Public funding for public goods: A post-Brexit perspective on principles for agricultural policy

In early 2019 the United Kingdom is due to leave the European Union and with it the Common Agricultural Policy. The UK Government has announced its intentions to formulate a novel agricultural policy following the principle that public funding should be restricted to the provision of public goods. However, the acceptance, interpretation and application of this principle is the subject of intense debate. We overview the background to this debate, reveal the major flaws in present policy and identify and provide our answers to three key questions which future policy must address: (1) What are the farm related public goods that public money should support?; (2) How should that spending be allocated?; (3) How much should be spent? We believe that these questions and their answers will be of general interest beyond the UK.