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    Markets & Policy

    Government Increases Higher Level Stewardship Payments and reopens Capital Grants Scheme

    Jessica MooreBy Jessica MooreFebruary 28, 20252 Mins Read
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    The government announced on February 24th that farmers and land managers in England will receive increased Higher-Level Stewardship (HLS) payment rates.

    The increased payments will apply across various HLS options to support growers in delivering environmental outcomes, including maintaining species-rich grasslands and managing habitats.

    The ELM Capital Grants scheme will reopen in the summer, worth around £45 million in 2025/26.

    Additionally, the Rural Payments Agency is processing the remaining 4,000 paused applications, worth £120 million over their lifetime.

    A £110 million investment in technology and equipment grant will boost farm productivity and environmental protection.

    Grant competitions launching in spring will focus on supporting the sector’s transition to net zero and unlocking opportunities from the Precision Breeding Act.

    Daniel Zeichner Minister for Food Security commented “Investing in innovation and technology will help farmers produce food more sustainably and profitably”.

    The £110 million investment in innovation, equipment and technology includes:

    • Grants of between £1,000 and £25,000 from the Farming Equipment and Technology funding.
    • New Farming Innovation Programme (FIP) grants over £42.5 million, including competitions of precision breeding and the net zero transition.
    • £20 million in funding will be provided by ADOPT to bridge the gap between new technologies and their real-world applications.

    In addition to these grants, the Farming in Protected Landscapes (FiPL) program is being extended to further support England’s natural beauty and enhance animal health and welfare through government-funded vet visits.

    Starting this week, farmers can apply for vet visits for all eligible species through the Animal Health and Welfare Pathway. From summer, they can also apply for visits for each eligible herd or flock of the same species.

    Additionally, help will be available for farmers to diversify income streams and increase profit from selling surplus energy from solar panel and wind turbines.

    Therefore, developing a 25-year farming roadmap will aim to help make the sector more profitable in the decades to come.

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