How the CAP costs families nearly £400 a year

January 01, 2009 5:50 PM

With the onset of a recession, family budgets are tight. Despite agricultural commodity prices falling from their recent exceptional high, there are still global concerns at a food crisis.

Saving £400 a year, over one per cent of average household, post-tax income,would be a welcome boost for many families struggling in a these tough economic times. The Common Agricultural Policy (CAP) imposes a significant burden on families both by costing significant amounts of taxpayers’ money and by pushing up food prices.

These are the costs despite high world food prices converging on the high food prices in the CAP zone, despite repeated reforms of the system over the past two decades, and despite the pledge of serious reforms made in response to the surrender of part of the UK’s rebate.

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