An Irish MEP is urging the government to seek an extension from the EU of the deadline for spending Brexit Adjustment Reserve (BAR) funding.
The BAR fund was created by the EU to support all member states to manage the impacts of Brexit.
Ireland, as the member state most affected, received the biggest allocation from Brussels at a value of €1.165 billion.
The funding can be allocated to projects across a range of sectors, including agriculture, fisheries and enterprise.
The conditions of the fund include a requirement to have the money committed, works completed and final paperwork submitted by the end of 2023.
MEP
Midlands North-West MEP Colm Markey said that it is “imperative to have sufficient time to deliver the maximum benefits to mitigate the impacts of Brexit”.
“The urgency to utilise the allocated funds within the given timeframe has resulted in a rush to spend, potentially compromising the selection process, efficient delivery and the cost effectiveness of projects,” he said.
“The impact of Brexit continues to unfold and is only now becoming apparent for some sectors with the UK entering into trade deals with countries like New Zealand and Australia which could displace Irish products such as lamb and beef on UK shelves.
“One of the requirements of BAR funding is to be able to demonstrate historic evidence of a negative effect. However, that effect has only started to become apparent in recent months and these sectors are only now in a position to provide the evidence of this effect,” the MEP added.
Given these circumstances, Markey is urging the Irish government to seek an extension of the BAR spending deadline.
He believes this will allow for “a more thorough and strategic approach to utilising the funding to its fullest potential”.
The MEP said this will ensure the best outcomes for the industries impacted by Brexit particularly agriculture, fisheries, enterprise and transport.
“The thought that we could find ourselves handing money back or finding quick-fix projects to meet the deadline is terrible.
“We need to seek an extension to ensure the maximum and most effective spend while also establishing the case for a further allocation from the EU,” he said.