What is it?

Under the new CAP reform from 2013, a National Reserve was established using 3% of the Basic Payment ceiling, amounting to €25m for priority allocation to applicants. The scheme is open to both young farmers and new entrants. The criteria for a new entrant is the same as that for a young farmer without the age restriction.

When did the scheme open and close for applications?

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The scheme opened for applications on 5 January 2015 and closed for applications on 31 March 2015. Applications had to be made online.

What scheme did it replace?

The National Reserve is a measure which was already in place under the previous 2005-2013 CAP.

When will farmers know if they have been accepted into the scheme and how much payment can successful applicants expect?

Successful applicants can expect notification letters to be issued from early November with payments due to commence after 1 December. These applicants will receive an allocation of entitlements based on the eligible land declared on their 2015 Basic Payment Scheme application at a value equal to the national average value of entitlements in the year of application. Successful applicants who already hold entitlements which are below the national average value will receive a top-up whereby the value of those entitlements will be increased to the national average value.

N.B.An off-farm income limit of €40,000 will be applied to all applicants to the National Reserve, whether ‘young farmer’ or ‘new entrant’. The off-farm income limit will be applied to either of the 2013 or 2014 tax years at the applicant’s choosing.

Will there be another chance to apply for the scheme

The Department says there is no designated funding from the Basic Payment Scheme to fund a National Reserve next year. The only source of funding available to the 2016 National Reserve will be from any unused funds from the 2015 National Reserve and from clawback arising from the sale of entitlements without land in 2016. But if there is sufficient funding available to provide a National Reserve in 2016, application forms and terms and conditions governing the scheme will be available in early 2016 with a closing date of 15 May 2016.

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Confused about the new CAP schemes? Check out our payments glossary