Tim Briercliffe

Tim Briercliffe

The HTA is considering its response to Defra’s consultation into the formation of Levy Board UK.

The organisation explained that it would be consulting with grower members before submitting its response to Defra ahead of the June 6 deadline.

Commercial Grower last week reported that levy fees paid by growers could increase by as much as 50% under the new structure, a possibility that the association believes is not warranted as the basis of the Radcliffe review was to cut costs to growers.

HTA also fears that the wide range of activities to be undertaken by different sector companies could dilute fundamental R&D work on innovation and productivity, adding to operating costs.

It also pointed out that an increase in the threshold for levy payments to a turnover of £60,000 could see a large number of smaller growers excluded from involvement in the levy funded R&D system.

However on the up side the HTA said that businesses selling on their own or added value products, for example smaller retail nurseries, are to be charged the same rate as growers, a move which the organisation has championed as it believes retail nurseries should not pay a full levy on the retail value of their products.

Defra’s proposals put forward a levy based on 50% of the retail value of the plants grown.

HTA director of business development, Tim Briercliffe, said: “Defra appear to be using this consultation as a way to allow greater flexibility for LBUK in the future - both in terms of scope and levy rate. This is not appropriate for horticulture and risks disadvantaging and alienating the industry at a critical time for horticultural research.”