There is support among all political parties in the NI Assembly for the budget for farm support to increase in line with inflation.
During a debate at Stormont on Monday, MLAs backed calls for the agricultural budget to be maintained in real terms for the duration of the current Westminster parliament.
Agriculture Minister Andrew Muir said he was pressing the UK government to “as an absolute minimum, maintain the current budget allocation, uplifted for inflation”.
“It is essential that the competitive position of our farmers is at least equivalent to that which is being provided to EU farmers and, most particularly, to those elsewhere on the island of Ireland,” he said.
The non-binding motion was brought forward for a debate and vote among MLAs by Sinn Fein’s Declan McAleer.
“We need a robust, long-term commitment to agriculture, similar to pillar I and pillar II of the Common Agricultural Policy. It is our duty to fight for that in the upcoming spending review,” he said.
An amendment from the SDLP, which called for a new pillar II-style rural development programme, was also passed when it came to a vote.
The DUP put forward an amendment, calling for a “ring-fenced, inflation-proof and multi-annual farm support and development budget”.
The proposed change from the DUP did not go to a vote because the SDLP amendment had already been passed, however representatives from all parties appeared supportive.
“It is something that has obviously united everyone in the chamber. We need to support it as best we possibly can,” said the DUP’s Tom Buchanan.
Uncertainty
At present, the annual agricultural budget for NI equates to around £330m, although no funding has been allocated for beyond March 2025.
During Monday’s debate, several MLAs referenced Ulster Farmers’ Union analysis, which found that the NI farm budget should be £389m if it was to keep pace with inflation over recent years.
The new funding allocation for agriculture in NI and across other devolved regions of the UK is ultimately a decision for the UK government in London.
An announcement is not expected until a spending review is completed, and the autumn budget is unveiled on 30 October.
Westminster
Senior UK government minister Steve Reed was pressed on the ongoing uncertainty around agricultural funding during a debate in Westminster on Tuesday.
“It is always difficult in the couple of weeks running up to the budget, because I cannot give definitive answers,” the Labour MP said.
He was also asked about speculation that the UK government is considering scrapping agricultural property relief, which allows most farms to avoid paying inheritance tax.
In response, Reed said he understood the “importance of intergenerational farming”, but added that he “cannot anticipate the outcome of the budget process”.