UPDATED - Budget update means 2.45% cut instead of 4% for direct payments
Wednesday, 16 October, 2013
It was announced this week (16 October) that the EU budget shortfall is not expected to be as bad as originally forecast. Instead of having to save €1 471.4 million, only €902.9million needs to be saved and with the €2000 threshold the EU Commission is now proposing a financial discipline rate of 2.45% instead of 4.00%. While the UFU would prefer that there is no cut in direct payments, this recent announcement combined with a favourable Euro/Sterling exchange rate and the NI Agriculture Minister’s decision not to apply voluntary modulation this year already means that farmers here in Northern Ireland will be better off than some of their counterparts in other EU Member States.