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Home » Farmers are encouraged to act to reopen Capital Grant Scheme with new options
Agriculture

Farmers are encouraged to act to reopen Capital Grant Scheme with new options

ThefuturedatainsightsBy ThefuturedatainsightsJuly 3, 2025No Comments2 Mins Read
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Farmers are set to benefit from a new £150 million funding round as the government reopens a capital subsidy scheme aimed at supporting more sustainable agricultural practices.

The funding will support improvements on a wide range of farms, from planting trees and flood prevention to upgraded slurry systems and water filtration.

The initiative aims to help UK farmers improve profitability and protect natural resources such as soil and water.

Last year, the scheme helped plant over 4,000 miles of hedgers and modernize slurry infrastructure.

Under this latest capital grant, farmers and land managers can apply for funding for a total of 78 capital items.

These range from natural flood management and improving water quality to measures to support biodiversity and habitat recovery.

Four new items have been added this year. Evaluation of forest condition. Creating a wildfire management plan. Dry stone wall repair; hold educational visits.

Announcement of the scheme today (July 3rd), Defra Secretary Steve Reed said:

“This forms part of this Congress’s £11.8 billion commitment to sustainable agriculture. It will boost food security, support rural growth and protect the environment.”

Changes to the scheme have also been introduced to expand access and allow more farm businesses to benefit.

The new funding restrictions apply to four of the six category categories, with up to £25,000 for water, air quality and natural flood management, and £35,000 for boundaries, trees and orchards.

The application can include items from each of the six categories, which helps you manage your overall budget more effectively, while allowing for flexibility.

Victoria Vivian, chairman of the Countryland and Business Association (CLA), welcomed the reboot, but urged the government to ensure delivery is reliable, especially following the delays to other schemes.

“The launch of a new round of capital grants is welcome news for farmers who have few schemes that they can apply,” she said.

“The Capital Grant Scheme will be suspended unexpectedly in the fall, and farmers need confidence that this round will run smoothly.

“It’s fun to hear four more items will soon be added to the Capital Grant Offer, including certification for educational access visits and sign installations. Farmers are encouraged to take a closer look at the options.”

Defra has committed to using farmers’ feedback to shape future rounds of the scheme.



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