106. Deputy Edward Timmins asked the Minister for Agriculture, Food and the Marine if there is a strategy for succession planning for farmers; and if he will make a statement on the matter. [66716/25]

Sentiment score: 0.08

I offer the Minister my best wishes for his role, which is not so new anymore. His is a very important role, particularly at this critical time. We are in different constituencies but are near neighbours where south Kildare meets west Wicklow. Agriculture in Ireland is ageing fast. Currently, the average age of a farmer in Ireland is 59. Only 4% are under 35. This imbalance poses risk to long-term food security and to this important sector, which exports 90% of what it produces. The programme for Government commits to a farm succession scheme. Is there a strategy for succession planning for farmers?

Sentiment score: 0.14

I have read most of that document and most of those 31 recommendations are very worthy. I would like to see a lot of them being implemented. On a slightly related matter, I worked most of my life in small and medium sized businesses. The thing that strikes me most about farming is the huge fluctuation in prices from year to year. Most businesses face increases in costs or sales prices in single digit percentage changes. It is not so in farming. This makes it difficult to plan and means people have to build up large reserves to be confident of being able to continue to trade or else they will run out of cash. We need to take measures to make it financially attractive to run a farm business. We need to reduce red tape, which is a turn-off for many farmers, and make all schemes much simpler. Many of the recommendations of the commission on generational renewal in farming will help.

Sentiment score: 0.18

I bring the Minister's attention to another matter related to generational renewal. I will highlight an unfair flaw in the operation of the fair deal scheme relating to land transfer, for example to a grandchild, which is causing huge financial hardship for families. I will explain how it operates. This rule must be changed. If a family transfers land within five years of the owner entering a nursing home, this land is valued. If the recipients lease the land, they must pay the nursing home 7.5% of the value of the land on an annual base, with no three-year time limit like there is for the family farm. This could go on for 14 years until the total value of the land is paid over. This is completely unfair. There is no possibility of deferring the payment, as there is for the family home. It is therefore a huge financial burden. Where is the family to get the funds? I know of a case in which a family or young person is being assessed to pay €23,000 per year and the income the person is getting from leasing the land is only €5,000. The person has nowhere to find the cash and it is putting them under huge financial hardship. I am sure the Minister will agree that this is totally unfair. I would like it to be looked at and changed immediately.

Sentiment score: 0.03