Watch: Budget 2026 - DAFM gets €2.3 billion but where will it be spent?

The Department of Agriculture, Food and the Marine (DAFM) has been allocated a total of €2.3 billion in Budget 2026.

In his Budget 2026 statement today (Tuesday, October 7) the Minister for Public Expenditure, Jack Chambers, described agriculture and food production as "a cornerstone of our economy".

Despite this, the capital allocation to DAFM will fall by -2% from €337 million in 2025 to €335 million in Budget 2026 while the department's current expenditure ceiling is €1.967 billion.  

DAFM allocation breakdown Source: Government of Ireland, Budget 2026 Expenditure Report
DAFM allocation breakdown Source: Government of Ireland, Budget 2026 Expenditure Report

Minister Chambers highlighted a number of specific measures to support what he described in the Dáil today as the "vital sector" that is agriculture and food production.

This includes:

  • €85 million in additional funding to enable "the rollout of the Bovine TB Action Plan";
  • Funding for the Agri Climate Rural Environment Scheme (ACRES) scheme will increase by €20 million;
  • €20 million to "allow the continuation of the National Sheep Welfare Scheme";
  • €35 million for the World Food Programme.

The €2.3 billion allocation in Budget 2026 will also cover a programme of food safety, animal, plant health, and animal welfare - which includes inspections and TB tests on cattle.

In addition to this the overall allocation will support a programme of farm and forestry sector supports and controls.

According to the Minister for Agriculture, Food and the Marine, Martin Heydon "Budget 2026 will provide very significant supports to farmers, fishers and foresters."

Minister Heydon added: ‘‘Budget 2026 provides for a 9% increase in funding when compared to 2025 and highlights the government’s strong commitment to the sector.

"I am delivering substantial supports to continue the growth and expansion of the agri-food, forestry, and fisheries sector.

"In particular, these budget measures include substantial funding for my key priorities of reducing TB, maintaining the nitrates derogation, encouraging generational renewal, and supporting the tillage and livestock sectors.’’

Minister Heydon said the additional funding for TB will boost the total budget to fight the disease to €157 million.

"This allocation will support and enable farm families who are currently dealing with the stress of a TB outbreak to navigate a way out of a TB restriction and protect those herds currently free from TB from the stress of a TB outbreak," he added.

The minister also believes that the renewal of the Accelerated Capital Allowance (ACA) for Slurry Storage will make "an important contribution to the overall effort to secure the retention of the nitrates derogation.

"This relief is being renewed for four years rather than the normal three years, to provide additional certainty for farmers in planning their investments," Minister Heydon added.

In relation to the Targeted Agricultural Modernisation Schemes (TAMS), the minister said that he has allocated €88 million to the TAMS capital investment scheme for 2026.

"There continues to be significant farmer demand for this scheme with over 6,100 applications to the most recent tranche and this increased allocation of €88 million will require careful management," Minister Heydon stated.

He also highlighted today that there will an increased allocation of €20 million for the Agri-Climate Rural Environment Scheme (ACRES) in 2026, boosting it to €280 million.

He has also committed to support the tillage sector in 2026 with "funding of at least €50 million through the Protein Aid Scheme, the Straw Incorporation Measure and a Tillage Support Scheme".

"Having secured a funding allocation for this scheme, I intend to consult with stakeholders on its design and operation in due course.

"These measures will help support tillage farm incomes and provide a strong base to protect the future of tillage farming in Ireland," he added.

The overall allocation to fund livestock schemes will amount to €131 million in 2026.

"These targeted supports for beef, sheep and suckler farmers will assist farm incomes and encourage positive actions on farm," Minister Heydon added.

A number of measures unveiled in Budget 2026 will support the next generation of farmers.

According to the minister, these include:

  • Agricultural Relief will remain available on the current terms to farm families to facilitate succession and the intergenerational transfer of farms;
  • The 100% Young Trained Farmer Stamp Duty Relief will be extended by four years instead of the normal three years for such measures;
  • Farm Restructuring (CGT) relief and a complementary Stamp Duty for Farm Consolidation relief have been extended by four years.

A total allocation of €93 million has been earmarked for the forestry sector, which represents a 5.7% increase on the 2025 allocation. 

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Minister Heydon has also confirmed that he is allocating €58.6 million in Budget 2026 to support and encourage organic production.

"This will also facilitate a targeted reopening of the scheme to farmers in the tillage sector," he added.

There is also confirmed funding of €19.3 million for research and development next year and financial supports totalling €8.25 million for the Knowledge Transfer Scheme programme.

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