Written Answers. - Farm Retirement Scheme.
Bernard J. Durkan
Ceist:
197
Mr. Durkan
asked the
Minister for Agriculture, Food and Rural Development
the current stage of negotiations in regard to the proposed new farm retirement scheme; the extent to which it is intended to improve the situation as compared to the previous pension scheme system; and if he will make a statement on the matter.
[23664/00]
Ireland's CAP rural development plan for the period 2000-2006, which was submitted to the European Commission at the end of December 1999, has recently been approved by the commission. This plan covers early retirement along with REPS, compensatory allowances and forestry.
In accordance with the commitment entered into in the protocol on direct payments to farmers arising out of the Programme for Prosperity and Fairness, my Department has been consulting the farming organisations about the detailed provisions of the new early retirement scheme for farmers. These consultations have now been com pleted and every effort is being made to finalise the necessary scheme documentation, including terms and conditions and application forms, at an early date. The new scheme will be open to applicants in about four weeks, and application forms will then be available from the local offices of my Department.
EU Council Regulation No. 1257/1999, under which the new scheme is being introduced, does not include the requirement that retiring farmers and transferees practise farming as a main occupation. It also replaces the previous requirement for transferees to enlarge the holdings, and requires instead that they meet a viability requirement.
I welcome these changes, which have enabled the new scheme to be drafted in a way that will make it more attractive to potential applicants and to younger farmers who may consider taking over the retirees' holdings. Under the previous scheme, the requirement to have practised farming as a main occupation meant that in each of the ten years before retirement, the retiring farmer had to have spent at least 50% of his or her time in farming and derived at least 50% of his or her income from it. Under the new scheme, the retiring farmer must have practised farming in the ten years prior to his or her retirement and derived not less than 25% of his or her income from farming in the last year. Transferees, too, will no longer have to practise farming as a main occupation for the duration of the pension period and will not be required to enlarge the holding; instead, at the time they take over the holding, they must meet a viability threshold of 50 income units, of which at least 20 income units must be derived from farming. In addition, the new scheme provides for a higher rate of pension, with a maximum payment of £10,644. The maximum available under the previous scheme is £9,509.
Bernard J. Durkan
Ceist:
198
Mr. Durkan
asked the
Minister for Agriculture, Food and Rural Development
when he will invite new applicants for the farm retirement scheme; and if he will make a statement on the matter.
[23665/00]
Ireland's CAP rural development plan for the period 2000-06, which was submitted to the European Commission at the end of December 1999, has recently been approved by the commission. This plan covers early retirement along with REPS, compensatory allowances and forestry.
In accordance with the commitment entered into in the protocol on direct payments to farmers arising out of the Programme for Prosperity and Fairness, my Department has been consulting the farming organisations about the detailed provisions of the new early retirement scheme for farmers. These consultations have now been completed and every effort is being made to finalise the necessary scheme documentation, including terms and conditions and application forms, at an early date. The new scheme will be open to applicants in about four weeks, and application forms will then be available from the local offices of my Department.
Question No. 199 taken with Question No. 193.
