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EU Budgets

Dáil Éireann Debate, Thursday - 1 October 2026

Thursday, 1 October 2026

Questions (6, 40)

Ryan O'Meara

Question:

6. Deputy Ryan O'Meara asked the Minister for Foreign Affairs and Trade if she will report on discussions regarding the EU budget at the last meeting of the General Affairs Council. [69091/26]

View answer

Aindrias Moynihan

Question:

40. Deputy Aindrias Moynihan asked the Minister for Foreign Affairs and Trade for a report on the EU budget talks at the General Affairs Council in Brussels on 22 September 2026. [68987/26]

View answer

Oral answers (9 contributions)

I ask the Minister of State for an update on negotiations around the EU's multi-annual financial framework, MFF, with particular regard to Ireland's priorities for these negotiations. The EU budget has to reflect the realities facing Europe today, including competitiveness, energy security, defence and, importantly, food security. For Ireland, one of the most important elements of that budget is the future of the Common Agricultural Policy, CAP. Will the Minister outline the Government's priorities for protecting the CAP at the next EU budget?

I propose to take Questions Nos. 6 and 40 together.

Pursuing agreement on the next EU long-term budget, that is, the multi-annual financial framework, is a key priority for the Irish Presidency. It overarches all our priorities. The Government is advancing negotiations at a critical juncture. We, as the Presidency, are bringing member states closer to agreement on key issues, such as the overall size of the long-term budget, where the EU should focus its resources and where funding should come from.

The General Affairs Council, which I chair, held its most recent meeting in Brussels on 22 September in which the MFF was discussed in public session. This included substantive engagement among member states on the expenditure, volume and revenue aspects of the future long-term budget of the EU. This discussion was the final one in a series of important debates held between European affairs ministers. It comes in advance of the Irish Presidency publishing our compromise proposal in October. Member States used this discussion as an opportunity to note their views on the overall volume of the future MFF and to highlight where they consider expenditure should be focused. Some member states called for significant reductions on the Commission’s proposals, while others called for the volume to be retained. Priorities varied, but member states highlighted the importance of agricultural, cohesion, defence and security, research, innovation and competitiveness for the next EU budget.

Debate has also continued on sources of revenue under the next MFF, which are known as own resources. Discussion focused primarily on five European Commission proposals, namely, the carbon border adjustment mechanism, the emissions trading system, a tobacco excise duty, a corporate own resource for Europe and a so called e-waste-based own resource. While the general consensus is that a significant package of new own resources is needed for the MFF, member states have a range of different opinion as to which should be implemented.

The variety of views, as set out at the General Affairs Council, emphasises the challenge and need for the Irish Presidency to carefully consider all opinions and deliver a compromise that brings member states closer to agreement. In order to do so, we will deliver a compromise proposal - a so-called revised negotiating box - to member states in the coming period. Our intention and role when holding the Presidency is to find the balance between member states and put forward workable solutions to areas of disagreement that are capable of addressing the Union’s current and emerging needs for the next decade. We are doing all we can to balance the views of member states, and we are counting on all around the negotiating table to approach discussions following the publication of our negotiating box flexibly and with a commitment to compromise.

At the end of the day, our objective is to ensure that the MFF will continue to support our farmers, fishers and rural communities, enhance European competitiveness through investment in energy, digital and connectivity, support Irish students to go on Erasmus and Irish researchers to have access to grants, invest in peace and reconciliation on the island of Ireland and continue the significant EU humanitarian and development assistance outside the borders.

The next meeting of the leaders of the European Union is on 15 and 16 October. We will publish our negotiating box in advance of that. This will be a key milestone in the agreement and will move the Council, which is the member states, closer to agreement on the overall package to ensure a timely agreement is met.

I thank the Minister of State. I will focus specifically on the Common Agricultural Policy and rural Ireland. The CAP is not simply a payment for farmers. It is an investment in the viability of family farms and the communities that depend on them. When a farm is viable it supports agricultural contractors, machinery businesses, vets, hauliers, merchants, local shops and services. The money circulates through the rural community and economy and remains within it. When farming is going well rural Ireland goes well, and that is certainly true in Tipperary and north-west Kilkenny. However, we also have to recognise the pressures farmers are facing from input costs, market volatility, weather events and the need to invest in the future of our farms. As the Minister of State mentioned, negotiations are continuing. As they continue, will the Government make sure the next CAP provides the certainty our farmers need, supports generational renewal and protects the viability of the family farm in rural Ireland?

Irish whiskey is one of Ireland's most successful indigenous export products, supporting jobs in distilleries, farming, tourism and rural communities. The recent announcement that US tariffs on Irish whiskey were to be removed was very welcome. However, producers, especially smaller and independent distilleries, need certainty. Will the Minister indicate whether the Government has received a clear timeframe from the US Administration for the removal of these tariffs? What assurances can be given to producers that Irish whiskey-----

A Theachta, you are referring to Question No. 11. We are discussing Questions Nos. 6 and 40. Question No. 40, which is in your name, relates to the EU budget talks at the General Affairs Council. We will get to Question No. 11.

Deputy Moynihan will also want to hear about the Common Agricultural Policy but I will leave it to the Minister, Deputy McEntee, to talk about whiskey.

The EU budget negotiations are exactly that; a negotiation. It is not like countries are negotiating with the EU. What is the EU? It is the member states of the EU, so it is a negotiation between the member states as to what the priorities are and how much we will spend. It is our role in the Presidency to chair those talks effectively. We have to act as an honest broker on behalf of the member states, and the Government is committed to doing that. We want to bring member states closer together on key issues, including the Common Agricultural Policy. We published our priorities for the multi-annual financial framework in the summer of last year well in advance of our Presidency so that everybody would know what our priorities were and that we could perform the honest broker role with our priorities well known at the same time. The Common Agricultural Policy has been a top priority for the Irish Government. When we go into Presidency mode we have to become an honest broker. However, it is the case that the Common Agricultural Policy is also a top priority for many other member states, although not for all. Our commitment now as honest broker is not only to listen to the domestic point of view and to put forward our domestic position. We also have to listen to the variety of opinions around the negotiating table and we have to drive the compromise among the member states that everybody can agree on.

Following up on my last point, it brings up the broader argument of food security. With Ireland being one of the world's greatest food producing nations, we have a globally recognised reputation for quality, safety and traceability of the food we produce. Our agriculture and agrifood sectors are fundamental to the Irish economy and rural Ireland. Recent events have shown that we cannot take food security for granted. We would never suggest that Europe should compromise on energy security or defence, because they are strategically important. Food security deserves the exact same recognition. Will the Minister of State give a commitment that Ireland will argue strongly and for a properly funded CAP in the next EU budget, as he has outlined Ireland did over 12 months ago? Will he commit to ensuring that protecting our farmers and our capacity to produce food will remain a strategic priority for Ireland in these negotiations, particularly working with like-minded countries that hold the same views on the importance of the CAP and food security?

In the interests of Irish farming and rural communities, getting agreement on the CAP is hugely important and giving clarity to farmers and rural communities on the shape and size of funding going forward. It is almost as if there are two separate questions on the multi-annual financial framework - deciding how much will be available and, separately, how CAP funding will be available to support rural communities. The LEADER programme is being funded through the second pillar and groups availing of it are very concerned. Will the Minister of State give an outline as to how that funding could be channelled to rural communities? In the interests of farmers, can the CAP aspect be agreed separately from the multi-annual financial framework?

Food security is one of the foundational reasons for the European Union's existence. The Common Agricultural Policy is a treaty-based policy which the European Union has long been committed to. However, some member states tell us that we need to look at other priorities, particularly competitiveness, as I mentioned. We are trying to get agreement on that. It is also fair to say that in my discussions with Ministers around the European table, many of them have prioritised the Common Agricultural Policy and particularly those policies in heading 1 of the multi-annual financial framework proposal.

Regarding the Common Agricultural Policy in general and the questions raised by Deputy Moynihan, there are two questions. One question is the overall size of the budget. We have heard some of the contributor countries say that they want the budget proposal to be reduced by several hundred billion euro. It is not just the size of the budget, though. It is also about where the priorities within the size of the budget are as well. Again, some member states emphasise what they call more modern priorities. The Government's position has been made very clearly. Last year, we thought it was important to get our spoke out to say what our priorities were, so that we could play the honest broker role, which I have been doing. I have chaired the meetings of the General Affairs Council. I have met each minister for Europe or foreign minister on the MFF in the past month, in a confidential format to find out where they are. We will propose our negotiating document in the coming period. That is not the end of the line. That would be a pointer towards the leaders getting this agreement over the line. It is hoped that our negotiating box will allow the leaders to come to an agreement. What they agree could be different and could be better or worse, from different people's point of view. It could also be different at the end of the day. In the next few weeks, our negotiating box is not the end of the story. The end of the story is when the leaders agree at the European Council. All of them have to agree and the European Parliament has to consent to the final outcome on the amount. There is a lot of work to do even after we put forward our negotiating box.

Question No. 7 taken with Written Answers.
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