Defra retracts SFI closure for thousands of farmers

Minister of state at the department for environment, food and rural affairs, Daniel Zeichner, made a statement, apologising for the confusion that has left many farmers worried about their financial future. 

He said: “Earlier this year, the government had successfully allocated the entire SFI budget and could therefore no longer accept new applications for the scheme. 

“There are more than 37,000 live SFI agreements currently in place, under which money continues to be paid to farmers this year and over future years. 

“However, an error was made when the current scheme was closed to new applications, the budget having been allocated. 

“I was not aware that people who had started an application and then saved it without submitting had been shown a ‘we’ve saved your application’ screen containing two messages.” 

The messages read: 

(a) “If we need to close applications, we will give you 6 weeks’ notice. We will publicise this information on gov.uk and email you.”  

Defra said that this message was shown “in error” due to a technical issue which meant that the message was carried over unintentionally from the online application used for the SFI 2023 offer. 

(b) “Your application will be available for 2 months for you to continue. If you have not submitted your application by then, we will delete it.”  

This message was intentional, Defra confirmed. 

MP Zeichner continued: “The first message should not have been included, and I apologise for the confusion it caused.”

READ MORE: Farmers ‘betrayed again’ as Defra stops SFI applications 

New restrictions

MP Zeichner added that he has remade the decision to close the SFI 2024 scheme to new applications without notice in March of this year. 

“I have decided to allow applications to be made to the SFI 2024 scheme by those who had started an application within two months of 11 March 2025, but who had not submitted the application by that date.

“This is relevant to around 3,000 applications which were started on 12th January 2025 or later. Eligible applicants will be given a six-week window in which to make an application.  

“My department will shortly be contacting applicants who are eligible to let them know when this window will open and close.” 

Defra confirmed that agreements will be offered to eligible applications subject to the following restrictions: 

(a) only one application may be submitted per farm business. 

(b) agreements will be offered up to a maximum value of £9,300 per year for the duration of the agreement (excluding the SFI management payment, which would not count towards the value limit). This maximum value reflects the median average agreement value for existing SFI 2024 agreements. 

(c) agreement holders will not be able to add more land to ‘rotational’ SFI actions after Year 1 of their agreement. 

Calls for Defra to be ‘open and transparent’

The NFU has just announced that it “coordinated and fully funded” the proposed legal action through a group of NFU members, arguing Defra had not given the proper notice period of any closure it had promised to farmers applying for the scheme, meaning thousands were left marooned with half-completed applications, some suffering financially having invested ahead of starting the SFI.  

The NFU also said that more than 6,000 farmers had started SFI applications when the scheme was suddenly scrapped, and that their cases should be processed. 

On Friday last week lawyers for the government said that the secretary of state for Defra “is retaking the decision to close the SFI Scheme 2024 without notice”.  

NFU president Trom Bradshaw added: “We said from day one that this sudden closure, with just minutes’ notice, was wholly unacceptable and always wrong.  

“The NFU was determined to use its expertise to challenge this devastating decision, and I would like to thank those members and staff who led this work”. 

Country Land and Business Association (CLA) has also been lobbying the scheme that was called “crucial to supporting nature-friendly farming”. 

CLA president Victoria Vyvyan said: “We’ve been lobbying for the government to take note of the thousands of farmers who were mid-application when the SFI scheme suddenly shut, and we’re glad they have now listened. 

“It’s a limited amount of money, but it does take a bit of the sting out of the suddenness of the closure.  

“The way for Defra to avoid such a shock again is to be open and transparent, and work with industry to design the revised scheme.” 

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