Common agricultural policy

One-minute summary

The common agricultural policy (CAP) is the part of the EU's budget which provides financial support to farmers. It has been much criticised in recent years. Critics say that:

• it comprises a disproportionately large share of the EU's budget;
• it is unfair because those with the biggest agricultural sectors, such as France, benefit most;
• it is detrimental to attempts to reduce third world poverty;
• it artificially inflates food prices in the EU.

Labour's policy is to reform the CAP (it was a 1997 manifesto commitment) and this has been successful over the past few years. Agriculture now accounts for around 40% of EU spending, down from 70%, and this is projected to fall even further. Emphasis has moved away from specific production support to funding linked to high standards of environmental care, food safety, animal and plant health and animal welfare.

The CAP is still in need of further reform and Labour is continuing to push for it. Further reform of the CAP was one of Tony Blair's priorities for the 2005 UK Presidency of the European Council.

Labour views

• Richard Corbett MEP: Richard discusses CAP statistics in his blog.
• European Socialists: "Anyone rejecting reform now is abandoning the tiller and allowing European agriculture and rural areas to drift rudderless on the waves of conflicting European and global interests."

Other views

• National Farmers' Union: "The agricultural budget should reflect the changing nature of European integration."
• Centre for European Reform: "Critics of the CAP underestimate the significance of the reforms initiated by the former agriculture commissioner."

Reference materials

• European Commission on agriculture: An overview of the EU's role in agricultural policy.
• European Commission on CAP reform: A useful summary of the reforms introduced in 2003.
• Defra on CAP reform: How reforms are being implemented in England.
• Wikipedia article on the CAP: Wikipedia is a user-edited online encyclopedia.

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