Defra has given some insight into the SFI26, suggesting it will be simpler, with fewer actions and fairer.
The new offer includes 71 actions, down from 102 in the SFI24 offer, those taken out having low uptake, impacted food production or little environmental benefit.
Defra says fairness and access will improve by applying a new annual agreement cap of £100,000 so that more farms are able to participate. The £1,000 management payment has also been abolished.
To be eligible for SFI26 (for both Windows 1 and 2) farmers should have at least 3 hectares (ha) of agricultural land.
Window 1 will open in June 2026 and will remain open for around 2 months – although it may close sooner if demand is high and the Window 1 budget is fully allocated.
It will be open to 2 groups:
- small farms
- farms without an existing environmental land management (ELM) revenue agreement.
Window 2 will open in September 2026 for all farms. Defra cannot set a fixed end date at this point, because this will depend on how many farmers apply.
Agreement limit
In addition to the annual agreement cap of £100,000, each farm business can have only one SFI26 agreement.
Agreement holders will not be able to increase the area or value of rotational actions beyond what they included in Year 1, with the enhanced overwinter stubble (AHW7) now sitting within a 25% whole-farm cap as part of 10 limited actions. These include:
- CIPM2/IPM2: Flower-rich grass margins, blocks or in-field strips
- CAHL1/AHL1: Pollen and nectar flower mix
- CAHL2/AHL2: Winter bird food on arable and horticultural land
- CAHL3/AHL3: Grassy field corners or blocks
- CIGL1/IGL1: Take improved grassland field corners or blocks out of management
- CIGL2/IGL2: Winter bird food on improved grassland
- WBD3: In-field grass strips
- AHW7: Enhanced overwinter stubble
- AHW9: Unharvested cereal headland
- AHW11: Cultivated areas for arable plants
Some payment rates are being adjusted; those being cut include:
- CSAM3: Herbal leys from £382/ha to £224/ha
- CAHL2: Winter bird food from £853/ha to £648/ha
- CNUM3: Legume fallow from £593/ha to £532/ha
Defra has confirmed these will not be retroactive, only applying to SFI26 agreements.
