Agricultural Transition Update – What’s new for 2023?
DEFRA have started 2023 by introducing a new Management Payment to the Sustainable Farming Incentive (SFI) and updating payments rates under Countryside Stewardship.
Introducing SFI Management Payments
The Sustainable Farming Incentive Management Payment will provide farmers with £20 per hectare, for up to 50 hectares of land entered in the scheme, providing up to £1,000 per year in addition to payments under the scheme Standards.
This additional payment, which will be made available to both new and existing agreement holders, is intended to cover the administrative costs of participation.
Jon Booth, Director of Lambert & Foster, comments; “a management payment is certainly welcome, and may encourage those not yet engaged with the Scheme to reconsider. We expect additional SFI Standards to be announced in the coming weeks, so watch this space!”.
If you wish to explore the Sustainable Farming Incentive for your holding, and would like more information, please do contact a member of the team.
Updated Countryside Stewardship payment rates
DEFRA have also announced changes to the payment rates for options and capital items under the Countryside Stewardship Scheme.
On average, option payment rates will increase by 10%, and payment rates for capital items by 48%, though it should be noted that the increases for some will be greater than others; the overall intention is to ensure the payments received more accurately reflect the actual costs incurred in meeting the requirements.
Option payment rate changes will apply to all Countryside Stewardship Agreements, including existing, while capital payment rate changes will only apply to new Countryside Stewardship agreements that start in January 2024.
The Countryside Stewardship schemes opens for applications for the final time this Spring for agreements starting in January 2024, which will provide a guaranteed income for five years. This can be particularly useful for holdings not eligible for the Standards currently available under the Sustainable Farming Incentive but feeling the effects of the reduction in BPS payments.
