The future support funding for farming in Northern Ireland will be included within a block grant from Westminster to the Stormont Executive.
The Department of Agriculture, Environment and Rural Affairs (DAERA) has confirmed that the specific support funding allocations to the various farming sectors will be agreed by executive ministers.
A DAERA spokesperson added:
“As set out in the Statement of Funding Policy, from 2025-26 agriculture and fisheries funding has been included in the Executive’s baseline at the same level as 2024-25.
“It will, therefore, be for the executive to decide on the level of funding to be provided from its Resource DEL. This will be agreed as part of the Executive’s Budget.”
Funding
Courtesy of her Budget 2024 speech, the Chancellor of the Exchequer, Rachel Reeves, confirmed a £1.5 billion package of extra funding for Stormont.
This funding for next year comprises £1.2 billion for day-to-day spending, and £270 million for infrastructure investment.
Meanwhile, reactions to the impact of Budget UK 2024 on agriculture in Northern Ireland continue to highlight its potentially damaging impact on the industry.
West Tyrone MLA and Sinn Féin Agriculture spokesperson, Declan McAleer, said:
“The recent announcement of a £1 million inheritance tax threshold poses significant challenges for family farmers, who are essential to our food security.
“Many farmers’ assets are tied up in land and equipment, often accompanied by loans or mortgages.
“This new threshold risks pushing small farms into financial distress, making it increasingly difficult for families to pass down their livelihoods and maintain the agricultural practices that sustain our communities.”
“Compounding these issues is the absence of a ring-fenced budget for agriculture, unlike the south of Ireland which has committed substantial funding to support its farmers.”
According to McAleer: “The Barnett formula post-Brexit only heightens concerns about future agricultural funding, leaving farmers uncertain about the financial support they can rely on.”
From an all-Ireland perspective, McAleer believes the divergence in agricultural support could threaten the cohesiveness of the entire agricultural community, where cross-border trade and cooperation are vital.
“The government’s recent U-turn on the taxation of double-cab pickups reclassifying them as cars rather than vans adds another layer of complexity, increasing tax liabilities for farmers who depend on these vehicles for their operations.”
“As we navigate these challenges, it is crucial to advocate for policies that support family farms, ensure food security, and provide stable funding for the agricultural sector.
“Farmers must be empowered to continue their vital work in feeding our communities, and the British government must reverse this decision to safeguard our family farms future and the food security of the island of Ireland,” he added.
