The European Commission should examine ways to ensure CAP payments are going to farmers who need them most, the European Court of Auditors (ECA) has recommended.

In its latest report on EU spending, the EU’s watchdog said there is no measure of the efficiency of direct payments. This could be increased, and policy design improved, if the Commission identified how much supports were going to farmers other than those who needed it most, it said.

Based on figures from the Commission, the auditors outlined that 30% of payments go to the 2% of farmers receiving more than €50,000 annually

“This would involve identifying CAP funds paid to farmers whose income from farming exceeds the average income from farming and funds paid to beneficiaries whose main economic activity is not farming,” the auditors said.

The ECA highlighted that because direct payments are linked to land area, around 80% of the support goes to 20% of farmers.

Based on figures from the Commission, the auditors outlined that 30% of payments go to the 2% of farmers receiving more than €50,000 annually.

Analysis of the same figures carried out by the Irish Farmers Journal shows the concentration of payments among Irish farmers is not as extreme as it is across Europe.

Only 55% of all direct payments go to the top 20% of farmers in Ireland, in comparison to 80% across the EU.

Over half of all EU farmers (58%) receive a payment of €2,000 or less per year

An Irish farmer receiving a payment of €20,000 or more is among the top 20% of CAP recipients in the country.

Those with a payment of over €50,000 receive 10% of all funds, one-third of the EU figure.

Over half of all EU farmers (58%) receive a payment of €2,000 or less per year.

Just 15% of Irish farmers receive these small payment amounts.

Almost three-quarters of Irish farmers are claiming a payment between €2,000 and €20,000, which is over double the EU average.

There are also far fewer Irish payments in excess of €100,000. Just over 200 farmers (0.15%) receive a six-figure payment, accounting for 2.3% of Ireland’s budget (€27m).

Large payments are more common across the EU, with 0.5% of farmers receiving 16.3% of supports.

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