Who gains from saving nature
Ledger 1 : 33 — For each dollar financing nature-based solutions in 2023, about $33 financed activities harmful to nature. (UNEP)
Cases / Finance, funds and markets · United Kingdom · 2015–2026

England's Environmental Land Management schemes: Sustainable Farming Incentive and Countryside Stewardship

Nature's voice · report
Of which agri-environment schemes (ES and CS) £906 million, SFI £305 million, Landscape Recovery £15 million 1.39 billion pounds sterling were spent in my name. No one has measured what reached me.
Did nature suffer? Not measured. Accounts differ ↓
Not on record
  • The record does not name which of my species, waters, soils or forests were harmed.
What the record lacks: 3 none on record · 1 insufficient · 1 not measured · 3 disputed See the gaps
Accounts of the harm differ
Whether outcomes and value for money can be shown
  • Government and regulators National Audit Office (2024): Gaps in data on environmental outcomes limit Defra's ability to understand the impact or whether it is on track for value for money; there is no specific outcome measure for species abundance. National Audit Office
  • Government and regulators Defra (as recorded by the NAO, 2024): Acknowledged it has work to do; has an environmental monitoring strategy and implementation plan and a significant research programme on environmental outcomes. National Audit Office
  • Government and regulators Natural England (2024): Higher scheme uptake linked to greater species richness, diversity and/or abundance for some species groups; baseline spatial associations, not change over time. Defra Farming blog

After leaving the EU, Defra began replacing area-based farm payments with agri-environment schemes, led by the Sustainable Farming Incentive (SFI) and Countryside Stewardship. The National Audit Office recorded a £12bn programme budget for 2020-21 to 2024-25 and found in 2024 that gaps in data on environmental outcomes limit Defra's ability to assess the impact. SFI closed to new applicants on 11 March 2025 with its budget allocated; a reset scheme with a £240 million budget was announced for 2026.

£1,394 millionSpending on Environmental Land Management schemes, 2024-25
Defra, Farming and Countryside Programme annual report 2024-25 (September 2025): of which agri-environment schemes (Environmental Stewardship and Countryside Stewardship) £906 million and Sustainable Farming Incentive £305 million.

Status As of June 2026: SFI closed to new applicants on 11 March 2025; Defra announced a reset SFI with £240 million for 2026 and at least £50 million for Countryside Stewardship Higher Tier; no NAO report after the closure is on record.

What?
England's agri-environment schemes that pay farmers for environmental actions in place of area-based payments: SFI, Countryside Stewardship and Landscape Recovery. National Audit Office
Where?
England; the NAO counted 102,000 farm holdings in England in 2023. National Audit Office
When?
Countryside Stewardship from 2015; Agricultural Transition Plan 2020; NAO reports 2021 and 2024; SFI closed 11 March 2025; reset SFI windows from 30 June 2026. Countryfile
Who?
Gained
  • Farmers and land managers in agreements — Received payments; Defra recorded over 39,000 live SFI agreements at 1 April 2025 and the Secretary of State said a quarter of previous SFI funding went to 4% of farms Agriland
Lost
  • Farmers who could not apply after 11 March 2025 — SFI closed to new applicants with immediate effect; critics said organic farmers and small farms lost out Countryfile
Harmed
None on record
Why?
To replace EU direct payments with payments for environmental outcomes alongside food production, as part of the 2021-2028 agricultural transition. National Audit Office
How?
Defra designs the schemes iteratively and Natural England, the Rural Payments Agency and other partners deliver them; farmers choose actions and are paid per agreement. National Audit Office
6 of 6 questions answered from the record

What happened

The record, in order.

Following the UK's decision to leave the EU, the government developed what the National Audit Office (NAO) quoted it as describing as the "biggest change in agricultural policy in half a century", set out in the Agricultural Transition Plan (November 2020) for 2021 to 2028 and delivered by the Department for Environment, Food and Rural Affairs (Defra) through the Farming and Countryside Programme. Defra is phasing out EU-style direct payments, which pay by land area, and replacing them with agri-environment schemes that pay farmers for actions: the Sustainable Farming Incentive (SFI), Countryside Stewardship (introduced in 2015, with its mid-tier actions offered through SFI from summer 2024), Countryside Stewardship higher tier and Landscape Recovery. The NAO reported a £12bn budget for the Programme for 2020-21 to 2024-25 and that Defra "has not managed to spend the £2.4 billion funding commitment in every year" but forecast meeting the £12 billion total over the five years, noting that the funding level was based on the historic level of EU funding rather than an assessment of what is needed to meet the Programme's objectives.

The NAO examined the Programme three times. In September 2021 it found that the scheme was "not yet underpinned by a strong set of objectives" and that "important elements are not yet in place, creating risks to environmental outcomes and value for money." In July 2024 it recorded that 40,700 farmers were signed up to agri-environment schemes at April 2024, that agreements had doubled from 27,500 in 2020 to over 56,000 and that SFI applications were processed in eight days on average in 2024, compared with several months in 2021. It also found that Defra "has not yet set up the mechanisms to collect all the data it needs, for example, on environmental outcomes", that "there is no specific outcome measure for improving species abundance", and that "some of what Defra is paying for now are actions that, for many farmers, do not result in significant immediate change to farming practices." Its conclusion was that "gaps in the Programme's data on environmental outcomes is limiting Defra's ability to fully understand the impact on the environment, or whether it is on track to achieve value for money." It also warned that unconstrained demand for SFI could crowd out funding for more complex schemes.

Defra's annual report for 2024-25 (September 2025) recorded total Programme spend of £2.6 billion, of which Environmental Land Management schemes were £1,394 million: agri-environment schemes (Environmental Stewardship and Countryside Stewardship) £906 million, SFI £305 million and Landscape Recovery £15 million. It reported over 39,000 live SFI agreements at 1 April 2025 (25,300 in SFI23 and 14,000 in the SFI Expanded Offer) and 32,600 farming businesses in SFI, and described what these mean as 885,000 hectares of arable land farmed without insecticides, 330,000 hectares of low-input grassland managed sustainably and 85,000 km of hedgerows protected and restored; these are Defra's own figures. Natural England's evidence report, summarised on a Defra blog in August 2024, linked higher scheme uptake to "greater species richness, diversity and/or abundance" for butterflies, moths and two bat species; the blog stated these were baseline spatial associations rather than change over time and that a re-survey was in development.

On 11 March 2025 Defra closed SFI to new applicants with immediate effect. Defra said: "With record numbers of farm businesses in farming schemes and the sustainable farming budget successfully allocated, we will stop accepting new applications." HCR Law reported that Defra had set a £1.06 billion cap on SFI for 2024/25 and 2025/26, which had been reached, with around 37,000 active multi-year agreements, and quoted the farming minister in the Commons: "I'm afraid basically when the scheme is finished, it is finished." Existing agreements continued to be paid. Critics, including the Soil Association's Jerry Alford, said organic farmers and small farms under five hectares lost out. On 11 June 2026 Agriland reported a Defra budget of £240 million for SFI that year and at least £50 million for new Countryside Stewardship Higher Tier agreements, with a first window from 30 June 2026 for small farms and farms without an existing agreement and a second window in September; the Secretary of State, Emma Reynolds, said "Under the previous Sustainable Farming Incentive, a quarter of funding went to just 4% of farms."

  1. 2015Countryside Stewardship introduced
  2. 2020Agricultural Transition Plan (November) sets the 2021-2028 transition; Programme budget of £12bn for 2020-21 to 2024-25
  3. 2021NAO report on the Environmental Land Management scheme finds objectives and elements not yet in place (15 September)
  4. 2024NAO report on the Farming and Countryside Programme (July): gaps in outcome data; 40,700 farmers in agri-environment schemes at April 2024
  5. 2025SFI closed to new applicants with immediate effect (11 March); Defra annual report records £1,394 million spent on Environmental Land Management schemes in 2024-25 (September)
  6. 2026Defra announces £240 million for SFI and at least £50 million for Countryside Stewardship Higher Tier (reported 11 June); first window opens 30 June

What was said

Claims, in the words of those who made them.

“ELM is not yet underpinned by a strong set of objectives”

“important elements are not yet in place, creating risks to environmental outcomes and value for money.”

“gaps in the Programme's data on environmental outcomes is limiting Defra's ability to fully understand the impact on the environment, or whether it is on track to achieve value for money.”

“With record numbers of farm businesses in farming schemes and the sustainable farming budget successfully allocated, we will stop accepting new applications.”

“I'm afraid basically when the scheme is finished, it is finished.”

David Zeichner, Minister for Food and Rural Affairs, in the House of Commons (as reported by HCR Law) · 2025 · HCR Law

“Under the previous Sustainable Farming Incentive, a quarter of funding went to just 4% of farms.”

Emma Reynolds, Secretary of State · June 2026 · Agriland

Where accounts differ

Each party's account, side by side, with its source. The record does not settle these points; it shows them.

Whether outcomes and value for money can be shown
Government and regulators
National Audit Office (2024)

Gaps in data on environmental outcomes limit Defra's ability to understand the impact or whether it is on track for value for money; there is no specific outcome measure for species abundance.

National Audit Office
Government and regulators
Defra (as recorded by the NAO, 2024)

Acknowledged it has work to do; has an environmental monitoring strategy and implementation plan and a significant research programme on environmental outcomes.

National Audit Office
Government and regulators
Natural England (2024)

Higher scheme uptake linked to greater species richness, diversity and/or abundance for some species groups; baseline spatial associations, not change over time.

Defra Farming blog
The closure of SFI to new applicants in March 2025
Government and regulators
Defra

Record numbers of farm businesses in schemes and the budget successfully allocated.

Countryfile
Government and regulators
David Zeichner, Minister for Food and Rural Affairs

Advance notice would have caused a rush of applications, which he compared to a "run on a bank" (as reported by HCR Law).

HCR Law
Communities and civil society
Soil Association (Jerry Alford) and a Warwickshire farmer

Organic farmers and small farms lost out; the farmer said "All that money that's been spent is now meaningless."

Countryfile

How it looked

What was shown, beside what was recorded.

Shown

  • Programme aim described as "a renewed agricultural sector" and farming that contributes "significantly to environmental goals including addressing climate change" by 2028.
    Defra, as quoted by the National Audit Office · National Audit Office
  • Scheme outputs presented as 885,000 hectares of arable land farmed without insecticides, 330,000 hectares of low-input grassland managed sustainably and 85,000 km of hedgerows protected and restored.
    Defra, Farming and Countryside Programme annual report 2024-25 · Defra

Recorded

  • NAO (2024): £12bn Programme budget for 2020-21 to 2024-25; 40,700 farmers in agri-environment schemes at April 2024; no specific outcome measure for improving species abundance.
    National Audit Office
  • Defra (2025): £1,394 million spent on Environmental Land Management schemes in 2024-25, of which £906 million on agri-environment schemes and £305 million on SFI.
    Defra
  • SFI closed to new applications on 11 March 2025; Defra said the budget had been allocated.
    Countryfile
  • Natural England evidence (2024): higher scheme uptake linked to greater species richness, diversity and/or abundance for butterflies, moths and two bat species; baseline spatial associations, not change over time.
    Defra Farming blog
  • No source reviewed gives a measurement of change in species or habitat condition across the schemes' agreements over time.

In nature's name

What was promised in nature's name, the money that moved, and what was measured.

Promised

  • “a renewed agricultural sector, producing healthy food for consumption at home and abroad, where farms can be profitable and economically sustainable without subsidy” — Defra's stated intention for 2028, as quoted by the National Audit Office (July 2024) National Audit Office
  • “farming and the countryside contributing significantly to environmental goals including addressing climate change” — Defra's stated intention for 2028, as quoted by the National Audit Office (July 2024) National Audit Office

Money moved in nature's name

WhatKindAmountPeriod
Spending on Environmental Land Management schemes
Defra
Defra		Spent£1.4bn2024-25
Budget for the Farming and Countryside Programme
Defra
National Audit Office		Budget£12bn2020-21 to 2024-25
Cap on SFI funding, as reported
Defra
HCR Law		Budget£1.1bn2024/25 and 2025/26
Budget for SFI 2026
Defra
Agriland		Budget£240m2026
Minimum budget for new Countryside Stewardship Higher Tier agreements
Defra
Agriland		Budget≥ £50m2026

What was measured

Not measured

The National Audit Office (2024) found that gaps in the Programme's data on environmental outcomes limit Defra's ability to understand the impact on the environment, and that there is no specific outcome measure for species abundance. Defra's reported outputs (hectares and kilometres under scheme actions) are its own figures. Natural England's baseline results link higher scheme uptake to greater species richness for some groups but show spatial associations, not change over time.

Outcome measure for species abundance
None specified (July 2024)
NAO; Defra planned to have one by March 2025 National Audit Office
Arable land farmed without insecticides under SFI
885,000 hectares
Defra's own figure for April 2025; an output, not a measured outcome Defra
Species richness where scheme uptake is higher
Greater for butterflies, moths and two bat species
Natural England baseline spatial associations; a re-survey was in development Defra Farming blog

Operation Ongoing · SFI closed to new applicants on 11 March 2025; reset SFI windows from 30 June 2026; existing agreements continued to be paid. Countryfile

Findings on record

  • Official audit National Audit Office (2021-09-15) · The Environmental Land Management scheme (HC 664): “important elements are not yet in place, creating risks to environmental outcomes and value for money” National Audit Office
  • Official audit National Audit Office (2024-07) · The Farming and Countryside Programme (HC 123): “gaps in the Programme's data on environmental outcomes is limiting Defra's ability to fully understand the impact on the environment” National Audit Office

Who gained

Money that reached nature, beside money that stayed elsewhere.

Reached nature or the ground

Not published
No figure published.

Gained elsewhere

Not totalled
Currency: GBP · Window: Mixed — see each line. Figures cover different periods and are not compared as a ratio. * Estimate built from cited figures.

Responses on record

  • Department for Environment, Food and Rural Affairs (UK) (2024-2025): Said SFI closed because of record farm participation and the budget being allocated; told the NAO it had an environmental monitoring strategy and a significant research programme but acknowledged work to do on outcome data; reported scheme outputs in its 2024-25 annual report. · Countryfile
  • Natural England (7 August 2024): Its evidence report linked higher scheme uptake to greater species richness, diversity and/or abundance for butterflies, moths and two bat species, as baseline spatial associations. · Defra Farming blog
  • Soil Association (3 November 2025): Jerry Alford said organic farmers were hit hard by the closure and small farms under five hectares were among those losing out. · Countryfile

In court and with insurers

Every proceeding and every insurer decision on record.

Lawsuits and rulings

No court case on record. No court has ruled on this case.

Insurers

No insurer decision on record.

What nature saw

Outcomes measured on the ground, and nature's note.

Nature's report opens this page. Below: further outcomes measured on the ground.

Farmers signed up to agri-environment schemes, April 2024
40,700
NAO, July 2024; Defra's target for early 2024 was 39,000
Outcome measure for species abundance
None specified
NAO, July 2024; Defra planned to have a measure by March 2025
Arable land farmed without insecticides under SFI, April 2025
885,000 hectares
Defra's own figure, annual report 2024-25
Species richness near higher scheme uptake
Greater for butterflies, moths and two bat species
Natural England evidence summarised by Defra; baseline spatial associations, not change over time

What we don't know

Undisclosed, unproven, untried: recorded as data.
Official audit findingBenefit not measured

Nature

  • Not measured Harm to nature: The record holds no measurement of harm to nature.
  • Disputed Whether outcomes and value for money can be shown

Accounts

  • Disputed The closure of SFI to new applicants in March 2025

Record

  • None on record None on record: a measure of change in species abundance or habitat condition across scheme agreements. The NAO (2024) found no specific outcome measure for species abundance and gaps in outcome data; Defra planned to have a species abundance measure by March 2025.
  • None on record None on record: a National Audit Office report after the March 2025 closure of SFI to new applicants.
  • Insufficient Insufficient: Natural England's baseline results show spatial associations between scheme uptake and species richness for butterflies, moths and two bat species; a re-survey was in development in 2024.
  • Disputed Disputed: whether Defra's approach delivers value for money. The NAO (2021, 2024) recorded risks and data gaps; Defra said it had set up an environmental monitoring strategy and a research programme.
  • None on record Not yet determined: the outcome of the 2026 SFI windows; the sources reviewed do not confirm whether the second window opened.

Did the harm stop?

The sources reviewed do not report that harm to nature from farming has stopped. The NAO recorded that the Environment Agency found non-compliance with environmental regulations in around 50% of farm inspections in 2022-23 and 2023-24, and that inspections are risk-based so would likely find a higher rate than in the sector as a whole.

Who paid?

Public funds. The NAO recorded a £12bn budget for the Programme for 2020-21 to 2024-25, based on the historic level of EU funding; Defra recorded £1,394 million spent on Environmental Land Management schemes in 2024-25.

Sources

Voices on record: — Company or project✓ Government and regulators— Courts✓ Press and investigations— Communities and civil society— Researchers

Government and regulators

Press and investigations

Connected cases

Related matters, and cases linked to this one through the same organisations, with the role each played in both.
Terms used on this page

Carbon and conservation finance

Baseline
The projected scenario of what would have happened without a project, such as an expected rate of deforestation. Credits are issued for the difference between the baseline and what actually happened, so an inflated baseline produces more credits.

Science and environment

Hectare (ha)
A unit of area equal to 10,000 square metres, about 2.5 acres. 100 hectares make one square kilometre.
Similar cases
Finance, funds and markets · Green subsidy or budget claim · Protected area / relocation · European Union · 1992–2027
EU LIFE Programme: the EU's dedicated environment and nature fund, 1992 to 2027
Same type: Finance, funds and markets, Green subsidy or budget claimSame regionHarm to nature disputed
Finance, funds and markets · Green subsidy or budget claim · Wind, hydro and other renewables · Spain · 2008–2011
Spanish solar plants registered as complete before they were built: 1,919 administrative sanctions (2008-2011)
Same type: Finance, funds and markets, Green subsidy or budget claimSame regionHarm to nature not measured
Finance, funds and markets · Green subsidy or budget claim · Protected area / relocation · Brazil · 2011–2026
Bolsa Verde (Brazil): quarterly payments to families for forest conservation, 2011–2016 and the 2023 relaunch
Same type: Finance, funds and markets, Green subsidy or budget claimHarm to nature disputedHarm to nature not measured
Finance, funds and markets · Green subsidy or budget claim · Tree planting · China · 1999–2026
China's Grain for Green (Sloping Land Conversion) Programme
Same type: Finance, funds and markets, Green subsidy or budget claimHarm to nature disputedHarm to nature not measured
Finance, funds and markets · Green subsidy or budget claim · Water use · United States · 1985–2026
US Conservation Reserve Program: annual rental payments to take cropland out of production
Same type: Finance, funds and markets, Green subsidy or budget claimHarm to nature disputedHarm to nature not measured
Finance, funds and markets · Green claim · Green subsidy or budget claim · United States · 2011–2021
Mantria and DC Solar: two US investment schemes sold on carbon-negative housing, biochar and solar generators
Same type: Finance, funds and markets, Green subsidy or budget claimHarm to nature not measured