Under the CFP, each EU member state has access to each others' waters. However, each state is set a quota of fish it can catch. Our govt then licences that out to the fishing industry.

1/

It allocates some of the quota to 'the pool' - mainly businesses operating smaller inshore fishing boats. The CFP allows the rest to be granted to 'the sector' - groups of businesses that use larger fishing boats and have formed alliances known as producer organisations.

2/

The system has become increasingly weighted to 'the sector'. The UK govt deregulated fishing licences in the 90s so that they could be traded between different firms. Shares of the quota were not returning to the govt when firms folded - they were sold on at lucrative rates.

3/

Licencing was based on the 'track record' - the average amount of fish a business brought in over several years. If a business started catching less fish, its quota share went down. However, in 1999, the basis switched to 'fixed quota allocations'.

4/

There was no incentive to meet the quota share, and less of the quota to go round. Big industry players could monopolise it and keep out the younger competition.
The trade in quota shares opened up to foreign companies and became known as 'quota hopping'.

5/

The Dutch and Spanish specialised in this. The deregulated market led to overfishing, and therefore the EU started offering cash payments for businesses to give up their licenses and shut down. Many British fishermen were forced to do this, unable to compete.

6/

When the producer organisations in 'the sector' began to suffer losses, they allowed foreign companies to join them at a premium. This only worsened the capital flight from the UK's fishing industry.

7/

A combination of UK govt deregulation & EU laws have severely weakened the UK fishing industry. Outside of the CFP we can be free of the EU quota, and allow more British fishermen access to stocks. We should also have protectionist policies against foreign owned firms.

8/8

(About quota hopping)
Foreign companies can buy up boats and crews registered in the UK and funnel most of the product and profits back to their home countries.