£150m capital grants offer closed — What’s next?
4th August 2025
The latest round of the £150 million capital grants offer has closed following a five-week application period.
A spokesperson for DEFRA added: “As part of our ongoing commitment towards improving transparency, we provided an update of uptake levels when 50% and 75% of funding was allocated. We did this to raise awareness of when application windows for funding opportunities were likely to close and to support you with your business planning.
“The high level of interest has been encouraging and shows how committed farmers are to improving their land, protecting the environment, and investing in a more sustainable future for farming.”
Environment secretary Steve Reed said when the offer opened: “British farmers work tirelessly to feed the nation and look after our countryside. This major investment will give them the tools to cut pollution, restore nature, and grow their businesses.”
What’s happening next?
Farmers who submitted applications and any supporting evidence before 1st August at 1:30pm do not need to do anything. The Rural Payments Agency (RPA) will contact them directly with the outcome once the application has been processed.
While eligible applications are considered, funding cannot be guaranteed, DEFRA said.
“If you started your application but didn’t submit it, unfortunately you won’t be able to continue.
“There may be some exceptions to this where applicants were unable to submit their application and had sought assistance from the RPA to enable them to submit it. The RPA will assess these on a case-by-case basis and confirm to affected applicants shortly.
“If your application is approved, you will get your money once the work has concluded and you submit your claim for payment and any necessary evidence within the given timeframe. The Capital Grant will reimburse you for the pre-agreed amount to complete the eligible works,” the department explained.
DEFRA said it plans to make further improvements to the offer for future rounds. A new round of funding is expected to launch in 2026.
READ MORE: DEFRA retracts SFI closure for thousands of farmers
READ MORE: DEFRA criticised for sharp fall in delinked payments
Read more grants news.
