1 August Capital Grant Scheme Update: Now Closed for New Applications
Following the announcement on the 30 July that 75% of the Capital Grant scheme funding had been allocated Defra provided an update on the 1 August to confirm that that due to strong demand all available funds for the 2025 scheme had been allocated.
Defra said:
'With over 8000 applications now submitted in under 5 weeks, this is the fastest uptake ever for the offer and shows a clear appetite from the sector to transition towards nature-friendly farming. This high level of interest has been encouraging and shows how committed farmers are to improving their land, protecting the environment, and investing in a more sustainable future for farming.
Grants for items to help efforts to improve water quality were the most popular, including upgrades to yard proofing to reduce agricultural runoff and fencing to keep livestock out of watercourses.
What this means for applicants
As we set out when we announced the reopening of the offer on 3 July, upon closure of the scheme we will not accept any further applications. Applications and supporting evidence submitted before today 01 August at 1:30pm require no further action. The Rural Payments Agency (RPA) will contact applicants directly with the outcome of their application once it has been processed. While eligible applications are considered, funding cannot be guaranteed.
Unfortunately, started but not submitted applications are unable to be continued. However, there may be some exceptions to this where applicants were unable to submit their application and had sought assistance from the RPA to enable them to submit it. The RPA will assess these on a case-by-case basis and confirm to affected applicants shortly.
We recognise that we advertised a further four new items becoming available this year, after the offer had opened. However, due to the increased intake of applications this round, the budget was allocated and the scheme closed before they were formally added to the offer. We intend to include these items in the revised Capital Grants offer when the next round opens in 2026. In the meantime, they will still be available through Countryside Stewardship Higher Tier when it opens to invited applicants in September.
Read more about Capital Grants on the Defra Farming Blog.'
Author
Vicky Robinson
Vicky Robinson is Head of Sustainability and is responsible for leading and co-ordinating AIC's work on sustainability.
