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Basic Payment Scheme (BPS) Entitlements
From Department of Agriculture, Food and the Marine
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The Basic Payment Scheme (BPS) payment is based on the number of hectares farmed and the number and value of entitlements held. Farmers receive an allocation of entitlements for their farm under the Basic Payment Scheme. A farmer must declare at least one hectare of eligible farm land for each entitlement to qualify for their full payment. The number of entitlements each farmer holds, and their values, vary depending on various factors such as:
- payment rates received under previous direct payment schemes
- adjustments each year to move values towards the national average
- any allocations received from the National Reserve
Payment Entitlements Overview July 2019 (pdf 1,002Kb)
DownloadConvergence
Under the Basic Payment Scheme, there is a process of convergence towards national average entitlement values. The convergence process involves gradually narrowing the width of the band of entitlement values by moving each closer to the average. Lower entitlement values are gradually increased in value, while those above the average gradually decrease.
Usage rule
All entitlements must be used at least once every two years. Any entitlement that remains unused for two years in a row will revert to the National Reserve. Please see here for more information on usage of entitlements
General Information relating to the usage of Entitlements
General Information relating to the usage of Entitlements
DownloadFarmers can choose to transfer entitlements to another farmer. It has been possible for farmers to transfer entitlements since their introduction in 2005. Entitlements are a monetary asset and under the Basic Payment Scheme and they can be transferred with or without land. An increasing number of transfer of entitlement applications have been submitted in each of the years 2015 to 2020.
Transferring entitlements allows farmers to adapt to their individual needs on an annual basis by changing their entitlement position. Transferring entitlements may increase or decrease the number of entitlements held by a farmer, subsequently raising or lowering their payments and ultimately leading them further away from the historic reference points.
Basic Payment Scheme Entitlements may only be transferred to an active farmer in the same member state, except in the case of inheritance or anticipated inheritance (gift). The farmer making the transfer and farmer receiving the transfer must apply to transfer entitlements by completing an online Transfer of Entitlements application.
Types of Transfer
The methods for transferring entitlements are:
- inheritance
- gift
- lease
- sale
- scission (division of an Unregistered Farm Partnership).
- merger (forming an Unregistered Farm Partnership)
- change of Legal Entity
- change of Registration Details of Herd Number
Leased or rented entitlements will revert to the farmer making the transfer at the end of the relevant scheme year - this is not considered a form of transfer. Entitlements may not be transferred more than once in a scheme year, unless by way of inheritance or anticipated inheritance.
‘Clawback’ rule
If entitlements are sold without land there is a “clawback” of 20% of the number of entitlements sold. For example, if 50 entitlements at €100 each are sold, the buyer would receive 40 entitlements at €100 each. To be considered as a sale of entitlements with land, one hectare of eligible land must be sold per entitlement and that land must be declared on that year’s Basic Payment Scheme application by the farmer receiving the transfer. Entitlements may be leased with or without land.
Transfer dates
The effective date of transfer of entitlements in all cases is the closing date, usually 15 May each year. However, if the entire holding or ownership of a herd number is transferred between the date of application for the Basic Payment Scheme and 31 May, the farmer receiving the transfer must agree to take on the responsibilities of the farmer making the transfer regarding the conditions of the relevant Basic Payment Scheme year by completing a Declaration of Undertaking Form (see below).
The Declaration of Undertaking Form must be completed by both the farmer making the transfer and farmer receiving the transfer and must be submitted online with the Transfer of Entitlements application. The farmer receiving the transfer must meet the conditions for granting the aid and honour the undertakings given by the farmer making the transfer and, if otherwise in order, payment of that year’s Basic Payment will issue to the farmer receiving the transfer. If the entire holding or ownership of the herd number changes after 31 May, the Basic Payment for that year will issue to the farmer who made transfer for that scheme year, it will issue to the farmer receiving the transfer from the year after.
Withdrawing an application
To withdraw a Transfer of Entitlement Application a completed Transfer of Entitlements Application Withdrawal Request form (see below) must be uploaded by both the farmer making the transfer and the farmer receiving the transfer before the application is processed.
Transfer of entitlements by groups
Transfer of entitlements applications may be submitted by groups such as joint herd number, a registered or unregistered partnership, or a company. Documents and information submitted in support of applications made by such groups are submitted with the consent of, and are available to, all members of the group and authorised agents acting on behalf of the group.
The Department has prepared detailed guidance on the conditions for the transfer of entitlements and highlighted some of the common errors by applicants.
Basic Payment Scheme Transfer of Entitlements Common Errors by Applicants
DownloadYou must comply with all the conditions of the transfer of entitlements process and all the conditions of the Basic Payment Scheme .
Applications for the transfer of entitlements must be made via the Department’s online system by logging in at agfood.ie . Any supporting forms or documents should be uploaded using your agfood account also (forms available below). If your login or password are expired and need to be renewed please contact the Department's helpdesk.
Basic Payment Scheme Transfer of Entitlements 2022 – Terms and Conditions
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Basic Payment Scheme Transfer of Entitlements 2022 - Frequently Raised Topics
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Basic Payment Scheme Transfer of Entitlements – Waiver Form
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Basic Payment Scheme Transfer of Entitlements - Land Inheritance Advisory Form
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Basic Payment Scheme Transfer of Entitlements - Declaration of Undertaking Form
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Basic Payment Scheme Transfer of Entitlements - Partnership Agreement Form
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Basic Payment Scheme Transfer of Entitlements - Dissolution of Partnership Agreement Form
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Basic Payment Scheme Transfer of Entitlements - ETF Authorisation Form
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Basic Payment Scheme Transfer of Entitlements - Indemnity on Transferring of Entitlements
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Basic Payment Scheme Transfer of Entitlements - Transferor Confirmation Signature Form
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Basic Payment Scheme Transfer of Entitlements - Termination of Lease Form
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Basic Payment Scheme Transfer of Entitlements - Withdrawal (Transferee) Request Form
Form for a farmer to transfer entitlements in
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Basic Payment Scheme Transfer of Entitlements - Withdrawal (Transferor) Request Form
Form for the transfer of entitlements out
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Entitlements Transfer Facilitator 2022 Application Form for access to DAFM online services – AUCTIONEER
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Entitlements Transfer Facilitator 2022 Application Form for access to DAFM online services – SOLICITOR
DownloadAgfood Online Services Helpdesk
Address:
Government Offices, Farnham Street, Cavan, Co Cavan, H12 D459
Website:
Email:
Phone number:
Summary:
Agfood Online Services Helpdesk in the department's Cavan office.
Transfer of Entitlements
Phone number:
Summary:
Contact details for Transfer of Entitlements Section
Unused Entitlements and Unduly Allocated Entitlements Section
Phone number:
Summary:
Contact details for Unused Entitlements and Unduly Allocated Entitlements Section
