SFI26 - UPDATE 24.2.2026
RENEWED SUSTAINABLE INCENTIVE (SFI26)
DEFRA has provided a BLOG on 24th February, announcing the details of the renewed scheme with the application process going live for small farms of 50 ha (125 acres) or less in June 2026 and for larger farms in September 2026.
New agreements will be capped at a surprisingly generous £100,000/yr revenue and there has been some tweaking of the rates (e.g. herbals leys) and removal of some of the previous actions (e.g. species rich grassland and all the more “indirect” actions” such as providing management plans). Overall, we think the scheme is slightly less productive from a farming point of view but still worthwhile.
One area that will affect applications is that this Government is being much more careful about the overall funding and therefore, as in the previous window will only accept applications while the funding allocated remains available – they have said that the first window will be up to 2 months but could close earlier if demand exceeds funding.
We therefore suggest application processes begin in March and April, making sure the land is registered with correct land covers etc BEFORE the window opens.
Please therefore give us a call on 01392 833828 or via e-mail (using the contact page) with a view to getting your application ready well in time.
Agent's Annual Review 2025
All the SFI applications we have dealt with have been in the calendar year 2025, and those lucky enough to progress their application in time for the window to close were successful and this scheme has been well received by all our clients.
The scheme is currently undergoing further reviews and likely capping of each grant due to "budget restraints"
The initial scheme was admirably simple for holdings not already in any agri-environmental scheme. Time will tell.
From practical experience, farmers considering entering this scheme should make the following initial steps to simplify the process:
1 You should ensure that your RPA mapping is up to date and that the land uses and land covers are up to date as this can cause delays and errors when trying to load up SFI "actions"
2 It is necessary to check the location and proximity of any SSSI sites (check on MAgIC maps or natural England's open data site) since SSSI will restrict actions allowed and to date has required Natural England's approval.
3 It is worthwhile at an early stage to download the HEFER (Heritage records). You may have been farming the land for years and not be aware of some so-called archaeological (SHINE) features which for instance can restrict the use of valuable legume containing leys, and even prevent new grant funded fencing.
