Two new application windows to the Sustainable Farming Incentive (SFI) scheme are set to open this year, the government have announced.
Supported by some in the rural sector for providing environmentally focused funding, while criticised by others for its inconsistent delivery and for being overly complicated, the program rewards farmers for actions such as improving soil health, enhancing biodiversity, and managing water.
Announced shortly before Secretary of State Emma Reynolds addressed the Oxford Farming Conference, Defra confirmed there would be reforms to “simplify” the initiative that would “level the playing field and provide sustainable, predictable delivery”.
The first of the two windows would take place in in June, be aimed at smaller farms and those not currently in an existing scheme, with the second window in September covering everyone else.
Having abruptly closed the scheme to new applications in England in March 2025, the government stated at the time that the budget had been fully allocated but agreed to honour existing agreements and look to improve the program for a future relaunch.
Defra also confirmed an additional £30million of funding next year as part of a three-year extension into the Farming in Protected Landscapes programme.
These announcements, billed under “a new era of partnership between government and farmers”, were accompanied by confirmation that further changes to inheritance tax reliefs would be ruled out – following the increase in inheritance tax relief allowances in December 2025.
Duncan Sigournay, Thrings’ Head of Agriculture, said: “It is fantastic news for farmers across the country that the government is starting to listen again to this historic and vital sector. The impact of removing this vital funding would not only have a severe long-term impact on the future of farming but also our environment and it is important that any decisions taken see these two areas considered together.
“We very much agree with voices across the sector, including the likes of the NFU, the CLA and the TFA, that funding being made available should be accessible to farms of all sizes and that the government delivers on its claims that the reforms make the process simple. This needs to be rolled out efficiently to ensure businesses are getting the support they urgently need now!”
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