A reprieve appears to be on the table for pensioner farmers who were in danger of losing direct payments in the next Common Agricultural Policy (CAP).

Plans tabled by the European Commission in summer 2025 would have scrapped direct payments for pensioners under the CAP post-2027.

As part of the commission's plan for the EU's next long-term budget - the Multiannual Financial Framework (MFF) - it proposed to end direct payments for farmers who are in receipt of a pension.

While these plans would allow those farmers to continue receiving payments under some Pillar II measures, like agri-environment schemes, farm organisations and many politicians pushed back strongly on the plans.

A key report from the European Parliament's agriculture committee, published in June, "strictly rejected" the proposal to stop direct payments for these farmers.

It appears now that the Council of the EU - which, along with the parliament, can make amendments to proposed legislation from the commission - is moving away from these plans in favour of flexibility for member states.

In response to a parliamentary question from Sinn Féin Galway West TD Mairéad Farrell, Minister for Agriculture, Food and the Marine Martin Heydon indicated that member states are currently favouring an optional approach to direct payments for pensioners.

The minister said: "The commission's original proposal for CAP post-2027 included a provision under which farmers who had reached retirement age and were in receipt of a pension would not be eligible for direct payments.

"A number of member states, including Ireland, raised concerns regarding this provision, and in the latest draft of the regulation, it has has been made optional for member states to implement," the minister added.

While this "draft" that Minister Heydon referred to is not yet a publicly available document, a statement to Agriland by the Department of Agriculture, Food and the Marine confirmed that, in a draft tabled under the Cyprus presidency of the council - which ended in June - the provision to remove direct payments for farmers with pensions would be made optional rather than mandatory.

The department statement added: "It is important to note that this reflects the discussions to date in the council of ministers [of which Ireland currently holds the presidency] and that the text on this and on other elements of the CAP regulations remain subject to change over the course of the negotiations.

"Even after the council has agreed its overall position, a further round of negotiations must take place with the European Parliament before the final content of the regulation is arrived at," the statement said.

Minister Heydon, in his response to Deputy Farrell's parliamentary question, said: "The CAP post-2027 negotiations remain ongoing. Ireland, as Presidency, will continue to facilitate progress towards an agreement on a CAP framework that is effective, and sufficiently flexible to reflect the different circumstances and needs of member states."