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Sustainable Farming Incentive

Window 1 of the SFI 2026 scheme has been open since 30^th June. Over 50% of the £60 million budget was used up within the first 4 days of the application window opening, with an announcement on 13^th July that 75% of the budget had been used. The Department for Environment, Food & Rural Affairs (DEFRA) confirmed that the application window will remain open for 2 months or until the budget is used up, whichever comes first.

Window 2 of the SFI 2026 scheme is due to open in September, with DEFRA expected to release a more firm date once IT issues with updates to the portal are resolved. It was confirmed that those with existing agreements expiring before 1^st March 2027 will also be able to apply in Window 2, with a delayed start date to commence after their existing agreement expires. DEFRA has allocated £180 million to this window, and any funding left over from Window 1 will also be allocated to Window 2 applications.

Capital Grants

DEFRA has confirmed that the application window for Capital Grants will open on 30^th July and that a budget of £225 million has been allocated to the scheme. Due to the competitive nature of the scheme, it is advised that farmers put together their supporting documents as soon as possible.

Please note that the Catchment Sensitive Farming team is experiencing high demand for support for those actions that require approval, and therefore farmers may struggle to book appointments with the team in time for the application to be submitted in this round.

Anglian Water Farm Innovation Grant

Anglian Water has circulated information on its Farm Innovation Grant for 2026. The grant is open to farmers within the River Great Ouse catchment, and up to £7,500 per applicant is on offer for innovative schemes that reduce nitrate loss.

The scheme in its lifetime has supported 241 projects across over 100,000 hectares. Examples of support projects include: upgrades to direct drills, purchase of soil probes, nitrogen testers, upgrades to precision fertiliser (section control capability on spreaders), and changing of cultivator legs to lower disturbance.

The application window is open now until 31^st August for 2026 applications. The Board’s decisions are set to be confirmed by the end of September 2026, with submission of evidence being due by the end of December 2026.

Anglian Water is keen to incite conversations with farmers, and more information can be found here.

Whilst we have committed to assisting with a substantial number of applications under the SFI 2026 and Capital Grant schemes, we remain available to provide support where possible. Should you require any assistance, please contact us and we will endeavour to help.

For more information or to discuss your application with our team, please contact 01234 352201 option 4 or email bedford@robinsonandhall.co.uk