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Dáil
‹ Ceisteanna—Questions. Oral Answers. - Farm Rescue Package.

Farm rescue package figures and costs

Summary

The Minister said 4,400 farmers had received about £9 million in interest relief, no applications were known to be lost, and the State’s estimated liability had fallen from £37 million to £30 million. Individual benefits were confidential.

Oliver J. Flanagan Mr. O.J. Flanagan Fine Gael

asked the Minister for Agriculture if any applications from farmers under the farm rescue package were lost or mislaid and, if so, if he will make a statement on the matter.

17.

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asked the Minister for Agriculture the number of people who have benefited under the rescue package for farmers in financial trouble; the amount paid to each individual; and if he will make a statement on its operation.

18.

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asked the Minister for Agriculture the number of farmers in the country who have been accepted under the rescue package; the type of restructuring that has been arranged for them; the number involved in dairying; the effects that the proposed super-levy would have on them; and if he will make a statement of the matter.

19.

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Ned O'Keeffe Mr. E. O'Keeffe Fianna Fáil

asked the Minister for Agriculture if he will extend the rescue package scheme to cover late applicants; and if he will make a statement on the matter.

Comment on this

I propose to take Questions Nos. 16, 17, 18 and 19 together.

The reduced interest scheme for farmers in severe financial difficulty is wholly administered by the associated banks and the ACC and they have informed me that some 4,400 applicants have so far received interest relief of approximately £9 million under the scheme. The amount of benefit conferred on each individual is, of course, confidential. The lending institutions are not aware of any applications being lost or mislaid.

The scheme requires a financial reconstruction programme to be drawn up for each participant. This programme may involve restructuring of loans and modification of farm plans. This is arranged by the lending institutions. I have no information in the matter.

The closing date for receipt of completed application forms by the lending institutions was originally fixed at 15 June 1982 but this was later extended to 30 June 1982. I do not propose to re-open the scheme to applicants who did not make application in time.

I am anxious to see the processing of applications completed as soon as possible. But, in view of the nature and complexity of the scheme, progress is as good as could be expected.

Comment on this

(Limerick West): Is the Minister aware that, in certain instances, the scheme is ineffective? Is he further aware of the amount that the scheme has cost the Exchequer to date?

Comment on this

The present position is that, of the 4,400 applicants that have been given relief under the scheme, the interest relief granted to date amounts to approximately £9 million.

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(Limerick West): I asked the Minister the amount it has cost the Exchequer to date. Has he that information?

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The scheme is expected to cover borrowings of £190 million. The cost to the State was originally estimated at £37 million but reductions in interest rates have reduced the State's liability to an estimated £30 million.

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