Ukraine’s membership of the EU more than just a financial calculation, says Varadkar, as analysis suggests farm subsidies would be cut by 20pc

Speaking at an informal meeting of EU leaders in Spain, he said he was a strong supporter of Ukrainian membership of the EU and that of Western Balkans nations and Moldova.

“If you take the broader view, the longer term view, enlargement is always good for Europe. It helps to provide us with security, helps to embed democracy and human rights, and also helps the European economy to grow in the round.

“I think it’s really important that when we look at these questions, we don’t see them just as a financial calculation. If Ukraine, Moldova and the Western Balkans join the European Union, they’ll become wealthier in due course, just like Ireland and they may yet become contributors to the budget,” he said.

His comments come as a leaked analysis suggested the integration of Ukraine into the EU could cost some €186 billion over seven years and result in significant cuts to Common Agricultural Policy Payments in existing countries.

The paper by the secretariat of the EU Council said: “All member states will have to pay more to and receive less from the EU budget; many member states who are currently net receivers will become net contributors.”

The document, which was obtained by the Financial Times, is the first modelling on the potential accession of nine new member states, a process given impetus by Putin’s illegal invasion of Ukraine.

When it comes to the EU’s farming subsidies, Ukraine would be the main beneficiary, receiving €96.5 billion over seven years.

It would push France into second place as the largest recipient of the CAP payments, which would be cut by up to a fifth in existing member states.

Addressing the CAP budget, Varadkar said further enlargement would trigger a lot of reforms but said Member States may make larger contributions to protect the CAP budget.

“But that’s all way off. I’d be very keen to see Ukraine begin talks on membership this December. That decision isn’t made yet, but I hope we can make that decision.

“But the time from beginning talks to actually becoming a member often takes many years, more than 10 or 15 years. So, by then, the budget and the CAP will be in a very different place. So I really would hope that we don’t create those kinds of fears,” he said.

EU Member states granted candidate status for EU membership to Ukraine in June, but joining the bloc can take many years and is extremely unlikely while the war continues.

The analysis warned that “very significant challenges” would have to be addressed to secure public support for a bigger EU.

It called for transitional arrangements and safeguards to mitigate the impacts of enlargement, which it said would increase the single market by 66 million people to 517 million, address labour shortages and strengthen its geopolitical heft.