Oxford Farming Conference: Reforms to SFI announced  

Reynolds MP pledged that the government would focus on supporting smaller farms and those without an existing agreement to drive growth, securing a thriving future for the sector, and delivering high-quality, affordable food for British families.    

The UK government has reaffirmed its commitment to work with farmers and rural Britain to provide stability and announces application windows for the reformed SFI. 

There will be two application windows in 2026, with the first from June prioritising smaller farms and those without an existing agreement, followed by a second round from September for wider applications, the MP confirmed.  

Environment secretary Emma Reynolds said: “Productive farms are at the heart of thriving rural areas, and that partnership approach continues with the new SFI offer launching this year. 

“You’ve told me loud and clear that you need clarity, stability and predictability. I have a background in business, so I know how important margins, risk and long-term investment are to you. Running a farm means balancing immediate pressures with decisions that will play out over decades. 

“To make those decisions, you need to know where you stand. Protecting the environmental foundations of farming isn’t separate from profitability. Without healthy land, there is no food, and without profitable farms, there are no farmers to produce it. Healthy soil, clean water, thriving pollinators, these aren’t nice-to-haves. They’re business fundamentals, environmental necessities, and the foundations of our food security.” 

The MP acknowledged that the SFI scheme became “too complex”. She continued: “The unexpected closure last year damaged trust and confidence, and too much of the available funding was being absorbed by bigger farms.” 

‘There will be no more sudden, unexpected closures’

Therefore DEFRA is set to make three changes to SFI. Reynolds MP explained: “First, we’re making it simpler and more focused. Fewer actions, less complexity, easier to apply. You’ll still have plenty of choice, but this government recognises SFI must work alongside food production, not displace it.” 

Reynolds MP confirmed that DEFRA will limit how much land can be put into certain actions and review payment rates for others. 

“These changes will make funding go further, allowing more people to benefit from agreements,” she said. The MP said that another change will aim at improving fairness and accessibility. DEFRA is therefore considering the introduction of an agreement value cap. 

“This will help us meet our ambitious environmental improvement plan target to double the number of farms delivering for wildlife,” the MP said. 

The environment secretary added: “I recognise that mistakes were made in the past, and that’s why I acted quickly, extending countryside stewardship mid-tier agreements and opening applications for the new and improved higher tier offer. 

“I am determined to provide you with that same stability going forward. So we will publish full scheme details before the first window opens and set clear budgets for each window, just like with the capital grants offer last year.” 

“There will be no more sudden, unexpected closures,” she confirmed. 

‘That’s my commitment to you’ 

The environment secretary also outlined a new £30 million Farmer Collaboration Fund to support farmer groups in growing their businesses, building partnerships and sharing best practices.  

She explained that this will empower them to find new opportunities to grow their businesses, share what works, build partnerships, and drive the kind of change that comes from the ground up.

Reynolds MP added: “Farmers are at the heart of our national life – for what you produce, the communities you sustain, and the landscapes and heritage you protect.  

“British farming is also a key growth sector we’re backing for the long term. Farmers who want to build, to export and to invest in new technology. But too often, they’ve been held back by bureaucracy. We’re changing that to a system that backs our farmers.”  

Reynolds MP added that the government will work with farmers through the new Farming and Food Partnership Board, peer-to-peer networks, community-led change, and engagement on the detailed changes to SFI.    

“You will have the certainty you need to plan – clear budgets, clear timelines, clear future roadmap, and growth built on strong foundations.  

“That’s my commitment to you, and it’s the foundation for the future we’re building together, to drive growth, secure a thriving future for the sector, and deliver high-quality, affordable food for British families,” she concluded.  

Further announcements

The environment secretary has also set out plans exploring a transformation of England’s uplands, recognising the unique challenges facing the rural communities that depend on them, from poor access to services to harsh farming conditions.   

Building on research led by social entrepreneur Dr Hilary Cottam in six upland areas during the past year, the government will work over the next two years – first in Dartmoor, then Cumbria – to deliver system-wide change, create farming clusters, explore new mutual funding models, and lay the foundations for new income streams, from nature-based enterprises to regenerative tourism and circular economy initiatives.  

In an additional boost for farmers in England’s most treasured rural areas, the government will extend the Farming in Protected Landscapes programme for three years, with £30 million in funding next year alone.   

These measures build on the launch of the Farming and Food Partnership Board, bringing together senior leaders from farming, food, retail, finance and government to take a joined-up, farm-to-fork approach to improving profitability, DEFRA explained.  

Alongside Baroness Minette Batters’ Farming Profitability Review, these new partnerships are set to help inform the government’s forthcoming 25-year Farming Roadmap, to be published later this year and setting out a long-term vision for food production, environmental ambition, land use, and farm profitability.   

The Oxford Farming Conference, with its theme “Growing Resilience”, takes place between 7th and 9th of January. 

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