The Sustainable Farming Scheme is replacing Basic Payments in Wales with applications for funding to convert to organic among the first to open
Growers in Wales can now apply for funding to convert to organic after the Welsh government launched its new post-Brexit farming subsidy scheme.
The Sustainable Farming Scheme (SFS), which officially launched last week and will replace the Basic Payment System (BPS) in Wales, requires growers to enter a ‘universal layer’, after which they can apply for various different ‘optional layers’ of funding.
Funding will come into place from January 2026, with applications for organic conversion open from now until 12 September via the Welsh government website. Eligible farms will also have to apply to enter the ‘universal layer’ of the SFS when that comes online next year.
To qualify for the universal ‘whole farm’ funding, growers will need to show at least 10 per cent of land on their farm is actively managed as habitat, which can include hedgerows, woodland and other semi natural land, and demonstrate soil health planning.
The government has also released a new online calculator to help growers and farmers work out how much funding they could receive under the new system.
“We are delighted to see Welsh Government recognising the many benefits that organic farming delivers for the environment by reopening this vital support for organic conversion,” said Haydn Evans, Soil Association’s head of farming Cymru, and chair of the Welsh Organic Forum.
“The organic market has seen a decade of growth but for too long we have seen this demand largely being met by imports with organic farmland remaining largely static. With Welsh Government also expanding the Welsh Veg in Schools initiative, this support provides an excellent opportunity for Welsh farmers and growers to tap into rising demand while supporting public health and nature restoration.”
More details on a ‘collaborative layer’ of the SFS are expected later this year, to help land managers and farmers working on landscape-scale projects and community food initiatives.
NFU Cymru welcomed the confirmation of the Welsh farming budget, which has involved comprehensive consultation, but said the news was overshadowed by a “cliff edge transition”. BPS payments in Wales will be rapidly phased out towards the end of this year.
President Aled Jones said: “Changes secured following NFU Cymru lobbying have addressed many of the ‘thorny’ issues we have grappled with; the 10 per cent tree cover scheme requirement has been removed; the unique circumstances of our tenants and common land rights holders have been considered; the number of universal actions (UAs) have been consolidated and positive changes have been secured to a number of the conditions attached to these UAs.
“Despite this, the level of detail, constraints, administration, costs and bureaucracy attached to the SFS is significant and far greater than anything seen before. We remain deeply worried about the burden this scheme will place on a sector low in confidence and already dealing with a mountain of red tape.”
“This support must also recognise that the existing budget for farming needs to increase to over £500m just to keep pace with inflation. Whilst we welcome the budget allocation of £238m to the scheme’s universal action layer in 2026, we will be looking to the next Welsh Government to commit to increase the overall budget for the scheme - and to the universal layer - to match our ambition and ensure Welsh farming can continue to deliver for food, nature, climate and communities.”
