Farmers in England are being left without crucial nature recovery payments and unsure of what to plant after delays to a post-Brexit scheme.
The sustainable farming incentive (SFI) is part of a package of payments that is replacing the EU’s common agricultural policy, which paid land managers for the amount of land in their care. The aim of the SFI is to pay farmers to look after nature, soil and other public goods, rather than simply for farming and owning land.
The 2023 scheme was supposed to roll out in August but is being delayed, and farmers are not expected to receive any payments until 2024. Because the rules regarding SFI payments have changed since last year, land managers are unsure whether to continue with the scheme from 2022, or to follow guidance laid out in proposals for the 2023 scheme.
This is the latest blow to the post-Brexit scheme. Last year, only 224 farmers in England received payments under SFI. Just a tiny fraction of the payments went to farmers in 2022. While subsidies were cut by an average of 22% for farmers last year, the money paid out through SFI equated to only 0.44% of the total funding plan for farmers, leaving them asking where the money is going.
This year the cuts are even more stark, with the government planning to slash payments by 36%. This, coupled with a difficult harvest caused by adverse weather conditions and rising interest rates, is causing a squeeze on farms.
David Exwood, the vice-president of the National Farmers’ Union, said: “Farmers in England have had further basic payment scheme reductions. Milk prices are down and prices for red meat are also on the slide.
“It has been the most expensive year we have ever had and a very difficult harvest. It will be a tough autumn for farmers.”
The industry publication Farmers Weekly reported that the IT team managing the scheme had encountered technical problems, leading to further delays.
Alice Groom, the head of sustainable land use policy at the conservation charity the RSPB, said: “With the proposed August rollout yet to begin we increasingly fear that Defra [the Department for Environment, Food and Rural Affairs] is at risk of failing on all fronts – leaving farmers confused and with no progress against pressing environmental targets. This is undermining everyone’s efforts to produce food while creating space for nature and taking action on climate.
“The UK government needs to step up a gear and show leadership here with a clear roadmap – detailing how ambitious schemes, advice, grants and support will enable all farmers to have profitable, nature positive and low carbon businesses.”
Martin Lines, the UK chair of the Nature Friendly Farming Network, told Farmers Weekly: “This continued uncertainty is leaving farmers with the inability to plan their sustainable farming businesses for the future, delivering public goods and food production hand in hand.
“Defra seems to continue to overpromise and underdeliver, leaving farmers in the lurch and making it almost impossible to plan their future through this transition.”
A Defra spokesperson said: “We are continuing preparations to open SFI 2023 for applications, including final pre-launch tests and adjustments to ensure the process is as straightforward as possible.” A spokesperson said applications will be open from 18 September.