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Capital Grants: Funding Secured for 2025/26

Posted by sworders-team on 3rd March 2025
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Tree Planting

Capital Grants: Funding Secured for 2025/26

Following its temporary closure in November 2024, the Capital Grants scheme has secured funding for 2025/26. This will allow the processing of 4,040 pending applications. If you haven’t applied yet, the scheme will reopen later this year. Those with applications on hold do not need to take any action, as their submissions will be processed automatically.

The scheme supports environmental initiatives such as tree planting, water and air quality improvement, and habitat restoration. Improvements include new spending caps to ensure fair distribution, with the following limits per category:

  • £25,000 for water quality improvements
  • £25,000 for air quality enhancements
  • £25,000 for natural flood management
  • £35,000 for boundaries, trees, and orchards

A rolling application window will also be introduced to better manage demand and ensure sustainability.

Updates to Higher Level Stewardship & Countryside Stewardship Higher Tier

Higher Level Stewardship (HLS):

  • Payment rates will increase to better reflect the contributions of agreement holders.
  • All HLS agreement holders will be eligible for the new rates from the 2025 claim year.
  • Updated payment rates will be published, with agreement holders notified by April.

Countryside Stewardship Higher Tier (CSHT):

  • CSHT provides funding for land management practices that protect, restore, or enhance the environment and help mitigate climate change.
  • The improved CSHT scheme is rolling out, with some farmers and land managers already receiving invitations to the pre-application process.
  • While access is currently by invitation only, future expansions are planned.
  • Applicants must complete a pre-application process and work with advisers to ensure eligibility.

Farming and Technology Grants: Boosting Innovation and Productivity

Farming Equipment and Technology Fund (FETF):

  • Grants for equipment, technology, and small infrastructure.
  • Funding between £1,000 and £25,000 available.
  • £30 million allocated for productivity and slurry management, and £16.7 million for animal health and welfare.

Farming Innovation Programme (FIP):

  • Funding for innovative methods and technologies in agriculture.
  • Competitions available for precision breeding, Net Zero farming, and industry-led projects.
  • £51.8 million invested to date, with £98 million committed.

Accelerating Development of Practices and Technologies Fund (ADOPT):

  • Grants for collaborative, farmer-led innovation projects.
  • Funding between £50,000 and £100,000.
  • Up to £63 million available starting from 2025/26.

Farming in Protected Landscapes (FiPL) Programme: Extended Support

  • Farmers and land managers in England’s protected landscapes can apply for Farming in Protected Landscapes (FiPL) funding until March 2026.
  • Grants support projects in National Parks and National Landscapes that focus on nature recovery, climate change mitigation, cultural heritage preservation, and improving public access.
  • An additional £30 million in funding has been secured, continuing to support rural economies and environmental conservation.
  • To date, FiPL has engaged over 7,000 farmers and funded more than 4,600 projects.

Please contact a member of our team if you would like to discuss grant funding options which might be suitable for you.

Florence White

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