14
Acknowledged
Defra's poor communication and last-minute decisions erode trust in farming sector
Recommendation
The experience of the Sustainable Farming Incentive 2024 (SFI24) closure follows a pattern within Defra of poor communication and last-minute decision-making following rumours and Departmental leaks. As with the sudden closure of the Capital Grants scheme in November 2024, the end of SFI24 came with no specific warning, despite the six weeks’ notice indicated in the Rural Payments Agency (RPA) guidance. This has been perceived by the sector as a breach of trust, leaving many questioning future statements and businesses facing significant funding shortfalls. Lessons must be learned from this failure of communication; a restoration of trust is urgently required. It is essential that Defra focuses on rebuilding that trust through good-faith communications with the sector. (Conclusion, Paragraph 59)
Government Response Summary
The government acknowledged the committee's concerns regarding the closure of the Capital Grants scheme without notice, stating that all communications are evaluated using the Government Communications Service Evaluation Cycle. However, they only committed to aim to give reasonable notice for future scheme closures, with a caveat that it 'may not be possible'.
Government Response
Acknowledged
Government Response
Acknowledged
HM Government
Acknowledged
Our commitment to farming and food security is steadfast. As a result of the Government’s determination to get more farmers to participate, there are now 50,000 farm businesses and half of all farmed land now managed under our schemes – with more money being spent through these schemes than at any point. As such, we will continue to provide further details about our Environmental Land Management schemes. The Government acknowledges the Committee’s concern around the closure of the Capital Grants scheme without notice, in November 2024. This decision was guided by financial and operational factors which dictated our communications approach. In Autumn 2024, we saw unprecedented demand for capital grants compared to previous years which risked unsustainable spending. The decision to close the main capital window helped to ensure further spending went towards the most benefit for food security and nature. At the NFU Conference in February 2025, the Secretary of State Steve Reed confirmed that the Capital Grants offer would reopen with funding in summer 2025. We have delivered on this promise and the Secretary of State announced the opening of Capital Grants offer on 3 July 2025 at Groundswell Regenerative Agricultural Festival. This makes £150 million of funding available to farmers to buy equipment or services that help them make farming and environmental improvements across England. We will monitor the uptake of the revised Capital Grants offer to ensure funding in this new round is allocated. We will manage the total farming budget carefully to make it go further to attain our goals for farmers and Government. We have been clear in our guidance and communications to farmers that this round will also close to applications when the available funding is committed. At the point of closure, we will not accept any further applications including those started but not yet submitted. We will aim to give reasonable notice of scheme closure, but this may not be possible. All communications with the farming sector are evaluated using the Government Communications Service Evaluation Cycle, which is a framework for measuring success across all communication activities, promoting continuous learning and innovation while integrating best practices for better impact and future planning.
Source
Inquiry
The future of farming
Report
1st Report - The Government’s vision for farming
16 May 2025
HC 906
Timeline
Recommendation age
1.0 yr
Report published
16 May 2025