The Commission on Generational Renewal in Farming was set up by the last Minister for Agriculture, Charlie McConalogue to examine the problems and find solutions for Ireland’s succession delays.
The commission, chaired by former department secretary general Aidan O’Driscoll, was expected to report to Minister for Agriculture Martin Heydon by the end of June, and while the report may have been delivered to him by now, it has not yet been published.
The European Union’s CAP bombshell proposed cutting CAP payments to pension-age farmers, which would effectively force the older generation out to make way for new entrants. However, Martin Heydon has slammed that proposal as a “very crude instrument”, describing the proposal as draconian. It’s fair to say we expect to oppose such a move as CAP negotiations continue.
The commission’s consultation sought views on the current supports for farmers in the succession sphere, as well as new ideas for fresh initiatives.
An examination of some farm organisations’ submissions shows a common thread – they want a well-structured succession scheme that gives financial security to farmers taking a step back, and organised transfer of assets to the younger generation stepping forward.
In its submission the IFA highlighted that many older farmers are completely dependant on State pensions and live in fear of the high cost of healthcare.
“Many elderly farmers have taken the decision to retain land in particular as their own security net,” the IFA noted.
The organisation called for a new succession scheme with financial assistance and encouragement for mature farmers to enact succession plans.
Its proposal is that the scheme would see younger farmers gain managerial responsibility for farming operations over an agreed timeframe such as five to 10 years, resulting in the gradual transfer of assets, including land title, to young farmers aged between 30 and 40.
It’s a proposal that would see older and younger farmers working together in a gradual transfer of control and assets over and agreed timeframe.
It’s starkly different to the Department of Agriculture’s Early Retirement Scheme of the 1990s which required older farmers to cease all farm activities immediately in return for a payment of up to €15,000 per year, co-funded by the State and Europe.
Macra, too, has called for a dedicated succession scheme in its submission to the commission.
Without going into specifics on ages or finance, it wants the scheme to increase young farmers’ access to land, provide capital supports, and enable green investments that help meet environmental targets.
It pointed out that Ireland remains the only EU member state not to provide installation aid for farm business start-ups.
This, Macra said, “hinders new entrants and success over the short to medium term”.
The youth organisation also called for an extension of the five-year limit for payments under the Young Farmer Scheme.
“Given the high initial costs of starting a farm, Macra strongly supports an extension of the five-year rule to provide additional security and stability for young farmers,” it said.
This was echoed by the ICMSA, which has called for a doubling of the young farmer scheme to 10 years. It too wants an installation aid scheme for young farmers, and also wants the 60% TAMS rate for young farmers’ capital investment to increase by 75%, with a €250,000 investment ceiling (up from €90,000).
About the Commission
Chaired by former Department of Agriculture secretary general Aidan O’Driscoll, the commission also includes:
Professor Thia Hennessy, head of the College of Business and Law at UCC with specialist expertise in the economic performance of the agri-food sector; Dr Emma Dillon, Teagasc economist and senior research officer leading research on generational renewal and metrics for farm social sustainability; Aisling Meehan, solicitor, tax consultant, farmer and member of Women in Agriculture Working Group; Thomas Duffy, dairy farmer, former Macra president and former vice president of European Young Farmers Association; Trevor Boland, accountant and Teagasc Signpost beef farmer in a partnership; Seán Bell, chief economist, Department of Agriculture, Food and the Marine.At the time of its creation, the group was tasked with establishing an “evidence-based approach, to examining the factors, legal, economic, social and administrative, that contribute to the current age demographics in the sector, and present policy options for consideration.”
With Budget 2026 less than six weeks away, the report from the Commission on Generational Renewal will surely have framed some of Minister Heydon’s thoughts when seeking funding for his department from finance minister Paschal Donohoe.
Earlier this year, Minister Heydon told the Irish Farmers Journal that succession was one of his key objectives as Minister for Agriculture.
“We need viable pathways for young farmers to get into farming; to look at the supports that exist and review them with a very open mind. We similarly have to look at barriers, like access to land.
“But you can’t have the conversation just about being young trained farmers and not talk about supporting the generation who have given a lifetime of service to the sector, who have a huge amount of corporate knowledge and a lot to give,” he said.
He suggested that he wanted to facilitate older farmers to step back but not stop farming completely.
Tax relief
Young trained farmer stamp duty relief is due to expire in December 2025, unless extended in the budget. Some 1,357 young farmers applied for the relief in 2024, saving €17.8m in tax otherwise payable to Revenue.
The Government’s Tax Strategy Group recently noted that the ageing profile of Ireland’s farm sector “continues to be a cause for concern”, which would suggest that this relief is likely to be renewed. Whether new tax reliefs aimed at improving farm succession will be announced remains to be seen.
The Commission on Generational Renewal in Farming was set up by the last Minister for Agriculture, Charlie McConalogue to examine the problems and find solutions for Ireland’s succession delays.
The commission, chaired by former department secretary general Aidan O’Driscoll, was expected to report to Minister for Agriculture Martin Heydon by the end of June, and while the report may have been delivered to him by now, it has not yet been published.
The European Union’s CAP bombshell proposed cutting CAP payments to pension-age farmers, which would effectively force the older generation out to make way for new entrants. However, Martin Heydon has slammed that proposal as a “very crude instrument”, describing the proposal as draconian. It’s fair to say we expect to oppose such a move as CAP negotiations continue.
The commission’s consultation sought views on the current supports for farmers in the succession sphere, as well as new ideas for fresh initiatives.
An examination of some farm organisations’ submissions shows a common thread – they want a well-structured succession scheme that gives financial security to farmers taking a step back, and organised transfer of assets to the younger generation stepping forward.
In its submission the IFA highlighted that many older farmers are completely dependant on State pensions and live in fear of the high cost of healthcare.
“Many elderly farmers have taken the decision to retain land in particular as their own security net,” the IFA noted.
The organisation called for a new succession scheme with financial assistance and encouragement for mature farmers to enact succession plans.
Its proposal is that the scheme would see younger farmers gain managerial responsibility for farming operations over an agreed timeframe such as five to 10 years, resulting in the gradual transfer of assets, including land title, to young farmers aged between 30 and 40.
It’s a proposal that would see older and younger farmers working together in a gradual transfer of control and assets over and agreed timeframe.
It’s starkly different to the Department of Agriculture’s Early Retirement Scheme of the 1990s which required older farmers to cease all farm activities immediately in return for a payment of up to €15,000 per year, co-funded by the State and Europe.
Macra, too, has called for a dedicated succession scheme in its submission to the commission.
Without going into specifics on ages or finance, it wants the scheme to increase young farmers’ access to land, provide capital supports, and enable green investments that help meet environmental targets.
It pointed out that Ireland remains the only EU member state not to provide installation aid for farm business start-ups.
This, Macra said, “hinders new entrants and success over the short to medium term”.
The youth organisation also called for an extension of the five-year limit for payments under the Young Farmer Scheme.
“Given the high initial costs of starting a farm, Macra strongly supports an extension of the five-year rule to provide additional security and stability for young farmers,” it said.
This was echoed by the ICMSA, which has called for a doubling of the young farmer scheme to 10 years. It too wants an installation aid scheme for young farmers, and also wants the 60% TAMS rate for young farmers’ capital investment to increase by 75%, with a €250,000 investment ceiling (up from €90,000).
About the Commission
Chaired by former Department of Agriculture secretary general Aidan O’Driscoll, the commission also includes:
Professor Thia Hennessy, head of the College of Business and Law at UCC with specialist expertise in the economic performance of the agri-food sector; Dr Emma Dillon, Teagasc economist and senior research officer leading research on generational renewal and metrics for farm social sustainability; Aisling Meehan, solicitor, tax consultant, farmer and member of Women in Agriculture Working Group; Thomas Duffy, dairy farmer, former Macra president and former vice president of European Young Farmers Association; Trevor Boland, accountant and Teagasc Signpost beef farmer in a partnership; Seán Bell, chief economist, Department of Agriculture, Food and the Marine.At the time of its creation, the group was tasked with establishing an “evidence-based approach, to examining the factors, legal, economic, social and administrative, that contribute to the current age demographics in the sector, and present policy options for consideration.”
With Budget 2026 less than six weeks away, the report from the Commission on Generational Renewal will surely have framed some of Minister Heydon’s thoughts when seeking funding for his department from finance minister Paschal Donohoe.
Earlier this year, Minister Heydon told the Irish Farmers Journal that succession was one of his key objectives as Minister for Agriculture.
“We need viable pathways for young farmers to get into farming; to look at the supports that exist and review them with a very open mind. We similarly have to look at barriers, like access to land.
“But you can’t have the conversation just about being young trained farmers and not talk about supporting the generation who have given a lifetime of service to the sector, who have a huge amount of corporate knowledge and a lot to give,” he said.
He suggested that he wanted to facilitate older farmers to step back but not stop farming completely.
Tax relief
Young trained farmer stamp duty relief is due to expire in December 2025, unless extended in the budget. Some 1,357 young farmers applied for the relief in 2024, saving €17.8m in tax otherwise payable to Revenue.
The Government’s Tax Strategy Group recently noted that the ageing profile of Ireland’s farm sector “continues to be a cause for concern”, which would suggest that this relief is likely to be renewed. Whether new tax reliefs aimed at improving farm succession will be announced remains to be seen.
SHARING OPTIONS