13 Accepted

Continue monitoring ELM uptake and remove identified barriers for all farmer types.

Recommendation
We are also concerned that significant numbers of farmers may struggle to access ELMs and so be unable to improve their soils. We are concerned about access for non-arable farmers, small-scale farmers, the horticultural sector, those with common land grazing rights and, in particular, tenant farmers. While we welcome the progress made for tenant farmer access to the SFI, we encourage the Government to continue the monitoring of uptake amongst different types of farmers and take steps to remove barriers to all ELM schemes when identified.
Government Response Summary
The government has introduced specific measures like the SFI Management Payment and adapted SFI rules to remove barriers for tenant and smaller farmers, showing increased uptake. It commits to introducing 16 new actions with a 3-year duration and exploring further options to improve accessibility for tenant farmers.
Paragraph Reference
54
Government Response
Accepted
HM Government Accepted
We have introduced the SFI Management Payment which provides £20/Ha up to the first 50Ha to cover the management costs particularly for smaller farms. This is working and we have seen an increase in the number of smaller farms applying for our offers. We know that tenant farmers can face additional barriers when accessing environmental schemes. We’re continuing to make progress, adapting our policies and schemes so that tenant farmers can access them. SFI has been designed to remove the barriers that tenants previously faced. For example, SFI offers 3-year agreements. This is in line with the average length of farm business tenancies. We designed the rules so that tenants who expect to have management control for 3 years (even if their formal tenancy agreement or license does not extend that far) can still apply. This means that many farmers with annual rolling tenancy agreements can access SFI. We have also changed the rules so that penalties are no longer applied for tenants who may have to exit a scheme early if their tenancy ends unexpectedly. In addition, SFI does not require the tenant to gain landlord consent to enter the scheme. However, tenants should check the terms of their tenancy agreement before applying to SFI and, in the spirit of collaboration, they should communicate with their landlord about the SFI activities they will carry out. These changes have had a real impact with thousands of tenant farmers applying for SFI agreements. We are working closely with the new joint Defra/industry Farm Tenancy Forum (representing tenants, landlords and professional advisors) using their expertise to help us consider when landlord consent might be needed. For example, when a permanent land use change is required. As a result, we will introduce 16 new actions with a 3-year duration. We are exploring whether we can offer further actions of 3-year duration to make them more accessible to tenant farmers in 2024.
Timeline
Recommendation age 2.5 yrs
Report published 05 Dec 2023