What is the Basic Payment Scheme?
The Basic Payment Scheme (BPS) has been the main system of farm support and payments that provides help to the British farming industry. BPS is currently being phased out since our government’s decision to leave the EU and consequently the Common Agricultural Policy(CAP) will no longer exist in its current form after 2027.
Find the latest updates here: Basic Payment Scheme (BPS) - GOV.UK (www.gov.uk)
What is Countryside Stewardship?
This government-led initiative provides financial support to incentivise farmers, woodland owners and land managers to work towards improving the natural environment on their land.
The Countryside Stewardship (CS) scheme exists as several tiers:
- Higher Tier – involves more complex environmental management schemes which offer significant benefits to high-priority areas
- Mid Tier – aimed at protecting and enhancing the environment
- Wildlife Offers - support for farmers and land managers to help them protect wildlife and preserve the natural environment
The next round of Countryside Stewardship schemes opened for applications on 5th January 2023. Find the latest changes on the scheme and new payment rates here: Applicant's guide: Capital Grants 2023 - GOV.UK (www.gov.uk)
In a statement released on 5th January 2023, Defra announced it is updating payment rates for both Countryside Stewardship revenue options and capital items from the start of this year. Learn more: Government to pay more to farmers who protect and enhance the environment - GOV.UK (www.gov.uk)
Countryside Stewardship (CS) Capital Grants
This form of grant is a standalone capital grant which can be used alongside Wildlife Offers stewardship, or Higher/Mid Tier CS.
These grants are targeted at improving the following areas of biodiversity and natural capital:
- Boundaries, trees and orchards
- Water quality
- Air quality
Find out more: What is Countryside Stewardship? - Rural payments (blog.gov.uk)
View a full list of funds available: Funding for farmers and land managers - GOV.UK (www.gov.uk)
What is the Environmental Land Management Scheme?
Environmental Land Management (ELM) is the overarching scheme which will replace CAP and was released in 2021 as part of the UK government’s Agricultural Transition Plan 2021 to 2024.
The intention is for the three schemes below to be phased in:
- Sustainable Farming Incentive (SFI)
- Countryside Stewardship Plus (CS+)
- Landscape Recovery
These schemes were designed to support the rural economy with goals aligning to Defra’s 25 Year Environment Plan, which includes a commitment to achieve net zero emissions by 2050 and halt the decline in biodiversity by 2030.
Sustainable Farming Incentive
The first of the ELM schemes to be piloted and begin roll-out is the SFI, which aims to help farmers manage land in a way that improves food production and is more environmentally sustainable.
Farmers will be paid to provide public goods, such as:
- Improved water quality
- Biodiversity
- Implementing climate change mitigation strategies
- Maintaining animal health and welfare
On 5th January 2023 Defra announced that they are introducing a new SFI ‘management payment’. In addition to the money already available through the SFI, Defra will pay up to £1,000 for the first 50 hectares to cover the costs farmers incur when entering the scheme.
Find out more: Government to pay more to farmers who protect and enhance the environment - GOV.UK (www.gov.uk)
There is also support for livestock farmers in the form of Animal Health and Welfare Pathway - which is part of the Sustainable Farming Incentive (SFI) offer. Learn more: Introducing the Annual Health and Welfare Review - Future Farming (blog.gov.uk)
Countryside Stewardship Plus
The CS+ scheme has been set up as an evolvement of CS and as a replacement for what was previously billed as Local Network Recovery.
The scheme has been developed to reward farmers who take a larger view of environmental impacts not only from their own farms but also those who make efforts to work collaboratively with farmers and land owners local to them to help make space for nature.
This could include:
- Managing and creating habitats
- Adding trees to fields or hedgerows
- Restoring peatland or wetland areas
Find out more: Environmental land management schemes: details of actions and payments - GOV.UK (www.gov.uk)
Free advice from the Farming Resilience Fund
Basic Payment recipients can get free business advice from organisations about the changes in farm support. This service is supported by the Farming Resilience Fund.
Find free advice by area (England only) here:
Organisations giving free advice in your area (listed by county) - GOV.UK (www.gov.uk)
Environmental payments for farmers around the UK
Farm support and payment schemes vary in the devolved nations.
Find out more about schemes from the lead organisations for Scotland, Wales and Northern Ireland below:
Tools to measure land and assess natural capital
To capitalise on the opportunities that reward improvements in biodiversity and benefit nature, or establish potential carbon trading opportunities, land managers and farmers will need to know what levels of natural capital they have to begin with.
LAND360 can solve the challenges of measuring natural capital on-farm, using the latest software and the expertise of multidisciplinary scientists to give farmers an accurate picture of their natural assets.
Useful blogs
