https://defrafarming.blog.gov.uk/2026/07/13/sfi26-update-75-of-window-1-funding-now-allocated/

SFI26 update: 75% of Window 1 funding now allocated

Posted by: , Posted on: - Categories: Sustainable Farming Incentive
Aerial view of a green agricultural field bordered by a hedgerow, with a large tree and dense woodland along the edge of gently sloping farmland.

To keep you informed about the progress of the Sustainable Farming Incentive 2026 (SFI26), we’re providing another update on Window 1 funding.

We can confirm that around 75% of the Window 1 budget has now been allocated, based on applications received so far.

Demand started strongly and has since levelled off, remaining steady and within the range of uptake scenarios we expected.

If you are eligible to apply in Window 1 and are planning to do so, we encourage you to submit your application as soon as possible. With a significant proportion of the available budget now allocated, funding is becoming more limited.

Before submitting, check that your digital maps show:

  • all the land parcels you want to include in your SFI26 application, with the correct areas and land covers. If you need to update your maps, use the Rural Payments service to ask the RPA to do this as soon as possible.
  • at least 3ha of agricultural land - otherwise, you won’t be able to start an application

Read section 7 ‘Get ready to apply’ in the SFI26 scheme rules and guidance for more information.

We will continue to monitor the remaining funding. We will provide a further update if the Window 1 budget is fully allocated and the window closes.

Eligible applicants who do not apply during Window 1 will have the opportunity to apply during Window 2. Window 2 is expected to open in September.

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4 comments

  1. Comment by Caroline posted on

    Hi, do you have any idea when in September SFI26 Window 2 is likely to open? At the beginning or the end similar to Window 1 and Capital Grants? Will you give a date prior to opening? It is very difficult to plan anything (a holiday for instance!) and you have clients depending on you to get an application in for them.

    Reply
    • Replies to Caroline>

      Comment by The Team posted on

      Hi Caroline,

      Thank you for your question. We appreciate that advance notice is helpful. We are not currently able to provide a specific opening date for Window 2, though we have confirmed that it will open by the end of September.

      The guidance for SFI26 is already available and for those intending to apply, it might be helpful to use this time to become familiar with the guidance and prepare any information needed for an application.

      If there are any updates, we'll share them here on the blog so do subscribe for a notification as soon as a new post is published: https://defrafarming.blog.gov.uk/subscribe/

      Best wishes,
      The Team

      Reply
  2. Comment by Phil posted on

    DEFRA staff advised today (22 Jul) that due to IT system bug only a very small number of SFI26 applications have actually been offered. Expectation is that the bug will be addressed and offers will start being sent in 2-3 weeks time.

    It is not clear if submitted applications will be processed based on date of submission or other criteria.

    Technically, over 75% of window 1 budget has been pre-allocated but actual agreed contracted budget consumption is likely to be <1% (though DEFRA staff could not confirm).

    What this means in reality and how the remaining process will work remains to be seen. Hopefully it will all be ok.

    Reply
    • Replies to Phil>

      Comment by The Team posted on

      Hi Phil,

      Thank you for getting in touch.

      SFI26 remains open and the RPA is continuing to process applications in the normal way. We're planning to share an update on uptake shortly.

      As with any new scheme, application volumes and processing times can vary, but applicants should be reassured that applications are continuing to move through the system and there is no indication that the scheme has stopped operating or that processing has been significantly restricted.

      We recognise that farmers and advisers value clarity and certainty. If applicants have specific concerns about the status of their application, they should contact the RPA directly for the most up-to-date information relating to their individual case.

      Best wishes,
      The Team

      Reply

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