Tony Killeen (Clare, Fianna Fail)

As the Minister has confirmed in the House previously, he is prepared to look at the possibility of reopening the scheme as soon as the general budgetary situation permits. Young farmers whose applications were significantly progressed at the time the scheme was suspended are a priority. In particular, eligible farmers who have continued their training will not be excluded from the benefits of the scheme when it reopens.

As for the scheme of early retirement from farming, the Minister has also confirmed that whenever it becomes possible to reopen it to new applications, priority will be given to those who were making preparations to apply at the time it was suspended. An allocation of €56.7 million has been made in the Department's Estimate for 2009 to meet current commitments under the two schemes.

A number of farm tax measures were renewed in budget 2009. These are part of a number of schemes and reliefs that have been put in place in recent years to bring about improvements in land mobility that will, in turn, improve productivity and efficiency, particularly for young farmers. These reliefs include the renewal of stamp duty relief for four years until 31 December 2012, worth an estimated €53 million in a full year; the renewal of stamp duty relief for farm consolidation for two years from 1 July 2009 to 31 June 2011; the renewal of both the general and the young trained farmers rates of stock relief for a further two years, at an estimated cost to the Exchequer of €2 million in a full year; and the extension of the accelerated capital allowance for necessary farm pollution control facilities from 31 December 2008 to the 31 December 2010, worth an estimated €10 million in a full year.

When combined, these farm tax measures are estimated to be worth over €65 million in a full year. In addition, the top rate of stamp duty on agricultural land transactions was reduced, with effect from 15 October last. This should reduce the cost of agricultural land to purchasers and encourage a higher number of transactions. All these measures should help young farmers to improve land mobility, increase land swaps and attain higher environmental standards.

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