'Shattering blow' to farmers over pause to environmental payment scheme

11 March 2025, 21:28 | Updated: 12 March 2025, 05:26

A "shattering blow" has been dealt to farmers with the sudden pausing for new applications for environmental payments, according to the National Farmers' Union.

The NFU says it was given just 30 minutes notice by the government that applications for the Sustainable Farming Incentive (SFI) were to close on Tuesday.

The post-Brexit scheme, launched in 2022, pays farmers and land managers to take up practices that improve productivity and protect the environment and climate.

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There were more than 100 options for farmers to choose from, including the management of hedgerows, organic farming development and providing habitat for wildlife.

The government says the budget for SFI has now been reached, adding that a "record" 50,000 farm businesses and more than half of all farmed land is now managed under the schemes.

Both Conservatives and Liberal Democrat politicians have criticised the move and the lack of any prior warning.

But NFU president Tom Bradshaw said the decision showed "how little" the Department for Environment, Food And Rural Affairs (Defra) understood the industry.

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"This is another shattering blow to English farms, delivered yet again with no warning, no understanding of the industry and a complete lack of compassion or care," Mr Bradshaw said.

"Today's terrible news was delivered with only 30 minutes warning to us before ministers briefed the press, leaving us unable to inform our members.

"There has been no consultation, no communication; there has been a total lack of the 'partnership and co-design' Defra loves to talk about. It is another example of the growing disregard for agriculture within the department."

The government has said "every penny" in all existing SFI agreements will be paid to farmers, and outstanding eligible applications that have been submitted will also be taken forward.

It said details of a new SFI scheme will be announced following the Spending Review.

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In a statement, minister for food security and rural affairs Daniel Zeichner said: "This government is proud to have set the biggest budget for sustainable food produce in history, to boost growth in rural communities and all across the UK, under our plan for change.

"More farmers are now in schemes and more money is being spent through them than ever before. That is true today and will remain true tomorrow. 

"We have now successfully allocated the SFI24 budget as promised."