The Rural Bulletin: 6 July 2017

Fresh demand for Brazilian beef ban

Farm leaders have reiterated calls to ban imports of Brazilian beef and remove agriculture from a free trade agreement between the EU and Mercosur countries. The demand follows a US ban on imports of fresh Brazilian beef after food safety inspectors rejected 860 tonnes in the space of just just three months. 

Earlier this month Brazil suffered revelations of widespread fraud and corruption in the beef sector, reinforcing questions over the ability of Mercosur countries – Brazil, Argentina, Paraguay, Venezuela and Uruguay – to meet EU standards on traceability, animal health and welfare, use of hormones, and environmental controls. 

VAT due on property hire for events

Landowners who let out land or buildings for weddings and events could face a hefty tax bill following a recent court ruling on VAT. The appeal found that a hotel should have charged VAT on room hire for weddings, and demanded it pay more than £50,000 of backdated VAT. Although the hotel argued that the hire was passive, and therefore tax exempt, the Upper Tribunal ruled that to meet wedding licence regulations the hire could not be passive. 

Anyone hiring their property out for organised events like weddings or concerts should therefore charge VAT – and check whether they are liable for back payments of up to four years. The renting of rooms for meetings and conferences remains exempt – for now. 

Field-scale evidence of neonic damage to bees

Scientists have discovered the first field-scale evidence that neonicotinoid seed treatments damage bee populations. The £2.75m study exposed bees to 2,000ha of neonicotinoid-treated oilseed rape in the UK, Germany and Hungary. It found that honeybees were less able to survive the winter in Hungary and the UK, reducing subsequent populations in the spring. 

However, no harmful effects were found in Germany – although lower reproductive success among bumblebees and red mason bees was a feature in all three countries. Bayer and Syngenta, which funded the study, insist the inconsistent results highlight the need to consider colony health and other environmental conditions such as alternative feed sources.  

Scottish Government forms Brexit advisory council

Brexit poses a significant threat to Scottish agriculture, with tariff-free access to the single market crucial to the success of the sector, according to the Scottish Government. It has formed a National Council of Rural Advisers to consider the potential implications of Scotland leaving the EU. Its remit covers all aspects of future rural development, including financial support beyond 2022. Covering themes such as affordability, sustainability, productivity, inclusion and innovation, the council will make recommendations by early 2018. However, farming leaders have not welcomed the move, claiming the time for talking is over.

If you are a rural property owner or business and would like further information on any of the issues touched upon, or need advice on any other matters our Rural Consultancy Team is here to help.