First Farmers to Receive Early Payments for Sustainable Farming Incentive
Defra announced on October 18 that the initial farmers participating in the revamped Sustainable Farming Incentive (SFI) have received their first payment this week.
The early payments, amounting to 25% of the annual agreement value for participating farmers, were issued just a month following the launch of applications.
All farmers whose agreements commenced on October 1, 2023, have benefited from this payment, aiding in cash flow and ensuring the SFI aligns well with their agricultural business needs.
The Sustainable Farming Incentive compensates farmers in England for undertaking activities that bolster food production, enhance farm profitability, and promote resilience while also protecting and enriching the environment.
The 2023 SFI initiative has garnered exceptional interest nationwide, including from farmers with ongoing agreements under SFI 2022. Since the program opened for applications, there have been over 14,000 expressions of interest and nearly 1,000 submitted applications.
Starting this week, most farmers will no longer need to submit registrations of interest and can apply directly online, streamlining the application procedure. Farmers operating on commons are encouraged to continue expressing their interest with the Rural Payments Agency (RPA) to facilitate their application process.
Thérèse Coffey, Secretary of State for Food and Farming, stated:
I am thrilled with the number of agreements established for the 2023 Sustainable Farming Incentive and the fact that farmers are now receiving payments. I invite all farmers to participate and explore the benefits this scheme can offer to their operations.
We are actively engaging with farmers, considering their feedback to enhance the scheme continually, which includes our pledge to provide early payments and simplify the application process.
Farming Minister Mark Spencer remarked:
It’s been wonderful to witness the enthusiasm surrounding the latest SFI offer, and we are committed to delivering payments faster than ever before.
The SFI offers something valuable for every farmer, and we aim to process applications promptly to distribute more payments this year, supporting farmers in managing their cash flow.
Paul Caldwell, Chief Executive of the Rural Payments Agency, commented:
We recognize the critical importance of cash flow for farmers and hope our initiatives will provide significant support during this vital period.
We remain dedicated to involving more farmers in the SFI program.
The government is committed to enhancing the Environmental Land Management programs to ensure they operate effectively for farmers, including efforts to implement early payments that weren’t feasible under the Common Agricultural Policy.
The 2023 offer has been broadened and made more adaptable based on feedback from farmers, featuring over 23 available actions ranging from improving hedgerows to managing nutrients, supporting farmland wildlife, and developing low input grassland. Additionally, farmers can now select combinations of actions that suit their individual needs, compared to previous structures where actions were assigned to specific standards.
For more details on SFI 2023, visit: https://farming.campaign.gov.uk
Elena Rossi is a graduate of the University of Hohenheim in Germany, where she earned her degree in Agricultural Economics. Her coursework centered on farm management, agricultural policy, and rural development. Elena is dedicated to enhancing the economic viability of small farms and works as a policy analyst, advising on agricultural economics and food security issues in Europe.