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THERE WERE A number of measures announced in the Budget this afternoon that will be of big interest to farmers across the country.
Changes in income tax, investment in sheep welfare and an increase in rural development funding will all impact the daily lives of farmers.
Finance Minister Michael Noonan kicked off the mentions of farmer supports as he gave his Budget speech to the Dáil this afternoon.
Farmers and agri-food businesses have been worried about Brexit and the implications it could have on their sector.
The UK is by far the largest export market for Irish agri-food and drink, with over 40% of all exports going there last year.
As a result of this, Noonan said Brexit and any weaknesses in sterling could have a huge effect on farmers.
“This poses a competitive challenge for farmers and agri-food companies that sell a great deal of their output into the UK market,” said Noonan today.
Today I am announcing a package of measures to assist the sector.
1. “Step out” option for farmers income averaging
First up is the introduction of a “step out” option for farmers who are income averaging for tax.
Income averaging involves a farmer paying income tax on their average income over a period of five years.
Under this new measure, farmers who have had a particularly bad year income wise will be able “step out” of this tax averaging and pay the income tax due on that year alone.
This will reduce the overall amount that they have to pay should they have a bad year.
2. Increase in flat-rate addition for farmers not registered for VAT
The flat-rate addition for farmers not registered for VAT will increase from 5.2% to 5.4%. This scheme compensates unregistered farmers for VAT incurred on their farming inputs.
3. Farm restructuring relief extended
Farm restructuring relief – which was first introduced in Budget 2013 – has been extended until 2019.
4. Introduction of low-cost €150 million loan fund
Noonan announced that a low-cost loan fund was being developed using EU exceptional adjustment aid.
Noonan said this loan would be:
Low cost, below 3% per annum and highly flexible.
Agriculture Minister Michael Creed announced later that there was a loan fund of €150 million being introduced at an interest rate of 2.95%.
5. Improvements to Farm Assist and Rural Social schemes
Public Expenditure Minister Paschal Donohoe announced that there would be 500 new places introduced on the Rural Social Scheme for low income farmers.
He also said there would be there would be “improvements” to the Farm Assist Scheme – saying that Social Protection Minister Leo Varadkar would announce further details later today.
6. Increased funding for Rural Development Programme
Spending in the Rural Development Programme will be increased by €107 million to a total of €601 million next year.
Included in this will be a €25 million sheep welfare scheme.
Other areas of investment include:
Comment
Commenting on the Budget allocations, the Minister for Agriculture, Food & Marine, Michael Creed TD, said that his department had been preparing for the Brexit fallout since before vote took place in June.
“Supporting and developing our food businesses is central to what we do as a Department,” he said.
This has never been more acute in the context of the current and potential impacts of Brexit.
Farmers groups broadly welcomed the measures in today’s Budget.
Irish Farmers Association (IFA) president Joe Healy welcomed the introduction of the low-cost loan fund, saying 2016 had been a very difficult year for farmers.
The health service isn’t “overlooked”. It’s just terribly ran and inefficient.
@Seán Ó hAnnracháin: Agree the Irish Health Service consumes 11% of our GDP v 9% average for other EU countries. Transparency needed on unit production. How many total manhours per procedure (direct and all indirect) v international benchmarks? Please publish.
- 2 Tier Irish Health System is obscene.
- Belfast buses from West Cork for cataract operations.
Tidal wave of health and mental issue s will follow.
The worse is yet to come.
‘Overlooked’ as in intentionally underfunded to scare people into the arrms of private health insurance companies.
“That’s the standard technique of privatization: defund, make sure things don’t work, people get angry, you hand it over to private capital” – Noam Chomsky
@The Risen: Funding has increased by 1/5 over the past 5 years, so the HSE is definitely not being “underunded”, but epically mis-managed. But don’t let facts get in the way of your little rants.
@The Risen: it’s a thought but I don’t really think so there are a lot off buffoons in charge
@The Risen: nothing underfunded about our health service… It’s run by a bunch of interest groups who are more concerned with their share rather than the health of the nation. Top heavy management that wasn’t thinned out in the move from Health Boards to the HSE maintains the lack of value and continuing inefficiency of any investment. Hospitals owned or managed by “patrons” despite being funded and developed by the state limit the mobility and efficiency of trained staff. Working practices designed to ensure as much staff as possible are paid at higher levels and a ridiculous consultant contract all contribute to ensure that any individual procedure actually costs more than the equivalent in a private setting, any of the double jobbing consultants will confirm this.
@The Risen: You say this because the HSE SHOULD BE a leftists’ wet dream – a big public sector (union dominated) organisation running our health system for the benefit of the public. But it’s a disaster. But that’s ok, because just blame the mean Gov or those evil capitalists. Hate to burst your bubble, but the HSE is the way it is because it is dominated by public sector vested interests (i.e Unions). There is no real accountability. There is no desire from within for change and any significant change is fought tooth nail because the status quo suits the special interests (i.e PS unions)- they’ve carved it out this way. At least if you’re paying for a service, the provider has an interest in providing you a good service. The HSE bureaucrat has no such interest, they are paid regardless.
All future governments will tie up the banking crisis borrowings with loans from Covid and will blame “Covid” for everything for years to come.
What health service as its near impossible to even see a GP these days
have your say