Pearse Doherty
Question:157. Deputy Pearse Doherty asked the Minister for Agriculture, Food and the Marine the measures in budget 2023 to support young farmers. [61336/22]
View answerThursday, 8 December 2022
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Written answers
I am a strong supporter of generational renewal and assisting the next generation take over the farm when the time is right to do so. The challenge of generational renewal is widely recognised at national and EU level and is a priority for Government.
Under the new CAP Strategic Plan, Ireland will implement the Young Farmers’ Scheme, dedicating some 3% of the direct payments ceiling to help young farmers establish their farming businesses. This allocation of approximately €35m per year will see qualifying young farmers benefit on a per hectare basis, which will be more advantageous to young farmers than the current system, which was linked to payment entitlements.
The proposed rate will significantly increase from approximately €70/ha in the current programme to over €170/ha, with a maximum payment area of 50ha and payment on all eligible hectares, even those without corresponding entitlements.
In tandem, we will also implement the National Reserve in each year of the new CAP to fund at a minimum the mandatory categories of young farmers and new entrants to farming.
A higher grant rate for qualified young farmers under the capital investment measure will also be available. The CSP will also continue to provide support for collaborative farming and proposes innovative ways to advise older farmers on succession and retirement options, which will increase the availability of land for younger farmers.
Budget 2023 includes the renewal of vital tax reliefs including Stamp Duty Relief and Stock Relief for Young Trained Farmers. The renewal of Capital Gains Tax Relief for Farm Restructuring and Stamp Duty Relief for Farm Consolidation in Budget 2023 encourages the consolidation of farm holdings, reducing fragmentation and improving the operation and viability of farms.
National taxation measures on succession and land mobility, together with the support available under the CAP, represent a substantial commitment to young farmers.
In addition, all access to finance loan schemes and cost of living crisis measures implemented in the budget are available to young farmers to ensure their enterprise remains resilient in the face of current economic challenges. The new €500 million Growth and Sustainability Loan Scheme (GSLS), which will facilitate strategic investment by SMEs, including farmers, fishers and food businesses, to ensure their continued viability and sustainability into the future, will assist young farmers in particular.
Supporting young farmers continues to be a priority and I will continue to actively engage on this issue.