The Sustainable Farming Incentive scheme will be reopened for 3,000 farmers in England who were told they would receive six weeks' notice before its closure.
In Wales, farmers can now apply for a share of the £1.8 million made available through the Ffermio Bro (Farming in Designated Landscapes) to promote nature-friendly farming across National Parks and National Landscapes.
The UK and the US have reached an agreement on trade, which includes concessions on agriculture. The US will gain more access to the UK beef market with a 13,000-tonne tariff rate quota for hormone-free beef, while the UK secures an equivalent volume of access to the US market. A Free Trade Agreement has also been reached with India. Trade negotiations with the EU are ongoing.
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FOOD & FARMING
SFI reopens for select applicants
Ministers have acknowledged they incorrectly denied around 3,000 farmers access to the Sustainable Farming Incentive (SFI) scheme when they closed it without notice. Farmers who had started and saved an application were incorrectly shown a message saying, “if we need to close applications, we will give you six weeks' notice”.
Following a legal complaint submitted by the National Farmers Union (NFU) to Defra, arguing the closure was unlawful, the decision was made to reopen the scheme for farmers who had received this message. In a statement to parliament, Food Security and Rural Affairs Minister Daniel Zeichner said he had “remade the decision to close the SFI 2024 scheme to new applications, without notice, on 11 March 2025, taking into account the message that was published in error on the screen”. This means that the affected farmers will be allowed to apply, but the scheme remains closed to everyone else. Farmers who started an application after 11 January 2025 will be contacted by Defra and given the opportunity to submit an application.
Restrictions will apply, so agreements will be offered up to a maximum value of £9,300 per year for the duration of the agreement, excluding the SFI management payment, which does not count towards the value limit. This maximum value reflects the median average agreement value for existing SFI 2024 agreements. Agreement holders will not be permitted to add more land to ‘rotational’ SFI actions after the first year of their agreement. As the budget for SFI 2024 is already spent, these agreements will need to be funded from other areas of Defra’s budget. They could cost up to £34 million in the first year.
Delay APR/BPR changes says government committee
The Environment, Food and Rural Affairs Committee has released a report centred on the government's farming vision. It recommends delaying revisions to the agricultural property relief and business property relief reforms until April 2027. This extension will allow for a “better formulation” of the regime and help protect vulnerable farmers by granting them more time to “seek appropriate professional advice”. The committee expressed concern that the changes introduced in the Autumn Budget 2024 were made hastily, without thorough preparation, research, or understanding of their impact. This has led to a loss of trust in the government and reduced farmers’ optimism.
Furthermore, the committee cautioned that various Defra policies and frameworks were announced before the reviews that will inform them, raising doubts about how well these reviews will realistically guide upcoming policies, such as the 25-year farming roadmap and the food strategy.
Poultry housing order to be lifted
The mandatory housing order for poultry and captive birds in England will be lifted gradually from 15 May to 22 May. After this period, free-range flocks must have access to their range area, with the seven-day period providing farmers with flexibility on when to allow this access. This order was initially introduced to mitigate the spread of avian influenza. Since November 2014, the UK has had five such orders. The avian influenza prevention zone, with strict biosecurity measures, remains in place in England, Scotland, and Wales, and bird gatherings are banned. The current risk level for influenza is “medium” with sub-optimal biosecurity and “low” with good biosecurity.
Driest spring on record
The UK has been experiencing the driest spring in over a century, according to the Met Office. This is expected to continue, with the UK Centre for Ecology and Hydrology forecasting dry, warm weather and river flows well below seasonal norms. Although some parts have experienced measurable rain, May rainfall is way below average, exacerbating pressure on already strained water resources. Compounding the issue is the pollution of water sources, which reduces river resilience and makes ecosystems more vulnerable to environmental stressors, such as drought. Critics argue that decades of underinvestment in infrastructure have left the sector ill-equipped to manage climate pressures.
Farmers could face a challenging season, with low groundwater levels affecting irrigation and threatening crop yields. Without significant rainfall, there is a medium risk of drought this summer, which could lead to hosepipe bans and other forms of water rationing.
Wales: new scheme for farmers in protected landscapes
The Welsh government has introduced Ffermio Bro (Farming in Designated Landscapes) to promote nature-friendly farming across Wales' landscapes. The £1.8 million scheme aims to provide practical support and funding for farmers working in National Parks and National Landscapes (formerly Areas of Outstanding Natural Beauty) to assist in nature recovery. The scheme will fund various projects, including planting low-density woodland, improving rivers and wetlands, reducing carbon emissions and protecting traditional landscape features such as hedgerows and stone walls. The first projects are expected to begin this summer, with the majority being delivered between September 2025 and January 2026.
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POLICY
A winning agreement for beef and tariff reductions for India
The recent UK-US agreement, while not a formal trade deal, marks a significant step in bilateral economic relations through a preliminary framework focused on easing trade tensions and expanding market access. In exchange for the removal of the high 25% tariffs on UK steel and aluminium and a quota allowing 100,000 British-made vehicles to enter the US market at a 10% duty, the UK has made targeted concessions for agricultural produce.
These concessions mean the US will gain access to the UK beef market via a 13,000-tonne tariff rate quota for hormone-free beef, while the UK secures an equivalent volume of access to the US market. While the NFU welcomed the deal’s protection of sensitive agricultural sectors and the preservation of high food standards, particularly after years of lobbying by the US beef sector, it voiced concern over another part of the trade deal: the ethanol provision. The agreement grants the US a zero-tariff quota to export 1.4 billion litres of ethanol to the UK, including bioethanol, which plays a crucial role in the UK’s arable farming economy, with domestic production requiring two million tonnes of grain and generating significant volumes of animal feed as a by-product. The UK ethanol market is around 1.4 billion litres, so the access granted to the US risks damaging domestic production and displacing a valuable and strategically important grain buyer and feed supplier for British farmers.
In addition, a Free Trade Agreement has been signed with India. Within the agri-food sector, the government has secured tariff reductions for exports of whisky, gin, salmon, chocolate, biscuits, and lamb. The industry has reacted positively to this agreement. The president of the NFU, Tom Bradshaw, said it was “reassuring” for farm businesses, highlighting the market access secured for British Lamb. The Food and Drink Federation's head, Karen Betts, said the deal not only represents an opportunity for British food but also provides the UK with greater access to Indian ingredients, thereby strengthening supply chain resilience.
EU deal may put genetic editing advances at risk
Though the US-UK trade relations remain without a formal agreement, a deal with the EU might be forthcoming, but with certain disadvantages. In exchange for the EU easing restrictions on British food and agricultural products sold in Europe, the EU demands that the UK reconsiders its Genetic Technology Act, an important piece of post-Brexit legislation that has enabled the UK to progress the development of precision-bred crops. According to a European Commission analysis, the UK may need to “align regulatory approvals” regarding genetic technology and the sale of certain fungicides before any food agreement can be implemented.
Professor Mario Caccamo, the chief executive of the National Institute of Agricultural Botany, expressed concern that ministers might be compelled to sacrifice these new scientific advancements to secure a deal with the EU. Tom Bradshaw, president of the NFU, noted that while farmers are seeking a better trading relationship with the EU, they do not want this to come “at the cost of being able to make our own production choices”. For more information on genetic editing, see our Spotlight on Food and the Environment.
Calls for an assessment of the nature restoration fund
The proposed Nature Restoration Fund for England, which is set to be introduced under the Planning and Infrastructure Bill, has come under scrutiny from the Environmental Audit Committee (EAC). The EAC has warned that it could deter private investment in nature restoration through existing schemes, such as Biodiversity Net Gain (BNG). The Nature Restoration Fund will be funded via a developer levy, which will be directed into a central fund for nature restoration. The EAC warns that developers may see this as a one-off cost and shift true responsibility away, leaving the government in the hot seat. They also say it could undermine BNG, putting private investment “at odds” with the Nature Restoration Fund.
EAC chair Toby Perkins said the government must prioritise facilitating private finance into nature markets and should set out a clear commitment to BNG policy and enhanced transparency around BNG revenues. The committee has called for an impact assessment of the Nature Restoration Fund, ideally before the Bill reaches report stage in the House of Commons, so the House can properly understand the implications of the proposed fund on nature markets. Defra has defended the fund, saying it would “secure lasting improvements for nature, unblock house building and fix the broken status quo”. The government has previously said that the fund will not impact BNG and that it wants to work with third parties to deliver nature restoration.
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ENVIRONMENT & NATURAL CAPITAL
Scotland: nature investment milestone reached
The Scottish Government has now invested over £65 million through the Scottish Nature Restoration Fund, supporting more than 250 projects since its launch in 2021. One standout example is the Highland Amphibian and Reptile Project (HARP), which has focused on boosting the survival of the Highland Great Crested Newt. Typically, only 2% of the newt’s 200 annual eggs survive to adulthood. With support from the fund, HARP has introduced a “head-start” technique that’s increased survival rates to 13% - a significant improvement for a species under pressure.
Climate Action Minister Dr Alasdair Allan said the scale of the projects shows “how serious” the government is about restoring nature. NatureScot’s chair echoed this, praising the progress made but urging continued investment to build long-term resilience. While the fund has been extended into 2026/27, its future impact depends on consistent backing. A £5 million diversion from the fund in 2024 to cover council payouts raised concerns about the government’s commitment. To truly support long-term nature recovery, future funding must remain ring-fenced and reliable.
Marginal cost to implement 20% BNG
Raising Biodiversity Net Gain (BNG) requirements from 10% to 20% is financially feasible across most development types. The study commissioned by Essex County Council suggests that the additional cost of delivering 20% BNG is modest, typically between £100 and £300 per dwelling, making it unlikely to undermine the financial viability of a development. The report also clarifies that an increase from the statutory 10% BNG requirement to 20% BNG does double the number of units needed, as BNG is measured against an ecological baseline; the uplift is incremental rather than exponential. For example, suppose a development area’s baseline survey shows 10 biodiversity units, and five units will be lost due to the development. In that case, six units will need to be created or enhanced at 10% BNG, and seven units at 20% BNG. This means local authorities and developers have a clear opportunity to deliver significantly greater environmental benefits with only a marginal increase in cost, making higher BNG targets a practical and impactful tool for enhancing biodiversity.
New peatland map for England
A new map of England’s peatlands has revealed that 80% of them are dry and in poor condition. The open-source map details the extent, depth, and overall state of England’s peat, including vegetation, gullies, and both human-made and natural drainage channels. Peaty soil covers approximately 8.5% of England’s surface, with significant peatland areas found in the Pennines, North York Moors, parts of the Lake District, and the uplands of the South West. Peatlands store large amounts of carbon, but their degradation releases it as organic material dries out and decomposes. In contrast, healthy peatlands can mitigate climate change, lower flood risk, enhance water quality, and support rare wildlife, such as golden plovers, curlews, and 25 species of dragonflies. The map indicates only 1% of England’s peatland is covered by key peat-forming plants such as sphagnum moss.
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PROPERTY & DEVELOPMENT
Attempt to protect rare chalk streams blocked
An attempt to protect England’s chalk streams has failed. A cross-party effort to secure top-level protection for globally rare ecosystems failed after all Labour MPs on the reviewing committee voted against an amendment to the draft law. The committee heard that England hosts 85% of the world's 200 chalk streams, yet only 37% are in “good” ecological condition. Proposed by Green Party MP Ellie Chowns, the amendment to the Planning and Infrastructure Bill sought to mandate protection measures for chalk streams. Labour MPS also rejected another amendment aimed at preventing development on irreplaceable habitats, such as ancient woodlands and lowland fens. Labour MP Luke Murphy argued the Bill was not the right vehicle for such protections.
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BUSINESS & economy
British wool returns hit a seven-year high
British Wool has reported its highest returns since 2018, driven by strong auction prices and renewed demand for cross-bred wool. March auctions achieved an average sale price of £1.00 per kilogram—an 18p increase on the previous year and the highest price since October 2018. The resurgence in demand, particularly through the autumn and winter months, has been evident in both the UK and New Zealand markets. By mid-April, 83% of British Wool’s available stock had been sold, with the remainder scheduled for auction before the new season begins in July.
Efforts to promote homegrown wool have also contributed to this success. British Wool’s Yarn and Fabric collections, which are showcased internationally, have expanded its brand partner network to over 170 companies specifying British wool in their products.
Despite the positive pricing trend, the volume of wool received has declined, with some farmers opting to store or use wool on their farms. To address this, British Wool plans to open new collection centres across the UK, aiming to improve accessibility and encourage more farmers to market their wool via British Wool.
Renewables could mean multiple billions for the Highlands
Scotland’s Highlands and Islands region has the opportunity to secure £100 billion of investment. The research, commissioned by Highlands and Islands Enterprise in partnership with the Highlands and Islands Regional Economic Partnership, suggests there are 251 development projects in the pipeline, which they classify as regional transformational opportunities (RTOs). Renewable energy projects account for around three-quarters of the total RTO investment value. One hundred and ten projects, worth a total of £40.78 billion, are located in the Highland council area, and a further 49, worth £14.61 billion, in the Argyll and Bute local authority area. Across the Highlands and Islands region, they represent a potential total investment value of up to £100.35 billion. They could create around 16,000 jobs at the peak of construction and development, as well as 18,000 operational jobs by 2040.
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OTHER RURAL NEWS
And finally… The ex-raver and the extinct auction
A former rave promoter is selling his collection of prehistoric remains, taxidermy animals and artworks to raise funds for the works needed on his stately home, Parnham House. Some of the items James Perkins is selling include the skeleton of an ichthyosaur—a prehistoric marine reptile, a taxidermy lion, and the skeleton of a giraffe. However, the pièce de résistance is the fossil of a mammoth, having the highest valuation of between £200,000 and £300,000. Dreweatts auctioneers are hoping the sale will raise about £1.3 million to rebuild the building’s roof. The Grade I listed property, which was devastated by a suspected arson attack in 2017, was bought by Mr Perkins in 2020 with hopes of restoring it to its former glory. He has since opened the 131-acre estate to visitors whilst securing an events licence and receiving permission to build holiday chalets in the grounds.
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