Bank of Ireland is in receipt of more than 1,500 farming loan applications a month. This is according to its head of agri-business, Sean Farrell.

Speaking to AgriLand this afternoon, on foot of the Government’s announcement last week of a boost of more than €12.5bn in the new Common Agricultural Policy and exchequer funding for the next seven years, he said Bank of Ireland welcomes the investment into the farming sector.

“We welcome such an investment into the farming sector. It gives assurance to our farming customers for the next seven years.”

In terms of payments the announcement gives farmers the confidence now to plan, he noted.

“We are more confident of lending in the long-term following the announcement.

“The single farm payment is very important in respect to a farmer’s cashflow for loan assessments and this clarity brings greater confidence to the sector.”

In addition, Farrell confirmed its lending to the dairy sector is set to increase in the coming months and years ahead.

“It will accelerate when milk quotas are abolished in 2015. The dairy sector is something we are very comfortable with. It is a strong performer and we have noted a lot of applications in this sector.”

He continued: “We estimated more than 50 per cent of all new leading to agriculture is with Bank of Ireland and on average we receive 1,500 loan applications a month across all the farming sector.”