Scott Bingham The Politics Show South West

Foot-and-mouth crisis report dismissed

Farmers' leaders have dismissed a new report into the effects of the foot-and-mouth crisis on the rural economy five years after the outbreak.

The report, published by Newcastle University's Centre for Rural Economy to mark the fifth anniversary of the crisis, says that Government efforts to boost the rural economy since 2001 have failed.

It said DEFRA had been swamped by other issues such as climate change and that the Government's initial response to the outbreak had been too heavily oriented towards agriculture.

"There was a huge impact on the tourism industry - hotels, guest houses and pubs were hit." said Professor Neil Ward, of the Centre for Rural economy.

"But in these remote rural areas they haven't had that much assistance."

It also said that Devon's rural economy is still being held back by low pay and poor rates of economic growth.

Wages in rural areas are 13% lower than in the cities and economic growth in Devon was just 15% compared to 17.4% nationally.

But Michael Winter, Professor of Rural Policy at Exeter University, who has conducted a number of similar studies since the outbreak said the report was "disappointing".

"Clearly we are lagging behind and the Government acknowledges we are lagging behind in this part of the world.

"But I am not sure you can put that down to foot and mouth," he said.

And Anthony Gibson, South West Regional Director of the NFU, said many farmers had received compensation, but many more had not received a penny.

"What happened was the Government came in to around a 1,000 farms in Devon and said 'We're going to slaughter your cattle and we'll pay you for them,'" he said.

"Had it been necessary to raze to the ground hotels, pubs and campsites then I have no doubt their owners would have been compensated too."

Rural Affairs minister Jim Knight insisted the Government's response to foot and mouth had been right.

"In animal disease terms it is important there is compensation for farmers so that there is an incentive for them to report disease.

"That is different to the money we have subsequently invested - about �200m a year - in rural development and rural enterprise."

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