2023 direct payments – What Irish farmers should know
Direct payment schemes are changing as per the next Common Agricultural Policy (CAP), which will come into effect on January 1st, 2023.
The Department of Agriculture, Food and the Marine has also confirmed that the payment rates associated with all schemes are changing because of the way the direct payment ceiling’s division mechanism.
Furthermore, all entitlement values will change in 2023.
The DAFM has changed planned for clawback mechanism around sales and the leasing of entitlements from 2023 onwards.
2023 direct payments:
- BISS/Basic Income Support for Sustainability will replace the BPS;
- Complementary Income Support for Young Farmers, which is the new Young Farmer Scheme);
- Eco-schemes (a new scheme to Ireland and the UK replacing greening)
- Complementary Redistributive Income Support for Sustainability (a new scheme often called CRISS/front loading);
- Coupled Income Support (Protein Aid).
During a public information meeting on the Common Agricultural Policy Draft Strategic Plan 2023-2027 last month, an official confirmed the following in relation to payment entitlements:
- No new allocation in the draft regulations – no ‘reference years’
- Number of entitlements stays the same. However, the value of each is adjusted to match the funding ceiling. According to the DAFM, the new average will be in the region of €155-160;
- All entitlement values will fall into a range from approximately €130-€285 by 2026;
- Transfers are still possible in what the DAFM described as “the usual way”. However, it confirmed that there are some changes planned around clawback;
- In recent weeks, farmers received a statement of entitlements for 2022, which sets of the value of entitlements for this year. Furthermore, the DAFM confirmed that farmers will receive another statement around February 2023 for the entirety of the new CAP;
- Convergence will continue throughout the new CAP, reaching a minimum of 85% by 2026 in “equal steps”.
Other articles on the next CAP: