An Taoiseach Leo Varadkar has said Ireland cannot accept the proposal tabled for the EU’s budget for the next seven years by European Council president Charles Michel.

The proposal includes a 14% cut to CAP.

Speaking upon arrival at the second day of crunch EU budget talks, An Taoiseach said Ireland would contribute more to the EU budget and receive less in payments to farmers and for regional development.

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He said: “We accept that, as a country that has a growing economy, as a country that has full employment, we will have to pay more into the European budget over the next seven years. What we can’t accept, is that in return for paying more we would see very significant cuts to CAP and to cohesion funds.”

On the basis that the budget was “a pay more and get less proposal”, An Taoiseach did not think an agreement would be reached on it.

“Frugal four”

The “frugal four” - Sweden, Austria, the Netherlands and Denmark - have insisted there should be no increase to individual countries’ contribution to the EU budget.

Commenting on their position, An Taoiseach said: “I understand where they’re coming from; I’ve met them all individually, but I don’t agree with that position.

“If we’re serious about supporting agriculture across the European Union, about building up the economies of central and eastern Europe, about dealing, for example, with security threats and climate action, that’s going to cost money.

“That’s why Ireland is one of the countries that is willing to contribute more to the budget.”

Veto

IFA President Tim Cullinan has called on An Taoiseach to veto any reduction in CAP budget.

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