National reserve in 2016 looks unlikely

It has become increasingly likely that there will be no national reserve in 2016 due to a lack of funding.

Indications show that the level of funding available in the national reserve may not be adequate to open the 2016 scheme to both young farmer and new entrant mandatory category applicants.

The Department of Agriculture has not made a decision yet but said that the earliest it will be able to confirm is late April, when “all issues relating to all 2015 BPS applications, associated land parcels and entitlement related application forms have been finalised. ”

Macra na Feirme is calling on the Department to examine the possibility of a linear cut from BPS funds to ensure the future of the 2016 national reserve is secured should demand in 2015 result in insufficient funds being available. “The national reserve is an important policy instrument to help young farmers get established,” said Macra president Seán Finan. “If you close the national reserve you close the door on young farmers establishing in farming in 2016.”

The agricultural affairs committee of Macra has highlighted the need for a consistent approach to young farmer schemes to avoid creating further groups of forgotten farmers.

Listen to an interview with Macra's agricultural affairs manager Derrie Dillon in our pocast below.

However, the IFA has said it does not want to see cuts to existing schemes in order to fund a new national reserve.

A spokesman for the IFA said the association is “totally opposed to any further cuts on basic payment to create a new national reserve as farmers’ payments have already suffered reductions through financial discipline, convergence, crisis reserve and deductions to create the 2015 national reserve and the Young Farmers scheme”.

When all applications are finalised the Department expects up to €23m to have been allocated to about 6,000 successful applicants under the 2015 National Reserve. This would leave €1.5m to be carried into 2016.