Mr. Brian Rushe:

We have continuously pointed out the impact of inflation on the CAP. The Minister and the Department have signalled that, overall, between pillars 1 and 2, there is an increase in funding but inflation is having an impact. Look at the impact of inflation in the past six months. It will have an impact on the value of that payment going forward. We have called out the need for indexation and we have called out that farmers have lost out hugely because they have not had indexation. That has had an impact on the CAP funding in real terms.

I agree 100% with Mr. McCormack that this CAP is being asked to do too much already. Stretching it any further, as has been suggested, to cover more environmental measures or to even attempt to use money from CAP to cover our emissions reduction target, is not feasible and will not go next or near far enough. There needs to be a separate fund that is targeted towards that. There also needs to be a separate fund for eco systems services and more environmental measures, if that is what people want and if that is what the Department wants. Already this CAP budget is under severe pressure, even though the value might be increased or the Department might point to the value being increased. However, the value of it to farmers is under real pressure and they cannot be asked to do any more.