The EU’s Common Agricultural Policy (CAP) Basic Payments Scheme (BPS) ended in England in 2024.
It has been replaced by a “transition” support regime that gradually phases out direct payments by 2027 (see note below about “delinked payments) and replaces them with targeted, outcome-based support focused on environmental stewardship and productivity.
The below summarises each scheme and where it is currently in terms of its status, and a link to find more information.
Environmental Land Management Schemes (ELMs): These schemes now form the core of farm funding in England:
SUSTAINABLE FARMING INCENTIVE (SFI)
The largest scheme, paying farmers for public-goods outcome.
In March 2025, Defra closed applications for SFI for the current year after funds were fully allocated and announced plans to revise the scheme before re-opening in future rounds.
For more information click here.
Current Status: Closed for applications (2025) — Defra paused new SFI while it develops a reformed offer. June 2026 window will open for “small farms” and those without existing land management agreements. A second window in September 2026 for all, including those who didn’t apply in June 1.
COUNTRYSIDE STEWARDSHIP (CS) HIGHER TIER
Targeted environmental land management for priority habitats, historic features and climate outcomes — developed with Natural England/Forestry Commission input.
For more information click here.
Current Status: In December 2025, agreement holders were asked if they wanted to extend for 2026. Also, further applications are Open (invite-only/controlled rollout) — invited applicants can prepare submissions.
LANDSCAPE RECOVERY
Large-scale, long-term environmental projects (500ha+), focused on net zero, habitat creation and nature recovery.
For more information click here.
Current Status: Closed for new applications currently.
CAPITAL GRANTS
One-off grants for capital items like tree/hedge planting, water quality and flood management equipment. They support or complement ELM agreements.
For more information click here.
Current Status: Closed for new applications currently. Further rounds expected in 2026 (timings to be confirmed).
Other Current Grants and Support
Apart from ELMs, a few other funding routes have been previously open and are hoped to perhaps make another appearance, however nothing has been confirmed yet and is very much budget dependant.
FARMING IN PROTECTED LANDSCAPES PROGRAMME
Small-scale grants for projects in protected areas (e.g., AONBs, national parks). These are site specific grants. For more information on this, the following guidance is available.
For more information click here.
INNOVATION AND EQUIPMENT GRANTS
Competitive funds such as the Farming Equipment and Technology Fund (FETF) and Farming Innovation Programme previously offered grants (e.g., for tech and productivity). These have been closed for new applications but may return. This was a very popular scheme, and DEFRA have published some statistics on its uptake:
- As of 30th September 2025, Farming Equipment and Technology Fund has received 30,200 full applications across four annual rounds and paid £124.5 million to claimants. FETF 2024 has the highest claim amount paid at £55.9 million.
- By quantity, the most funded items under Farming Equipment and Technology Fund are Heat Detection System Ear Tag Collar or Ankle Band (FETF91). These are followed by Nipple Drinker Systems (FETF266A) and Cow Mattresses (FETF222A).
What happened to BPS, what is “Delinked Payments”?
BPS no longer exists in England. Instead, we are almost at the end of the “transition period” which started in 2022.
Transitional direct payments have reduced over time as ELMs (the agreements in the tables above, take over).
You do not apply each year — eligible recipients are paid automatically if they qualified via BPS in 2023 (or via inherited reference data). In 2026, delinked payments will be very heavily reduced, a 98 % reduction applies to the first £30,000 of your reference amount. Any amount above £30,000 gets a 100 % reduction, meaning only a very small payment remains — effectively capped around £600 per business.
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