Proposals to set maximum EU farm payments at €100,000 but loopholes exist
Future CAP plans aim to support younger farmers
A cap on the level of direct EU supports to farms across Europe will be set at a maximum of €100,000, with Member States able to set a national cap of between €60,000 and €100,000.
However, in announcing the European Commission's proposals today, the EU Commissioner for Agriculture and Rural Development Phil Hogan said that it would be possible for farms to be split to ensure they can claim larger supports.
He said that Member States can choose what national cap they want on EU farm supports, with a €60,000 to €100,000 limit proposed.
This support, he said, will in effect be more when labour costs are calculated and said it was now up to the political will of the European Parliament and Member States to implement the proposals.
"€60,000-€100,000 would be the choice or band of choices available to Member States," he said amid proposals to modernise and change the Common Agricultural Policy.
"We can only make a proposal... there are options if Member States and the European Parliament have the political will to agree with me that supporting younger farmers is the way to go and that access is made available to financial instruments for larger farmers."
The focus should be on smaller and medium sized farmers, he said in Brussels today.
However, he admitted that it will be impossible to stop farms from being divided up as business units to draw down more supports.