Dáil debates

Tuesday, 23 April 2013

Topical Issue Debate

Farm Assist Scheme Eligibility

6:30 pm

Photo of Patrick O'DonovanPatrick O'Donovan (Limerick, Fine Gael)
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This matter was also raised by Deputy Áine Collins. Unfortunately, she has been unavoidably detained and relays her apologies for not being able to attend the Chamber.

I thank the Ceann Comhairle for selecting this pertinent and relevant issue, particularly when the matter of the unbelievable weather-related conditions many farmers have faced has been raised today and last week. While I welcome the Minister of State, Deputy Dinny McGinley, it is regrettable that the Minister for Social Protection could not attend to reply to this Topical Issue matter which cuts to the hearts of many rural families.

It is predominantly an issue that affects people in small holdings on bad land across many counties, including my county where farmers with dry stock in small holdings were unable to save hay or silage last year. This year they are at the stage where they cannot get it, and many of them cannot get the supports that were available for farm assist. As the Minister of State is aware, to qualify for farm assist a farmer has to be on the lowest rung of the ladder in terms of income. I raise that because the income levels of many of the people who would qualify for farm assist have been affected dramatically, even in recent weeks. Given the county he is from the Minister will appreciate that input costs, particularly for beef and dairy farmers, have gone through the roof in recent weeks. There is no access to fodder on the island. We know it must be imported. I do not like using the term but this is a critical situation for many people.

I have just left my office where I spoke to a farmer who not only has to contend with the fact that his income is down but he had the veterinarian from the Department out to his farm today. He has lost four animals in recent weeks and the veterinarian has put that down to dietary-related illnesses. Dietary-related illnesses means the cattle are not getting the nutrients they require to keep them alive. In addition to that he has the cost of disposing of the carcases of the cattle that died on the farm. He then must account for that to the Department.

This is not a political issue. It is an issue affecting farming families up and down the country. I implore the Minister for Social Protection and the Minister for Agriculture, Food and the Marine to come together on this issue and try to come up with a scheme of humanitarian assistance. Last week the Minister for Agriculture, Food and Marine, together with his colleague, the Minister for overseas development aid, committed €21 million over three years for developing countries through the World Food Programme. A humanitarian issue is quickly developing on this island which is threatening animal husbandry and animal welfare, and I do not say that lightly. If farmers cannot feed their cattle, sheep or any of the animals on their farm and they are left with no alternative other than to watch them, as we have seen in some instances up and down the country, starving in sheds, somebody must intervene to protect those animals and to protect the farmers because their psychological health is suffering.

I heard the president of the Irish Farmers Association speak on a radio programme today and he was very responsible in terms of what that organisation is doing. I had a good deal of engagement with the farming organisations over the weekend, as I am sure did other Deputies, but this is a major issue and if it is not addressed in a coherent way in the coming days between the Departments of Social Protection and Agriculture, Food and the Marine, particularly for those on the lowest rung of the income ladder, namely, those on farm assist, we will be facing a major issue. I appeal to the Government to intervene in this issue on humanitarian grounds for farmers who have nothing more to give.

6:40 pm

Photo of Dinny McGinleyDinny McGinley (Donegal South West, Fine Gael)
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I thank the Deputy for raising this matter as a Topical Issue. It is an appropriate time for it. I apologise for the absence of the Minister for Social Protection who is otherwise engaged and for whom I am deputising.

The farm assist scheme referred to by the Deputy is based on jobseeker's allowance. It was introduced in 1999 to replace smallholder's unemployment assistance for low income farmers, without the requirement to be available for and genuinely seeking work. Farm assist recipients retain all the advantages of the jobseeker's allowance scheme such as retention of secondary benefits and access to activation programmes.

Budget changes over the past two years have brought the more beneficial treatment of farm assist claimants relevant to the treatment of other self-employed persons who would be claiming jobseeker's allowance to an end. This ensures greater consistency in the treatment of all self-employed persons in both farm assist and jobseeker's allowance.

The 2013 budget changes increased the amount of means from self-employment which is assessed against the claim from 85% to 100% and discontinues means testing disregards for child dependants of claimants.

The headline rates for farm assist are being maintained, therefore, farm families with the lowest income will be least affected by these changes. Farm assist remains a flexible payment and any farmer experiencing lower levels of income or cashflow issues due, for example, to bad weather can ask his local welfare office to review the level of means applying to his claim.

The assessment of means for the purpose of qualifying for farm assist is designed to reflect the actual net income and considers gross income from farming, less any expenses necessarily incurred. Income and expenditure figures for the preceding year are generally used as an indicator of the expected position in the following year. However, account is taken of any exceptional circumstances so as to ensure that the assessment accurately reflects the current position.

It may be noted that the farm assist means test continues to offer distinct advantages to farmers. For example, payments received under the agri-environment options scheme or special areas of conservation schemes are assessed separately from other farm income. With regard to this income, the first €2,540 is disregarded and 50% of the balance and related expenses are disregarded, with the balance being assessed as means.

In addition, farm assist participants can participate in the rural social scheme. This scheme provides additional resources to maintain and improve local amenities and facilities in rural communities. Communities benefit from the skills and talents of local farmers and fisherpersons, while participants experience opportunities to improve existing skills or develop new skills, and perform valuable work in the community.

Any proposals to change the existing structure of the scheme would be for Government to consider in a budgetary context.

Photo of Patrick O'DonovanPatrick O'Donovan (Limerick, Fine Gael)
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I thank the Minister of State for his reply. The Minister is right that income and expenditure figures for the preceding year are generally used as an indicator. The problem is that the allocations being made are on the income achieved in 2012 but anybody farming in 2012 was feeding cattle with silage or hay cultivated in 2011 when we had a good summer. My county has had 19 months of almost continuous rain. A farmer told me at the weekend that he should not be entitled to an acreage payment but a litreage payment because there is so much water on the ground.

I am aware the Government has €108 million available for farm assist and that the saving this year was projected to be €3.75 million, which is approximately 3%. That can be achieved, but it must be pushed down the road, so to speak.

I note from the Minister's reply that there is flexibility regarding this issue. I ask, through the Minister of State's office, that the Minister for Social Protection and the Minister for Agriculture, Food and the Marine would introduce some flexibility in terms of that €108 million within the next 24 to 48 hours to ensure that either farm assist can be advanced to people who actively need it or that something is done with the single farm payment.

This is not an issue for the Department of Agriculture, Food and the Marine or the Department of Social Protection. It is a humanitarian issue. If this country can afford to give €21 million to the World Food Programme over three years for developing countries, it behoves us to try to do something for our own farmers whose animals are starving in their farmyards. That is not an exaggeration. If anybody in the Department wants me to give them the details of farmers who currently cannot feed their farmers, I will gladly do that but I appeal to the Minister of State to use his influence to get the Ministers for Social Protection and Agriculture, Food and the Marine to come up with some scheme, be it an advance on farm assist, an advance on the single farm payment or a restructuring on the saving for farm assist that can be made within the remainder of the calendar year for 2013.

Photo of Dinny McGinleyDinny McGinley (Donegal South West, Fine Gael)
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Coming from a rural background and representing a rural community I am in consultation with farmers and I understand and empathise with the points made eloquently by Deputy O'Donovan.

The farm assist remains a flexible payment for any farmer experiencing a lower level of income or cash flow issues due to bad weather. It has been horrific these past couple of weeks and driving from our constituencies to the capital we wonder whether the spring will come at all. Thankfully, the first visible signs of spring are here today. Hopefully, this issue will be addressed by the improvement in the weather. Farmers who find themselves in this situation can approach their local welfare officers to see whether any further assistance can be given. That said, I will convey the points made by the Deputy to the Minister.