Pillar II will bear the brunt of CAP cutbacks
GLAS, TAMS and LEADER schemes could face cuts of up to 9pc in this week's reform proposals
Funding cuts to farming schemes such as GLAS and LEADER could be double the level of reductions imposed on the Basic Payment Scheme (BPS), it has emerged.
The EU Agriculture Commissioner, Phil Hogan, has insisted that cuts to the BPS provided under Pillar I of CAP will be limited to around 4pc. However, this move could necessitate a 9pc lowering of Pillar II, which funds rural development.
The revelations come as Commissioner Hogan prepares to announce his full CAP reform proposals on Friday.
An EU source told the Farming Independent that the proposals are likely to contain a "fair amount of constructive ambiguity".
And where the axe finally falls will be tied up in what happens to the wider 2021-27 EU budget, which is unlikely to be agreed before the end of this Commission's term in office in 2019.
A 5pc reduction in the CAP was proposed earlier this month by EU Budget Commissioner Günther Oettinger.
A decrease of this magnitude to the Irish CAP envelope of €1.5bn equates to around €75m.
However, changes to the co-financing rules due to be unveiled in the proposal mean the Department of Finance could help to make up the shortfall from the EU budget with national funding.