Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

I thank the Deputy for raising this issue. The Brexit adjustment reserve aims to provide financial support to the most affected member states, regions and sectors to deal with the adverse consequences of Brexit. Ireland will be the largest beneficiary of the reserve, with an allocation of over €1 billion, the equivalent to just over 20% of the entire reserve. Approximately 80% of the funding will be paid to member states as pre-financing in three tranches of the period 2021 to 2023. I am pleased that on 6 December last, the European Commission approved payment of Ireland’s first tranche of €361.5 million, making us the first member state to receive such approval. To qualify for funding, expenditure must be incurred between 1 January 2020 and 31 December 2023. The direct link to the adverse consequences of the withdrawal of the UK from the EU must be demonstrated.

In Ireland, the allocation of resources from the reserve is being aligned with the annual Estimates process, which has been the vehicle for allocating Brexit resources since the UK referendum on EU membership in 2016. Budget 2022 announced that approximately €500 million of the overall BAR allocation will be made available as a first tranche of funding, with the remainder available next year. Indicative areas for BAR funding that were identified include enterprise supports, measures to support fisheries and coastal communities, targeted supports for the agrifood sector, reskilling and retraining and checks and controls at ports and airports.

To allow partners to proceed with programmes to be funded under the reserve, some €54 million was allocated as an initial funding in the Revised Estimates for public services 2022, with further allocations to be provided later this year, when there is more certainty on the requirements and timelines for spending of funds.

Initial allocations were made. The Department of Further and Higher Education, Research, Innovation and Science was allocated €14.5 million for Skillnet digital skills programme and Erasmus after Brexit initiatives. There is also an allocation to the OPW, to support its work to develop the infrastructure for checks and control at Rosslare Europort. I will proceed in a moment with more information.

See this speech in context