Defra announces new SFI options & capital items

Quite easily missed in Defra’s update on January 6^th was the announcement of 14 new endorsed SFI options and a host of new capital items to support both Sustainable Farming Incentive (SFI) and Countryside Stewardship Higher Tier (CSHT) agreements. These will both be available from summer 2025, with the CSHT capital options available as soon as the CSHT scheme opens. An additional endorsed action (GRH6: Manage priority habitat species-rich grassland) has already been released as part of the SFI 2024 offer and is currently available for applications.

Many of the additional endorsed options are equivalent to options previously offered under the Mid Tier Countryside Stewardship scheme. As such, those with recently expired or soon-to-expire agreements will be pleased to see that several higher paying and more specialist options will now be available under SFI. Some examples of options making the move can be seen in the table below.

The new endorsed SFI offering also features options not previously available under Countryside Stewardship. Of particular interest to some will be the new GRH4: Manage species-rich floodplain meadows (endorsed) option which attracts a headline payment of £1,070 per hectare. This can be applied for on land already classified as species-rich floodplain meadow or on land deemed suitable for species-rich floodplain meadow creation by an officer from Natural England. Endorsement may require a visit from Natural England and so land managers should be aware that including an endorsed action in a larger SFI 2024 application can slow the process down considerably. Depending on the other options being applied for it may be quicker to apply for any endorsed SFI actions separately. For advice on putting together an SFI application including endorsed options get in touch with a member of our team.

The new CSHT capital grants cover a range of actions from pond creation to invasive species control. Of particular interest again, however, will be the capital payments available for grassland creation, restoration and management.

These include:

• GR1: Create or restore grassland habitat at £186.02 per hectare
• GR2: Standard seed mix for grassland habitat at £203 per hectare
• GR3: Floristically enhanced seed mix for grassland habitat at £890.02 per hectare

Both GR2 and GR3 must be used with GR1, which stacks to create a healthy capital income above the rates for the corresponding endorsed grassland options under SFI. At the moment, it is necessary to email Natural England if you wish to be considered for these capital grants once they are released. Your eligibility to receive them will be assessed by Natural England when endorsing the corresponding SFI option.

Full details of the new capital and revenue options can be found here:

• New endorsed options under SFI 24: SFI24-endorsed-actions-v1.pdf
• New capital options to support CSHT and SFI agreements: Countryside Stewardship Higher Tier: new capital items – GOV.UK