Grants withheld from 4,644 applicants
The Minister estimated the Exchequer would save £5.5 million by withholding grants from applicants not approved by 9 February 1983. He acknowledged hardship but said the decision stood and grants would return in modified form in autumn; EEC matching funds depend on Ireland’s contribution.
asked the Minister for Agriculture the total grant-aid cash loss to the 4,644 applicants who became disqualified due to the suspension of the farm modernisation scheme; and if he will make a statement on the matter.
Comment on this
The saving to the Exchequer resulting from withholding grant-aid in cases where approval had not issued by 9 February 1983 is estimated at £5.5 million.
Comment on this
Does the Minister feel it is right to penalise people who were trying to improve their holdings by carrying out the instructions of the advisory service? The Minister of State at the Department of Agriculture. Deputy Connaughton, said last week that grants for houses were abolished overnight, but that is not true because people were given a couple of months to apply. Would the Minister agree that the suspension of these grants is causing grave hardship to most of the 4,644 farmers who have been disqualified, some of whom are facing eviction? For the sake of £5.5 million, would the Minister not reconsider the whole matter and pay the grants? There will be very little development during the winter months. It is a national scandal that the Minister for Finance should put the Minister for Agriculture in that position.
Comment on this
I waited to see if Deputy Byrne would stop if I did not point out that he was making a long speech which is not in order.
Comment on this
I would not like to pass the buck to the Minister for Finance because I had a considerable amount to do with deciding what would be cut. I realise that, unfortunately, people have suffered financial loss and it will cause a certain degree of hardship but it has been decided and I will not retract at this stage. We will bring back the grant in a modified form in the autumn.
Comment on this
The Minister has admitted that there has been a saving to the Exchequer of £5.5 million, which is a loss to agriculture. It is also a saving to the EEC. Has the Minister any proposals for next year to put before the EEC to try to recoup the amount of money saved to them this year?