Warning that funding cuts will see hike in Farm Assist applicants

THE Government was warned yesterday that the number of farmers applying for Farm Assist will rocket due to funding cuts in various programmes including the Rural Environment Protection Scheme (REPS).

Irish Cattle and Sheep Farmers Association president Malcolm Thompson said all of the cuts on farm schemes will not raise anything like the money the Government expects as it has failed to account for a rise in social welfare payments to farmers under Farm Assist, he said.

Mr Thompson called on all farmers under financial pressure to apply for Farm Assist. The weekly rates are a maximum €204.30 for an individual plus a further €135.60 for a qualified adult (spouse) plus €26 per child.

“This amounts to over €400 per week for a family with three children, which is well in excess of the average 2008 family farm income,” he said.

Mr Thompson said the scheme is subject to a means test, which is basically an assessment of farm income plus income from other sources, including capital such as money in the bank.

“Farmers on Farm Assist may also qualify for other benefits such as a medical card, fuel allowance and so on,” he said.

Labour spokesperson Sean Sherlock, TD, said any claims that the ending of the REPS 4 scheme will save the Exchequer a lot of money, are wide of the mark.

The decision will severely affect up to 34,000 farmers who are due to complete their environmental plans over the next four years.

“Many of these farmers are already on low incomes, and closing off the revenue stream associated with REPS will mean that they may end up seeking social welfare support under the Farm Assist scheme,” he said.

“There would be little or no net saving to the State and all the environmental benefits associated with REPS would be lost,” he said.

However, Agriculture Minister Brendan Smith has reiterated that a new agri-environment scheme will be introduced next year, which will be targeted at those farmers completing their REPS 3 contracts. Funding for the new scheme and the level of individual payments will be determined when the estimates for next year are finalised.

Mr Smith said at 62,000 participants, the highest ever since REPS began, he had no option but to close the scheme to new entrants as it was over-subscribed.

Mr Smith said he is well aware of the concerns and has met with farming representatives.

Connacht Gold chairman Padraig Gibbons said the REPS decision will have a devastating impact on farmers, the agri-food sector and the wider economy in the west.

Over 21,000 farmers in the five counties of Connacht are participating in REPS, which is one-third of the total number of participants nationally.

He said the Teagasc farm income figures for 2008 show the REPS payment accounts for half the net income of cattle and sheep farmers.