Move follows the threat of legal action from the NFU
The NFU has announced a significant win in its efforts to reverse Defra’s decision to close the Sustainable Farming Incentive (SFI) scheme to new entrants.
Defra has agreed to reopen the SFI 2024 scheme to around 3,000 applicants, after a group of NFU-backed farmers threatened litigation over its decision to close the SFI without notice.
The NFU said the government’s u-turn will allow applications to be made to the scheme by those who had started an application within two months of 11 March 2025, but who had not yet submitted their application.
However, the union argued that the change does not go far enough as there will be some restrictions on who can apply and what they will be able to claim.
Those conditions include that only one application may be submitted per farm business; that agreements will be offered up to a maximum value of £9,300 per year for the duration of the agreement; and that the maximum value reflects the median average agreement value for existing SFI 2024 agreements.
Agreement holders will also not be able to add more land to ‘rotational’ SFI actions after the first year of their agreement.
Today’s developments came after a group of farmers, supported by the NFU, wrote to Defra secretary of state Steve Reed to inform him of their intention to legally challenge his decision to close the scheme to new applicants without notice.
One of the arguments raised by the group related to the assurance that had been provided by Defra that they would be given six weeks’ notice of any intention to close the scheme to new applicants. This appears to have influenced food security minister Daniel Zeichner’s review of the decision to close the scheme without notice, with Zeichner admitting that ”an error was made”.
NFU president Tom Bradshaw said: “The government’s abrupt and wholly unacceptable decision to close the scheme was always wrong. While it’s good to see an acknowledgement that the decision to close the scheme was flawed, we are disappointed by the constraints imposed which will still leave many farmers unfairly disadvantaged.
“This is a really critical time for the farming industry, and while today’s announcement falls short of what our members deserve, this issue highlights the NFU at its very best, working with its members to stand up for what we believe is right.”
