new proposals to reform the charging regime for the regulation of the UK meat industry. At its meeting in Cardiff, the Board also reaffirmed its support for small rural abattoirs as the new charging policy develops.

The Board considered a series of changes to the charging system operated by the Department for Agriculture and Rural Development (DARD) – on behalf of FSA Northern Ireland. It agreed to recommend to Ministers that the Agency should consult on the following proposals:

to introduce time-based charging for DARD services in approved meat premises, to replace the current charging arrangements under which most meat plant operators pay a flat rate of charge based on throughput
to reduce the discounts currently applied to meat hygiene charges, so that if other things remaining constant, hygiene charges paid by meat plant operators would increase by 12% (inclusive of inflation) in 2009/10
to introduce charges for controls on the removal of Specified Risk Material (SRM) from 2009/10 to recover, in the first year of charging, 5% of the costs of these controls (approximately £0.5m)

Subject to the views of Ministers, there will now be a full public consultation beginning in September.

FSA Chief Executive Tim Smith said: 'The Board has made an important decision today. I am pleased that this decision has been reached as I believe it will go a long way to preserving an industry about which the country is rightly proud. Northern Irish meat stands for quality and it’s important that we take this opportunity to make improvements to the inspection regime and maintain standards of public health in the business for many years to come'.

'We’ve thought long and hard about the proposed increase in charging. I think everyone is agreed that the level of subsidy from Government to the industry has been too high in recent years and the changes we are proposing should ensure that the system will become fairer for both the industry and the taxpayer'.

'I am committed to making sure that there is continuing support for the smallest operators. The FSA will continue to play its part in giving confidence and protection to all parts of the industry to help it to deliver to the consumer the safest and best product possible.'

Time-based charging will enable DARD and the respective meat plant operator to establish a working relationship that will have a much greater commercial discipline and will encourage the use of DARD resources in a much more effective way.

The FSA is also working with the EU partners to try to develop a more risk-based approach to regulation of the meat industry and to lessen the regulatory burden on the industry as a whole. This is an important element to the FSA’s policy, and the regulator’s relationship with the industry will play a crucial part in making the case to the European Commission.

Notes to editors

Additional revenue derived from increased charging proposals in Northern Ireland

Slaughterhouses, cutting and game plants=£370k
SRM Charges=£30k

Additional revenue derived from increased charging proposals (GB only)

Country
Red meat slaughterhouse
White meat slaughterhouse
Cutting and game plants
Total
SRM charges
England £k
1750
1185
49
2984
341
Scotland £k
375
82
9
466
86
Wales £k
235
20
2
257
77

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FSA Board Agrees Meat Charging Proposals

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