In response to the Budget announcement by Chancellor, Rishi Sunak, NFU Cymru President, John Davies said: “The most significant decision for farmer’s here in Wales and across the UK, is the announcement to retain the relief on red diesel.
This is absolutely crucial, and we are pleased to see the Chancellor has acknowledged our concerns. Red diesel is the primary fuel used to run the majority of agricultural machinery, and it is incredibly important for the farm businesses that produce the nation’s high quality and affordable food.
“Changes to this duty could have virtually doubled fuel costs for farmers and, with no current alternative fuel for agricultural vehicles, this would have left farms immediately uncompetitive with many other countries who continue to provide lower fuel duty for their agricultural industries.
“This lower fuel duty on red diesel recognises its importance to farm businesses, their ability to produce food for the nation and the fact this machinery is mainly used off-road on farms.
“Many of these farms have been hit by flooding in recent weeks and the extra money announced by the Chancellor for flood defences will mean farmers in Wales could benefit and I urge Welsh Government to take this in to consideration when speaking with the Treasury.
“Rural broadband and connectivity are issues that have been impacting farms and rural communities for many years now. I am pleased to see that the Chancellor has pledged the rollout of gigabit capable broadband to the hardest to reach areas. While I welcome this pledge, I sincerely hope that it will be the areas that struggle to receive any mobile or broadband coverage, that are given the access to the services they so desperately require to complete day to day tasks to run successful businesses.”