A bid to boost jobs and protect the environment in upland areas has been unveiled by the Government.

Agriculture Minister Dr Jack Cunningham will target Bodmin Moor in Cornwall and Bowland in north-west England as pilots for a shake-up in the Common Agricultural Policy.

He said the whole system of subsidies to farmers "has got to change," as at present neither farmers, nor the environment were satisfied.

The Minister wants to encourage local groups to apply for grants to process and market foods or goods that have been produced in a way which provides conservation benefits.

There will be help for business-related and rural skills, backing for "green" tourism, advice on conservation and training and environmental cash tailored to the local areas.

Dr Cunningham said he wants to test how countryside protection and measures to boost the rural economy can be brought together.

"The initiative will build on existing schemes and I hope point the way for the kind of changes we would like to see to the CAP."The experiment depends crucially on galvanising the networks of rural interests in these areas.

"We hope to gain useful information about how these can be co-ordinated to best effect to boost their local economies in conjunction with the Government."

Dr Cunningham also wants to extend the Countryside Stewardship scheme which pays farmers to save and enhance English landscapes, their wildlife and history.

He said there is a particular problem with heather moorland which has been over-grazed with a damaging effect on bird and plant life.

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