Defra announces HLS rate rise

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Defra is investing £30m into the Higher Level Stewardship (HLS) scheme to bring rates more into line with the equivalent CSHT or SFI actions. However, some organisations have questioned whether the sum is sufficient.

The new payment rates apply from 1 January 2025. Agreement holders will receive the updated payment against their 2025 claim, which will be paid from December 2025.

UK farming minister Daniel Zeichner said: “Farmers are the backbone of our countryside and they’re leading the charge to restore nature.

“This £30m uplift in HLS payments recognises their essential role in protecting our environment – work that’s crucial for long-term food security, boosting productivity and tackling climate change.

“By backing them with fairer rewards, we’re investing in a stronger and more sustainable future for British farming, helping to drive growth in rural communities as part of our Plan for Change.”

Rate shortfall

NFU Deputy President David Exwood welcomed the news, but cautioned that payment rates still fall behind equivalent CSHT options.

He said: “We’re pleased that farmers in Higher Level Stewardship now have further detail of the payment uplift announced in February. This will hopefully provide our members with some much-needed certainty for the months ahead.

“The Rural Payments Agency will be issuing further guidance to agreement holders to clarify how the new rates apply to their agreements.

“However, as the majority of uplifted options remain lower than the equivalent Countryside Stewardship Higher Tier, these changes fall short of helping the cashflow pressures many farm businesses are facing. It is also essential that Defra now sets out a clear and accessible process for HLS agreement holders, particularly those in the uplands, to transition into CSHT schemes as well as SFI.”

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