What farming grants will be available in 2025?
26th February 2025
Defra has shared much-awaited news on the farming grants that will be available this year, including Higher Level Stewardship and Capital Grants.
Coinciding with the NFU Conference, Defra has released long-awaited information on the farming grants that will be available in 2025.
There has been much concern over the long delays to the Countryside Stewardship Higher Tier scheme, particularly for upland farmers.
The future of the FETF grants have also caused disquiet, with Defra confirming in December 2024 that there would not be a second or third application window for the fund in 2024.
Higher Level Stewardship
Payment rates will be increased for those in existing Higher Level Stewardship agreements, across a range of the HLS options.
The total additional amount allocated for the increase in HLS payments in 2025/26 is £30 million.
All HLS agreement holders will be eligible, but the change to payment rates will depend on the options contained in the actual agreement.
If you have an option with a payment rate that is increasing, the new rate will be paid as part of your usual claim payment from December 2025.
Defra said it will publish a table showing the updated payment rates for each HLS option as soon as possible. HLS agreement holders will be contacted by April to explain the new rates and what they mean for them.
Countryside Stewardship Higher Tier (CSHT)
Defra also announced the roll out of an improved CSHT scheme this year. It has begun inviting farmers and land managers to begin the pre-application process.
Currently, access to the scheme is by invitation only as it continues to test the pre-application process.
However, there will be opportunities for other farmers and land managers to access CSHT in the future.
Capital grants
The standalone ELM Capital Grants scheme will re-open in the summer. It was worth around £45 million in 2025/26.
The Rural Payments Agency is now processing the remaining 4,000 applications that were held when the scheme paused in November 2024.
These agreements will be worth £120 million over their lifetime.
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READ MORE: Pig farmers warned that grants are under threat as Defra is ‘rationalising’ spending
FETF grants
Defra also announced a £110 million investment in innovation, equipment and technology grants which support farmers in boosting productivity.
As part of this, the government will launch one round of the Farming Equipment and Technology Fund (FETF) in the spring, providing grants of between £1,000 and £25,000.
FETF offers grants for equipment, technology and small infrastructure to boost productivity, improve slurry management and enhance animal health and welfare.
In total, £30 million will be available for productivity and slurry and £16.7 million will be available for animal health and welfare.
Further information will be revealed on the Defra Farming Blog when the guidance is available, and when you can apply.
New FIP grants and competitions
Newly designed grant competitions are launching this spring, and will focus on helping the sector transition to net zero and unlock opportunities from the Precision Breeding Act.
Through the Farming Innovation Programme (FIP), funding is available to farmers, growers and foresters who want to develop and use new, innovative methods and technologies.
New grants are worth £42.5 million.
Defra will provide an update when the guidance for these competitions is available and applications open, on the Farming Innovation Programme website.
New ADOPT fund
The new ADOPT fund will provide £20 million of additional funding for farmer-led trials that bridge the gap between new technologies and their real-world application.
It will open for applications in spring 2025 and grants will be available to fund projects of between £50,000 to £100,000 in size.
Defra has established a bespoke Support Hub to support farmers in their application and encourage collaboration.
Updates will be published on the Innovation Funding Service website when guidance is available.
FiPL programme extended
Farmers and land managers in England’s protected landscapes can now apply for funding from the Farming in Protected Landscapes (FiPL) programme until March 2026, with an additional £30m of funding.
The programme offers grants for projects in National Parks and National Landscapes (previously called Areas of Outstanding Natural Beauty).
Update to Animal Health & Welfare Review
As of 26th February, livestock farmers can now apply for funding for both the Animal Health and Welfare Review and the endemic disease follow-up for more than one species.
The review offers farmers in England a free annual vet visit to check the health and welfare of their livestock.
Follow-ups are optional but must be on the same species as the review and must follow a review. Up to three reviews and three follow-ups are available per species.
Previously, farmers could only claim for a review and follow-up for a single herd or flock of either beef cattle, dairy cattle, pigs or sheep.
Funding available for the review by species:
- Pigs: £684
- Sheep: £436
- Beef cattle: £522
- Dairy cattle: £372.
Funding available for the follow-up:
- £215 for cattle with no BVD
- £837 for beef cattle where BVD is present in the herd
- £1,714 for dairy cattle where BVD is present in the herd
- £639 for sheep
- £923 for pigs.
To be eligible, farmers need a single business identifier (SBI) linked to a county parish holding number (CPH) registered in England. Plus, 11 or more cattle (beef or dairy), 21 or more sheep, or 51 or more pigs.
If you’ve applied for a vet visit since 19th June 2024 you don’t need to register and apply again.
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