Defra announces new SFI for 2026

Speaking at the Oxford Farming Conference, Defra Secretary of State, Emma Reynolds, announced plans for a new Sustainable Farming Incentive (SFI) offer launching in 2026, describing it as a simpler and more streamlined scheme designed to be easier for farmers to navigate.

The updated offer will include fewer actions than the current scheme. Although Defra has not yet confirmed which actions will be removed, the intention is to retain a practical set of actions suitable for a wide range of farm types.

There will be a stronger focus on actions that support sustainable food production. Payment rates for options that take land out of productive use are currently under review, particularly where uptake has been high – so we can expect them to be reduced.

Defra says that the goal is to increase uptake while ensuring the scheme remains workable on the ground.

Two application windows are planned for 2026:

• June – for smaller farms and those without existing agreements
• September – for all farmers

Definitions for these groups will be published ahead of the first window. Defra has also committed to publishing budgets for each window and providing updates when funding is close to being allocated. It has also confirmed that application windows will not close without prior notice.

The full 2026 SFI offer will be released before the June window opens, giving farmers time to understand the changes and prepare their applications.

If you are interested in applying for the 2026 SFI scheme, please register with our office and we will contact you as soon as the scheme rules are available.