The Department of Agriculture returned €178.2m of unspent money to the Exchequer in 2018. This equated to an underspend of approximately 15% on original estimates.

Some €40.45m of the underspend related to lower than expected expenditure across farmer schemes.

The Department took in €159.71m more than expected, reducing the requirement for Exchequer funding.

Figures from the Comptroller and Auditor General report show the underspend in farmer schemes occurred in a number of areas.

Knowledge Transfer (KT) had a budget of €23m but €1.3m less was spent

In 2018, TAMS had a budget of €70m. There was a saving of €3.21m as the number of payment claims submitted was lower than expected.

Knowledge Transfer (KT) had a budget of €23m but €1.3m less was spent due to payment delays and higher than expected non-compliance levels.

One of the most significant underspends was in forestry where there was an €11.2m shortfall, leaving a total spend of €94.5m.

Some €17.65m was spent on the Sheep Welfare Scheme, an underspend of €2.35m

The Department blamed reduced plantings as a result of extreme weather and difficulties with planning permission for forestry roads.

Some €17.65m was spent on the Sheep Welfare Scheme, an underspend of €2.35m.

The Department said this was because fewer farmers than expected took part and some farmers failed to maintain the correct number of sheep or complete the required actions.

Windfalls

The Department also had some unexpected windfalls which reduced the requirement for Exchequer funding.

Chief among these was €177.3m from the EU as €82.4m due in 2017 arrived in 2018 and €85.8m in funding for ANC payments expected in 2019 arrived early.

An additional €4.6m was received in refunds from veterinary fees for inspection services at meat plants

The Department collected €7.5m in cattle disease levies, €2m more than expected.

It said levies were increasing year-on-year across all sectors since 2015, but particularly dairy after the removal of quotas.

An additional €4.6m was received in refunds from veterinary fees for inspection services at meat plants due to increased slaughterings.

Nearly €2m extra was received for dairy premises inspections because of increased milk production.

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Finance watchdog questions forestry spending