Updates from Defra: Countryside Stewardship extensions, water restoration funding, new innovation grants, and more

British river
Each month, the team at Defra provides us with their updates, and we share the highlights that we think are most relevant and useful for you, our Land App community, here on the blog.

Please note that these updates are provided directly by Defra and are not written by Land App.

This month, Defra has shared the following announcements:

Countryside Stewardship Mid Tier agreements extended to support sustainable farming and nature recovery

On 15 October, Defra confirmed that more than 5,000 farmers with Countryside Stewardship Mid Tier (CS MT) agreements set to expire this year will be offered a one-year extension to their current agreement. 

Countryside Stewardship gives farmers and land managers the opportunity to be paid for environmental work – such as planting wildflower margins that boost pollinators and managing hedgerows to create vital habitats for birds and small mammals – alongside sustainable food production. 

With agreements set to expire on 31 December this year, one-year extensions are being offered while the government develops the reformed Sustainable Farming Incentive for 2026, refreshes the Environmental Improvement Plan and rolls out the new Countryside Stewardship Higher Tier scheme. This is part of Defra’s plan to give farmers long term strategic certainty. 

The one-off investment of up to £70m from within existing budgets ensures more than 5,000 farmers, foresters and landowners have the support they need to continue their vital role in sustainable food production and nature’s recovery. It reflects our commitment to working with the sector to build a stronger, more profitable farming future. 

Plans for the Sustainable Farming Incentive are currently being reviewed to ensure the available funding for that scheme is distributed more efficiently and more fairly. The government will publish information on the next iteration of the scheme in due course. 

Investing in nature through the government’s Plan for Change is central to securing Britain’s future economic growth, developing a sustainable, resilient and profitable farming sector, and ensuring long-term food security. 

The Rural Payments Agency (RPA) will write to eligible farmers with details about their extension offer. The letter will contain details of how they accept their extension and the deadline they need to meet for it to be processed. 

For more information on CS MT, please visit the Farming blog. 

£11m collected from water company fines invested into cleaning our water 

Last year, the money collected from fines on water companies between April 2022 and October 2023 was invested into the £11 million Water Restoration Fund. Grants were made available to support local projects that restore and protect rivers, lakes and seas. 51 projects have now secured funding. 

There were 2 types of grants: 

  • Development grants ranging from £75,000 to £250,000, designed to build capability    
  • Delivery grants ranging from £500,000 to £2 million, designed to accelerate or support projects that had already been planned 

These projects will bring rivers and landscapes back to life by using nature-based solutions. That could mean re-meandering rivers so they flow more naturally, restoring wetlands and other water-dependent habitats, or removing barriers so that fish can move freely. 

Communities benefit when water companies are held to account, with better access to blue and green spaces. Alongside this, some projects are testing out new technology to help them go further: using tools like data analysis, artificial intelligence, mapping software and remote sensing to guide and measure their work. 

Find out more about the Water Restoration Fund in this Farming blog.  

Farming Innovation Programme (FIP) competitions open now

On the 13 October 2025, the latest round of the Feasibility Studies competition opened through the Farming Innovation Programme (FIP). 

In addition, the Small Research & Development Partnerships competition remains open until 5 November. 

These competitions offer research groups alongside farmers, growers and foresters the chance to test and develop ideas that could improve productivity, sustainability and resilience in agriculture. 

In total, £12.6 million will be split between: 

  • Feasibility Studies (£4.8 million)   
  • Small Research & Development Partnerships (£7.8 million)  

This is the fourth round for each of the competitions, delivered in partnership with Innovate UK. These latest competitions are part of the government’s commitment, set out in the Industrial Strategy, to allocate at least £200 million for the Farming Innovation Programme up to 2030. 

Read more about the FIP competitions. 

Over 8,800 applicants offered Farming Equipment and Technology Fund (FETF) funding

Over 8,800 applicants have successfully secured funding through this year’s Farming Equipment and Technology Fund (FETF). Grant Funding Agreements (GFAs) have now been sent. 

Together, the successful offers are worth more than £68.4 million. 

Funding will help thousands of farmers, horticulturalists, forestry owners and associated contractors invest in new machinery – from autonomous robots that plant seeds with precision to slurry separator systems that reduce both waste and costs. 

As FETF is a competitive fund, those whose applications weren’t selected have received an email explaining why. 

Defra encourage successful applicants to read their agreements carefully to make sure they understand the terms, conditions, and claim deadline of midday on 31 March 2026. 

Read more about FETF.   

AgriScale pilot to drive UK agri-tech manufacturing forward

The government is committed to investing in cutting-edge technologies to help unlock the full potential of farming. 

At last month’s World Agri-Tech Innovation Summit, Defra Minister Dame Angela Eagle unveiled Innovate UK’s new ‘AgriScale’ pilot. This new pilot will support five agri-tech businesses to tackle manufacturing challenges, accelerating promising technologies for the agricultural industry. 

Scaling up UK agri-tech businesses will help to strengthen our advanced manufacturing capabilities, grow a globally competitive Agri-Tech manufacturing base, and build greater economic resilience. 

“AgriScale plays a pivotal role in advancing the UK’s leadership in frontier Agri-Tech industries” said Andy Cureton, Director of Agri-Food Systems at Innovate UK. 

Backed by the Modern Industrial Strategy, it draws on the successful scale-up model in the automotive sector, bringing this know-how to boost agricultural technology innovation. 

Read more about the AgriScale pilot.

Cattle TB vaccine trials move to the next stage

Field trials for a cattle vaccine and a companion skin test for bovine tuberculosis (bTB) have moved to stage three.

The skin test – Detect Infected among Vaccinated Animals (DIVA) – can tell if cattle are infected with bTB or just protected by the vaccine.

This phase will test the new skin test on more farms to check how well it works and improve it further.

At least 750 cattle across 10 farms will take part in low-risk TB areas across England and Wales. All cattle will receive the vaccine and companion DIVA skin test. The trials are due to be completed in 2026.

Why this matters

The completion of Phase 1 and 2 was an important milestone in ensuring the UK Government remains on track to deliver a bTB vaccine that farmers can use.

The Animal and Plant Health Agency will use the results to get official approval for both the vaccine and skin test. If approved, this will save thousands of cattle every year that would have been culled to prevent the spread of the bTB disease.

Find out more about the bTB cattle vaccination programme on the TB Hub.

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