Farmers face EU payments problems as talks break down
Until member states agree on the funding of the EU, the European Commission can spend only one-twelfth of the 2010 budget each month, from January 1 next. The last time this happened was in 1988. One of the payments to member states hit by this restriction is a refund of advance single farm payments – which were received by farmers in Ireland recently.
“Because of the budget impasse, the Commission is warning that while it needs to refund € 30 billion to member states for advance payments made, it can now only refund € 6 billion, leaving member states with a € 24 billion shortfall,” said Ms McGuinness. “It is imperative that this matter is resolved as member states, including Ireland, have very difficult financial situations requiring payments on time from a national budget perspective,” she said.
