LONDON, 2026-01-08 01:59:00 – Smaller farms in England will be prioritized for nature funding, in a shift from post-EU agricultural subsidies, environment Secretary Emma Reynolds is expected to announce Thursday.
The change aims to direct financial support to smaller farms and new entrants to the Lasting Farming Incentive (SFI) scheme,with larger farms facing a delayed application window.
- Environment Secretary Emma Reynolds will announce the change at the Oxford Farming Conference on Thursday.
- The SFI application window will open in June for smaller farms and new entrants, while larger farms must wait until September.
- The move comes after the SFI scheme was temporarily halted last year due to funding limitations and application errors.
Reynolds is expected to tell the Oxford Farming Conference that the application window for the Sustainable Farming Incentive (SFI) will open in June exclusively for smaller farms and new entrants to the scheme, according to a statement. Larger farms will be permitted to apply starting in September.
The SFI is a program designed to replace the EU’s common agricultural policy, shifting payments from land ownership to rewarding farmers for managing nature, soil, and other public goods. The common agricultural policy and its successors have historically been vital for farm profitability, particularly during periods of inflation and extreme weather events.
Funding for the SFI is limited, meaning the scheme closes once enough applications are received. Last year, the scheme was abruptly suspended in March, sparking outrage among farmers, and it was later revealed that 3,000 farms had been wrongly blocked from applying after the money ran out, according to reports.
“Farmers are at the heart of our national life – for what you produce, the communities you sustain, and the landscapes and heritage you protect,” Reynolds is expected to say in her speech. “We will work with you – through our new Farming and Food Partnership Board, through peer-to-peer networks, through community-led change, and through engagement on the detailed changes to SFI. You will have the certainty you need to plan – clear budgets, clear timelines, clear future roadmap, and growth built on strong foundations.”
Why It Matters
this shift in policy reflects a growing effort to ensure that nature funding reaches those who need it most, and to address concerns that larger landowners were disproportionately benefiting from previous subsidy schemes. The move comes as Defra has argued to the Treasury that nature schemes represent good value for money and do not simply subsidize wealthy landowners, particularly as the budget for these schemes was cut by £100 million during last year’s spending review.
Martin Lines, the chief executive of the Nature Friendly Farming Network, said, “its good to finally have some clarity, even if June still feels a long way off. We particularly welcome the commitment to prioritise smaller farms. too often in the past, England’s agri-environment schemes have been a race to be first over the line, favouring those with the time and money to navigate complex applications. Many smaller, highly active farms are working flat out and simply don’t have the capacity to play that game.”
The Country Land and Business Association president, Gavin Lane, stated, “It is indeed essential that all farmers can access the Sustainable Farming Incentive scheme quickly, regardless of farm type or size, to deliver the greatest benefits to the environment.”
Time.news based this report in part on reporting by The Guardian and added independent analysis and context.
