Farmers across England can now apply for a share of a £233 million Sustainable Farming Incentive (SFI) fund, designed to help agricultural businesses strengthen food production while improving environmental sustainability.
The latest application window for the government's Sustainable Farming Incentive 2026 has officially opened, providing new opportunities for farmers and land managers to secure a reliable income stream in the face of mounting pressures from climate change, rising costs and unpredictable yields.
The fund includes a £50 million uplift announced by the Prime Minister in August, alongside £3 million that remained unallocated during the first application round. Together, this brings the total funding available in the second application window to £233 million.
The first SFI 2026 application window saw significant demand from the sector, receiving around 7,000 applications, including substantial participation from smaller farming operations.
More than 3,100 new agreements had gone live by 1 September, with payments already reaching farmers, demonstrating a strong appetite for support that balances environmental improvements with practical farm business needs.
The government says the funding package will help farmers adopt more drought-resilient and sustainable farming practices while providing greater financial certainty.
The initiative forms part of a broader strategy aimed at boosting productivity, reducing business pressures and supporting economic growth in rural communities across England.
Farming Minister Stephen Morgan said:
"Growing our own food is a matter of national security and part of our long-term plan for English farming, the Farming Roadmap.
“Farmers shouldn’t have to carry the risk of a changing climate alone, and this funding means more farmers can build the kind of resilient, sustainable businesses that can better withstand whatever the weather throws at them next.
“Our work and the Farming Roadmap are backed with real co-operation with our farmers, because more often than not the best answers for our countryside come from the people who work the land.”
Under the updated scheme, every eligible farmer and land manager with at least three hectares of agricultural land can apply for funding.
The government has also introduced changes intended to make the SFI more focused, transparent and equitable, helping ensure as many farming businesses as possible can benefit from support.
The revised approach aligns with the government's broader Farming Roadmap, which sets out a long-term vision for the future of English agriculture and seeks to provide greater certainty for the sector.
Around 21,000 farms with existing environmental land management agreements due to expire by the end of February 2027 will be able to apply early for replacement agreements before their current arrangements end.
This change is expected to benefit smaller farms in particular, including those that delayed applying during the first funding round so they could take advantage of the new early-application option.
Ministers say the latest SFI offer has been shaped through extensive engagement with farming organisations and stakeholders. The government has pledged to continue working closely with farmers as the scheme evolves, with the aim of giving greater decision-making power to those managing the land.
The latest funding announcement reinforces the government's commitment to supporting domestic food production while helping the agricultural sector adapt to the challenges of climate change and environmental stewardship.
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