Michael Creed (Cork North West, Fine Gael) | Oireachtas source

Under the scheme, we extended the availability of the loan to the mushroom and tillage sectors. The Department keeps a record of all beneficiaries who would have benefited from de minimispayments up to now. It then had to keep track of whether the subsidy element that was available if this loan exceeded the €15,000 threshold over a three-year period. That is important. I would imagine that very few people are impacted upon by this and that the level of subsidy would only possibly kick in for people who are taking out a loan at or near the maximum amount.

On Deputy McConalogue's point, the €25 million that went into it was not part of the capital that was borrowed, it was actually a subsidy to the cost of the loan scheme and the interest rate. Once the capital is loaned out and the subsidy is available to the beneficiary - whether it is over one year, five years or six years - and the loan is repaid, the capital is not available for a second or third time. For example, if the original loan is for three years, the capital is not available for three more years.

I take Deputy Cahill's point that people wanted five or six years and ended up with half of that or less. Under the scheme, the interest rate was subsidised and other elements made it more cost effective, and people did not need the deeds of the farm because it was an unsecured loan. Apart from that, however, normal terms and conditions applied in regard to the banks' criteria and assessment of a loan application.