Benn faces MP hearing over refusal to pay SPS compensation

HILARY Benn will be hauled before MPs for an extraordinary hearing unless Defra backs down from its decision not to compensate farmers affected by the Single Payment crisis.

Dr Tony Wright, chairman of the Public Administration Select Committee, has written to the Defra Secretary to express his anger at the Department’s response to the Ombudsman’s report on the 2005 Single Payment Scheme.

The letter was prompted by the appearance of Defra Permanent Secretary, Dame Helen Ghosh and the Ombudsman, Ann Abraham, in front of the committee last week.

Dr Wright sais the committee was ‘deeply concerned’ by the evidence given by Dame Helen.

“In particular, we are not convinced that the Department’s response shows a full understanding of the Ombudsman’s report, of the nature of her role or of her approach to issues of this kind,” Dr Wright said.

The hearing concerned Defra’s refusal to accept the Ombudsman’s recommendations to compensate two farmers totals of £5,500 and £3,500 in recognition of the ‘stress, anxiety and financial impact’ suffered as result of delayed payments.

The Ombudsman had found Defra and the Rural Payments Agency (RPA) guilty of ‘maladministration’ in their handling of the 2005 SPS.

But, with more farmers lined up behind the two lead complainants, Defra refused to pay up, insisting there was ‘no basis’ for making the payments.

In his letter, Dr Wright describes Defra’s actions as ‘almost unprecedented’, particularly given the relatively small sums at stake.

“We were mystified before last week’s session as to why it could be to the Government’s advantage to resist the Ombudsman’s findings in this case. Frankly, we are none the wiser now. The Ombudsman is recommending modest compensation in a small number of cases,” he said.

He added that there was ‘little or no risk of a snowball effect’ as the Ombudsman’s work is subject to a statutory time bar.

He dismissed the justification offered by Defra to explain its position, which he said ‘gave the impression of a Department looking for arguments to dispute the Ombudsman’s findings’.

Dr Wright accused Defra of ‘taking an adversarial rather than a common-sense, compassionate approach to people who have undoubtedly suffered injustice as a result of the Department’s administrative failings’.

The letter gave a lengthy account of why the committee believed Defra’s justifications for not paying were not valid, stressing that the Government’s response ‘ought to be based on a presumption that the Ombudsman has got it right’.

Dr Wright urges Mr Benn to meet the Ombudsman ‘as soon as possible’ to discuss her report and then to reconsider the Department’s response ‘immediately afterwards’.

He warns that Defra Secretary will be called to appear before the committee to ‘explain the position’ if there has been no new announcement by the end of the month.

A Defra spokesman said the Department was considering the letter and taking the matter ‘very seriously’.

Readers' comments (1)

  • make them pay up there is no justifcation in Defras highv handed approach.I am still waiting for my 2009 payment.I have had to extend my overdraft facility to pay my tax at the end of january but this is ignored by Defra and I will not get any extra for their late payment unlike the tax people.

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