New SFI offer explained
25th February 2026
During the first day of the NFU Conference, environment secretary Emma Reynolds announced launch of a reformed Sustainable Farming Incentive (SFI) offer.
The DEFRA secretary of state confirmed the new SFI offer will be “simpler, fairer, more stable, and shaped by farmers”. It will include 71 actions, down from 102, with agreements capped at £100,000 per year.
“We have focused on removing actions with low uptake or those that delivered less for food production, the environment, or our wider environmental targets.
“Fairness and access will improve. By reducing some payment rates, introducing an area cap for the enhanced overwinter stubble action, and applying a new annual agreement cap of £100,000, we can ensure that more farms are able to participate and benefit.
“These changes will also help us meet the Environmental Improvement Plan goal of doubling the number of farms delivering for wildlife,” a spokesperson for the department said.
Are you eligible?
To be eligible for SFI26 (for both windows 1 and 2) farmers should have at least 3ha of agricultural land.
Window 1 will open in June 2026 and will remain open for around 2 months – although it may close sooner if demand is high and the Window 1 budget is fully allocated.
It will be open to two groups:
- small farms (up to 50ha of agricultural land)
- farms without an existing environmental land management (ELM) revenue agreement.
Window 2 will open in September 2026 for all farms.
There are a range of SFI actions that can be applied to vineyards and orchards in England. They include actions to improve soil health, enhance nutrient management and actions for farm wildlife.
Read more about the new SFI offer on DEFRA’s website.
Other announcements
The announcement also included boosts of £70 million for the Farming Innovation Programme and £50 million for the Farming Equipment and Technology Fund.
Reynolds MP said that the funding, which delivers on the government’s commitment to invest at least £200 million in agricultural innovation by 2030, will help farmers and growers invest in infrastructure that boosts productivity and resilience and improves animal health.
The secretary of state also confirmed a new round of Environmental Land Management (ELM) Capital Grants opening in July 2026 with increased funding of up to £225 million available to help farm businesses invest in infrastructure that supports environmental targets and long-term resilience.
Growers can apply for funding to plant hedgerows for biodiversity, new slurry storage tanks, the introduction of natural flood management measures, and new livestock equipment, helping to improve water quality.
Read more vine news.
