Sustainable Farming Incentive 2024: What’s Changed?

The Sustainable Farming Incentive (SFI) has introduced significant updates for 2024, marking an expansion of the scheme, both in terms of what it offers and who can apply.

Going live in July 2024, it represents a good opportunity for farmers to be supported to enhance biodiversity and the wider environment alongside food production. But what exactly has changed, and why does it matter? Here, we break down what’s new for SFI 2024…

Expanded Participation and New Sustainable Farming Actions 

One of the most notable changes is the scheme’s expanded eligibility. For the first time, the SFI will be open to businesses that have not historically received the Basic Payment Scheme (BPS). This allows for a greater range of applicants, and will hopefully see a broader adoption of sustainable farming practices across the country.

The updated SFI now includes 102 actions, developed in collaboration with the agricultural sector. 

This includes over 20 new options such as:

  • Precision Farming: Enhancing efficiency and reducing waste through technology.
  • Agroforestry: Integrating trees and shrubs into farming systems.
  • Upland Farming: New and expanded support for upland farmers.
  • Tenant Farmers: More actions tailored for those on short-term contracts.
Cattle grazing at low density

Aligning with Countryside Stewardship:

To streamline the application process, more than 50 simplified actions from the Countryside Stewardship Mid Tier have been merged into the Sustainable Farming Incentive. This integration reduces paperwork and aligns the duration of certain actions with the needs of tenant farmers, shifting from five-year to three-year periods.

The Countryside Stewardship (CS) Higher Tier scheme will continue, with detailed information and application guidelines to be published this summer. Eligible farmers will work with Natural England or the Forestry Commission to prepare applications starting in winter, with agreements commencing in early 2025. Rolling application windows are expected to provide flexibility for those interested in the scheme.

Importantly, Farmers currently in Higher Level Stewardship (HLS) or Countryside Stewardship Mid-Tier schemes can transfer to the SFI at the end of an agreement year or mid-year. However, mid-year transfers will not receive pro-rata payments for terminated agreements. The goal here is to simplify transitions and ensure as many as possible can participate in the SFI.

Additionally, there will be enhanced payments, including a 10% increase for SFI and CS agreements and premium payments for actions that deliver significant environmental benefits. The first set of these doubled management payments will be disbursed this summer, totalling an additional £1,000 in the first year.

Interestingly, the language used in this new scheme focuses on resilience. Defra has introduced actions to support flood preparedness, emphasising the need to enhance the resilience of farms to changing climate conditions and challenging weather. This aligns with a broader goal of ensuring the agricultural transition provides security against unexpected environmental stresses, such as the crop failures caused by excess rainfall this winter. 

Farm gate showing English countryside

Digital Tools and Planning Your SFI Application 

Defra and the Rural Payments Agency (RPA) have launched a digital tool to aid in the application and submission process, reflecting a broader shift to digital mapping and planning in the sector. Understanding your land, planning and appraising your options, and ensuring accuracy in the pre-application phase is, therefore, more critical than ever. Check out our blog which outlines how Land App benefits the application process.

Overall, the SFI 2024 updates represent a comprehensive effort to enhance sustainable farming practices, broaden participation, and streamline application processes. With time we hope the scheme will succeed in supporting farmers in their crucial role of producing high-quality food as sustainably as possible. For more details on the expanded SFI offer, visit the government’s website.

Watch our recent webinar for more information on SFI 2024 and how to use Land App to plan your application

Ready to get started? Sign up today, for free

author

Growing up on a regenerative small holding, the relationship between food systems and the natural world has long been an interest of mine. Focusing on land-use tensions and geo-politics at Oxford, and now an MSc in Sustainable Development with Exeter, my interests lie in how we can leverage policy and natural capital principles to encourage not only regenerative land management and food systems alongside investment in nature recovery, but ultimately how we can ensure social equity and systems resilience. I’m drawn to the social elements of nature recovery and climate change adaptation, in particular the intersection of geopolitics, biodiversity economics and justice.
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