Grants: Sustainable Farming Incentive & Capital Grants

With the ongoing transition of grants from the Basic Payment Scheme (BPS) towards its replacement known as the Environmental Land Management Scheme (ELMS) in 2027, there are numerous opportunities for financial support for farmers and landowners to consider, and it is essential that farming and rural clients remain proactive and aware of the available opportunities.

Farewell BPS

2023 was the final year of BPS being linked to eligible land. Going forward, the scheme is being replaced with Delinked Payments, which are based on a farmer’s average BPS payments during the 2020 to 2022 scheme years, with farmers seeing payments diminishing in value each year until they cease completely in 2027.

As part of the replacement for BPS, the first component of the new ELMS scheme to launch and be made available is the Sustainable Farming Incentive (SFI), which aims to encourage farmers and landowners to employ techniques on land to enhance the environment. SFI is a 3-year agreement, with the option to amend once every 12 months. With a rolling application window, there is no set deadline for applying.

Successful applicants will be paid quarterly in arrears, and SFI and Countryside Stewardship options can be combined providing the land is eligible for both schemes and the options are compatible. Whilst the scheme is in its infancy, there are currently 23 ‘actions’ available for farmers to choose from. These cover existing themes such as management of hedgerows (£10/100m for one side), integrated pest management (£45/ha), low input grassland (£151/ha) and buffer strips (£451/ha), together with a management payment of £20/ha for the first 50 hectares as a contribution to participating in the scheme.

Countryside Stewardship

An alternative to SFI is Countryside Stewardship. Countryside Stewardship is a two-tier scheme with annual payments for management prescriptions adopted across the holding but also payments for capital items. There are over 70 capital items available, with some common selections amongst previous applications including hedge laying (£13.52/m), post & wire stock fencing (£7.47/m), livestock & machinery hardcore track (£44.63/m) and concrete yard renewal (£33.64/m2). The scheme provides a 3 year period to complete the capital works, with no limit to the value of capital items that can be applied for.

SFI or Capital Grants

If either SFI or a Capital Grant is something which you would like to consider and discuss for your holding, then please get in touch with your local Howkins & Harrison rural office or Tayla Harding at the Towcester office and we would be more than happy to talk you through what options might be suitable.

We have helped our clients to access over a million pounds worth of CSS funding over the last 12 months and are looking forward to working with others to access the new SFI grants that are available.
tayla.harding@howkinsandharrison.co.uk | Towcester 01327 397979