Commission extends 2016 BPS payment deadline
Published June 9th, 2016
EU Agriculture Commissioner Phil Hogan confirmed that the deadline for European subsidies to be paid to farmers has been extended from 30th June to 15th October.
Some member states have struggled to deliver 2015 Basic Payment Scheme (BPS) payments, risking heavy fines. Under normal rules, any payments made after 30th June would be subject to reductions in the rate of reimbursement from the EU. Typically post-30th June payments would incur a fine of 10 per cent on those made in July, 25 per cent for August payments, increasing to 45 per cent for September.
Mr Hogan stressed this was ’an exceptional measure’, which reflects the difficulties some member states have experienced in the first year of BPS payments.
He said: “It represents an unprecedented level of flexibility on the part of the European Commission and, based on the current levels of payments, could yield a multi-million euro saving for those Member States/regions, and potentially their farmers, which will not have made their payments by 30 June.”
But he warned that ’this derogation must not be used as an excuse to slow down the rate of payments’ and urged the prioritisation of all outstanding payments, with a view to maximising the number of payments made before the original 30th June deadline.