The social butter scheme, which was fully fundable by the EU, was one of a number of measures used to contribute to balance within the EU dairy market. Ireland was the only member state which operated it. The aid level was progressively reduced from year to year and a decision was taken by the EU Agriculture Council in December 1998 to allow the scheme to operate for one final year.
The new Council regulation on the common organisation of the market in milk and milk products agreed under Agenda 2000 did not provide for this scheme beyond January 2000. There was, therefore, no legal basis for continuing the scheme beyond that date.
There are no plans to reinstate this EU scheme.