Budget 2025 - the farming scheme angle
Budget 2025 was made public yesterday, October 1, by the Minister for Finance Jack Chambers and it contained a number of important measures for the farming sector, including the provision of funding for schemes next year.
Following the unveiling of Budget 2025 to the Dáil, Minister for Agriculture, Food and the Marine Charlie McConalogue, along with Minister Martin Heydon and Minister Pippa Hackett, provided further clarity on their department’s budget allocation – pointing to where the funds would be destined.
Suckler supports
Of interest to suckler farmers was the allocation of additional funds to the National Beef Welfare Scheme – a scheme in its current guise which offers financial support to beef farmers to implement meal feeding pre- and post-weaning and the implementation of vaccination programmes. Funding under this measures has increased by €25/head, bringing the potential payment rate under this scheme to €75/head in 2025. When combined with payments available under the Suckler Carbon Efficiency Programme (SCEP), participating farmers can expect payment rates up to a maximum of €225 for eligible cow and calf pair in 2025.
Improved National Sheep Welfare Scheme payment rates
Farmers participating in the National Sheep Welfare Scheme in 2025 can also expect higher payment rates, as an additional payment of €5/ewe was allowed for in Budget 2025. This will bring the payment available under this scheme to €13/ewe in 2025. When combined with the €12/ewe available under the CSP Sheep Improvement Scheme (SIS), eligible sheep farmers will receive €25/ewe in 2025.
Tillage supports
Along with the announcement of €10 million in funding for the Straw Incorporation Measure in 2025, funding was provided for a new tillage measure – allowing payment rates of €100/ha payment for farmers that planted tillage and field grown food crops for harvest 2024 as declared on farmers 2024 Basic Income Support for Sustainability (BISS).
Dairy Beef Scheme
The payment per calf available under the Dairy Beef Scheme in 2025 has also been doubled – moving from the €20 per eligible calf available in 2024 to €40 per eligible calf in 2025. The 2024 iteration of the scheme incentivised dairy farmers to use genotyped and/or genetically superior beef sires for breeding dairy beef calves.
Organics
Budget 2025 has also allocated €67 million in funding for the Organic Farming Scheme – an increase of €10 million on 2024, thus allowing the scheme to reopen to new participants in the coming weeks.
Animal health
€10 million in funding has also been allocated for the implementation of a number of measures to support animal health.
One such measure is a new Targeted Advisory Service for Animal Health (TASAH). Focused on anti-parasitic use and biosecurity, this will provide for preparatory work, and a farm visit and veterinary consultation to advise on animal diseases - at no cost to the farmer – along with farm specific recommendations on biodiversity. This is a follow on from the TASAH operated over 2022-2023. Additionally, a proportion of this funding will be set aside for the BVD eradication programme as well as a national IBR programme.
ACRES
Given the decision to accept all 55,000 participants into the Agri-Climate Rural Environment Scheme (ACRES), funding of €60 million has been allocated, bringing ACRES scheme funding to €260 million in 2025.
Other measures
- A funding allocation of €5 million will also allow for a ‘Forgotten Farmers’ scheme to open in 2025.
- The Soil Sampling and Analysis Programme will continue into 2025, following the allocation of €6 million in funds in Budget 2025.
- Funding of €1.5 million has been secured for a Clover scheme and €1.25 million for a multispecies scheme in 2025 – both schemes offered farmers rebates on the cost of purchasing seed when establishing such crops.
- €2.5 million has been ring-fenced for Farm Safety measures.
- Forestry has been allocated €91 million, to support the Forestry Programme and to allow for ash dieback support payments.
- €21.6 million has been allocated for research and development.
Main budget measures
The above is just a snapshot of some of the measures introduced as part of Budget 2025. For further information, Kevin Connolly, Teagasc Financial Management Specialist, has provided a summary of the main budget measures, plus an outline of other tax changes implemented recently which impact the farming sector.
Kevin Connolly also featured on this week’s Beef Edge podcast to discuss the main headline items arising from Budget 2025, from tax cuts to increased spending.
Listen in below: