SFI26 – What Do We Know and Where Do We Go From Here?
September 22nd will be remembered as a significant day for English agriculture. In six hours, the entire £253 million budget allocated to SFI26 was committed to, bringing applications to an abrupt close and leaving thousand of farmers questioning what happened, who secured funding and what will come next for them?
For many, the speed at which the funding was exhausted was astonishing. Whilst it demonstrated an undeniable demand for environmental schemes, it also highlighted the growing reliance of farm businesses on agri-environment funding at a time when farming margins continue to be squeezed by rising costs and volatile markets.
As we move into October, the figures have been made clearer to us by a document published by DEFRA. During Window 2 of SFI26, approximately 12,200 applications were submitted. Of these, around 72% were generated through the new ‘Start an Application Early’ (SAE) process, which allowed businesses with existing agreements due to expire before February 2027 to begin applications ahead of time.
The most popular actions included:
- Manage Grassland with very low nutrient inputs (CLIG3)
- Manage Hedgerows (CHRW2)
- Herbal Leys (CSAM3)
- Winter bird food on arable and horticultural land (AHL2)
- No use of insecticide on arable crops and permanent crops (CIPM4)
In February 2026 DEFRA declared that ‘fairness and access will improve’, yet for many farmers, the experience of SFI26 has raised questions over whether those ambitions where fully realised.
Across the country, reports emerged of technical difficulties and farmers racing against the clock to complete applications before the funding was exhausted. Some businesses were unable to submit applications entirely. For farmers already managing one of the most challenging periods in recent memory – the timing couldn’t have been worse. The industry continues to deal with the effects of an extreme drought, growing concerns around Bluetongue Virus and increasing input costs from the Middle East conflict. The uncertainty of SFI funding has added yet another layer of pressure.
However, perhaps the bigger question is not what has happened, but what does this tell us about the future?
The overwhelming demand for funding shows that environmental schemes remain a crucial income stream for many farm businesses, and in some sectors an essential component of profitability. This raises an uncomfortable question: are agri-environment schemes helping farmers transition to a more resilient future, or are they increasingly filling the gap left by shrinking farm incomes?
DEFRA have already confirmed they plan to offer SFI27 with the offer to be open ‘as early as possible to ensure farmers can access funding’. They have also detailed they will be exploring alternatives to the first come, first serve applications process which left so many out of reach of any funding.
The speed at which SFI26 funding was claimed should serve as a clear signal – farmers are willing to engage. The challenge will be designing a system that not only rewards environmental outcomes, but also provides fair access and long-term certainty for the future of farming businesses responsible for producing the nations food.
The coming months may determine not only the future of SFI, but the shape of agricultural support in England for years to come.
As the industry looks ahead to SFI27 and beyond, demand for seed mixtures to comply is expected to increase. We are already working hard with our growers to ensure the seed mixtures required for future schemes are available when farmers need them. Our commitment remains the same, providing practical support and reliable seed solutions to help farm businesses make the most of the opportunities ahead.