The CLA View

Cath Crowther - new enews.jpg
Cath Crowther

The government’s announcement of the closure of the Sustainable Farming Incentive (SFI) is appalling news for farmers and rural businesses as well as nature and biodiversity, at a time when the industry is still reeling from the Autumn Budget last year.

SFI was the most ambitious, forward thinking and environmentally friendly agricultural policy seen anywhere in the world - it promised a fairer future for farmers and a greener future for the world.

Despite this, the government has now announced that “SFI has reached its completion” and that it has stopped accepting new applications immediately. It has said that it will launch a new and improved SFI in the future.

In our region, there are many examples where land managers are demonstrating it is possible to farm the land and protect and enhance nature and the environment. This is now at serious risk and the businesses that had planned to enter SFI, but had not yet submitted an application, will need to review their business plans with urgency.

All existing SFI agreements will be paid to farmers, and outstanding eligible applications that have been submitted will also be taken forward.

The government has said that Environmental Land Management scheme agreements will remain in place, including SFI, and that it will launch a new and improved SFI in 2026. The redesign of the scheme will follow the spending review, which will take place in June.

The government has made it appear as though this was something that was always planned, however, the reality is that since its launch, the SFI has been hampered by a stuttering roll out, with uptake only increasing significantly in the last 12 months. All while basic payments were relentlessly reduced.

The industry was very much under the impression that the scheme would continue to remain open, with Defra providing assurance that there would be minimal changes for SFI, apart from the addition of new actions later in 2025.

The stop-start nature of these schemes does nothing to build confidence and this latest blow undermines the hard work of forward-thinking farmers and land managers who have put positive environmental outcomes at the heart of their businesses. The government must work with us, immediately, to find a solution.