Farmers across England are facing significant upheaval following the government's abrupt decision to halt new applications for the Sustainable Farming Incentive (SFI) scheme, effective March 11, 2025. This controversial move has left many within the agricultural community frustrated and anxious about their future.
The SFI, part of the post-Brexit Environmental Land Management (ELM) program, was established to incentivize sustainable farming practices, rewarding farmers for eco-friendly land management. Despite its well-intentioned goals, the government announced it would no longer accept new applications due to the scheme reaching its funding limit following unprecedented demand.
Tom Bradshaw, president of the National Farmers Union (NFU), expressed his dismay, calling the decision “another shattering blow to English farms.” He criticized the lack of communication, noting the NFU was informed only 30 minutes before the announcement, leaving them unable to notify their members. “It’s another example of the growing disregard for agriculture within DEFRA,” he stated, highlighting the urgency and shock of the moment.
Victoria Vyvyan, president of the Country Land and Business Association (CLA), echoed these sentiments, labeling the government’s actions as the “most cruel betrayal.” “Labour promised to support the SFI, but at the first available opportunity they have instead scrapped it,” she stated. “This act actively harms nature and our food production at such a pivotal time.”
Hailing the SFI as “the most ambitious, forward-thinking, and environmentally friendly agricultural policy seen anywhere in the world,” Vyvyan criticized the decision as reckless, especially amid exacerbated challenges like the war raging across Europe.
Farming Minister Daniel Zeichner attempted to justify the move, asserting, “More farmers are now in schemes, and more money is being spent through them than ever before.” He pointed out the government’s significant budget allocation of £5 billion over the next two years as the largest sustainable farming budget historically. “But we have now reached our maximum limit [for SFI applications],” Zeichner explained. “We will have discussions with everyone to see how we can best take this scheme forward.”
Despite his reassurances, the farming community remains skeptical. Olly Harrison, a Merseyside arable farmer and prominent voice against the government’s policies, criticized the move, stating, “What is going on? We’re getting attacked from every angle. This shows how desperately detached they are from agriculture.”
The situation has put many farmers, especially smaller operations and hill farmers, at risk of severe cash flow crises as they lose access to these key subsidies. Tim Farron, the Liberal Democrats' agriculture spokesperson, warned, “This is nothing short of outrageous. Farmers who are already losing significant portions of their basic payments now can’t find new avenues for support.”
Transporting concern and distrust from the farming sector, Bradshaw pointed out the implausibility of trust between farmers and the government has deteriorated drastically. “The government has hit the reset button again today, and it’s disastrous,” he lamented. “What we have now is the haves and the have nots. A large chunk of the industry cannot access any money until next year.”
The fallout from this decision may have broad-reaching impacts for both food production and environmental sustainability initiatives. Farmers often face cyclical challenges; this, they say, disallows time for pivoting strategies and could lead to them abandoning sustainable practices for immediate financial survival.
Notably, the government plans to reintroduce the SFI with revisions following the next spending review, but precise details remain vague, adding to farm-wide uncertainty. While DEFRA has stated they will honor existing SFI agreements, many farmers are left questioning their long-term viability.
Compounding these issues, the government is grappling with criticism over its larger agricultural policy direction, which many see as detrimental to the farming sector's future. The urgency for clarity was echoed by Sarah Lee, director of policy at the Countryside Alliance, who stated, “At this moment of fragility within the industry, the government's lack of consideration for the countryside is truly disappointing.”
The pressures on the agricultural sector are intense, particularly as confidence levels drop. A survey has revealed short-term farmer confidence plummeting to -35, from -25 just the year before—a stark reminder of the turbulent times farmers are facing. The mid-term outlook is equally grim with confidence at -38, signaling alarming trends.
“Agriculture is at the brink,” Bradshaw cautioned. “When the Chancellor dramatically accelerated the end of old schemes, there was the promise of access to new ones for all. Now, thousands of farmers' doors are effectively slammed shut, leading to stark financial disparities.”
Overall, as farmers await the next iteration of the SFI, the question looms over their heads: will they receive the necessary support to thrive sustainably? For now, the agricultural community is left grappling with uncertainty, with many fearing for their immediate and long-term futures.