Food assurance has been singled out as an area of concern in FSA research that also revealed consumers had low recognition and understanding of schemes, and were often baffled by the use and meaning of their logos.

Announcing the review, the agency said it recognised the role such schemes had in raising standards but that it has 'concerns that they may be requiring additional resources, and possibly misleading consumers, without always bringing clear consumer benefits.' A set of common operating guidelines for assurance schemes are among the measures mooted by the agency.

FSA chairman Sir John Krebbs added: 'Industry assurance schemes have a role in promoting consumer choice in the market, but it is essential that this choice is both clear and meaningful. We want more truth, less hype.' Assured Food Standards (AFS), the independent umbrella body that licenses and audits the little red tractor British Farm Standard logo, was quick to welcome the review.

AFS chairman Chris Barnes said: 'We are pleased that the agency recognises the valuable role played by assurance schemes in raising standards.

'We look forward to this opportunity to demonstrate further the food safety, animal welfare and environmental benefits being produced by these standards.' Chris Payne, chairman of the Assured Produce Scheme, said: 'We welcome the opportunity to demonstrate the value of APS, which will also give us a clearer understanding of the FSA's expectations of food assurance schemes.

'The scheme was established five years ago. During this time, it has made a significant contribution to systems that are directly beneficial to consumers and the environment.' He added that APS was reviewed and updated annually.

The FSA review was presented in its submission to the Policy Commission on Farming and Food for England, in which it also called for urgent reform to the Common Agricultural Policy (CAP). It says that CAP is keeping the price of certain commodities more than 20 per cent higher than world prices.

The document also stressed the importance of ensuring that developments in agriculture do not exacerbate the difficulties faced by low-income consumers, who must not be denied access to a range of affordable, nutritious food.

According to the submission, the average UK family spends around 16 per cent of its income on food, while low-income families spend as much as 30 per cent. It said that the most important factors for consumers when shopping for food are price, time and convenience.

The FSA says its review will investigate whether food assurance has an adverse impact on the price of food, consumer choice or information. It states: 'Assurance schemes can help to build consumer confidence if they are based on the following principles: transparency; higher food safety standards; independent and regular verification; consistent implementation; and clear benefits to the consumer.' A spokesperson for the FSA said a steering committee will be set up, although a timetable for the review has not been decided.

A full copy of the Food Standards Agency submission to the Policy Commission on Farming and Food is available at www.foodstandards.gov.uk