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Single Payment Scheme Payments

Dáil Éireann Debate, Tuesday - 24 September 2013

Tuesday, 24 September 2013

Questions (63)

Michael McGrath

Question:

63. Deputy Michael McGrath asked the Minister for Agriculture, Food and the Marine the average decrease in single farm payments to the 2013 single farm payment as a result of changes to the multiannual financial framework; and if he will make a statement on the matter. [39548/13]

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Written answers

At my request, together with a number of Ministers from other Member States, the EU Commission proposed, as an exceptional measure, a 50% advance of the 2013 Single Farm Payment commencing on 16 October, the first day of the new EU financial year. This proposal was supported by all Member States and adopted at the Direct Payment Management Committee meeting on 11th September 2013.

As agreed in the MFF agreement, the reduction in the 2013 Single Farm Payment would be limited to 3% plus a further 1% approximately, which must be set-aside for the establishment of a Crisis Fund. The exact level of deduction will not be known until the Commission’s publishes its “Amending Letter” to the draft 2014 budget in mid-October.

It was agreed these deductions, known as Financial Discipline, would not be applied to the advance payments, but rather to the balancing payments, which will commence issuing to farmers from 1 December. The Commission has also proposed that the first €2,000 of all payments will be exempt from the Financial Discipline deductions.

If the funds in the Crises Reserve are not fully utilised, there is provision for refunding the amounts to farmers in the following scheme-year.

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