Sustainable Farming Incentive

Nusrat Ghani Excerpts

Thursday 15th October 2026 Commons Chamber

[Stephen Morgan]

I place on record the hard work that my hon. Friend undertook as Minister of State in the Department. He was a tremendous contributor to many of the things that I have now inherited to deliver for our country. He is absolutely right to point out the hypocrisy of the Conservatives on the SFI scheme. I remind him that it was Michael Gove who I think first introduced the first come, first served approach. I also pay tribute to those at the RPA. They have worked incredibly hard with the level of applications and demand we have seen with this scheme. I look forward to working with my hon. Friend as we make further improvements to ensure the success of the scheme next year.

[Madam Deputy Speaker]

I call the Liberal Democrat spokesperson.

[Sarah Dyke (Glastonbury and Somerton) (LD)]

SFI is the foundation of a resilient food system, and it delivers for nature. When it closed without warning last year, the Liberal Democrats warned of the damage to farm finances and our environmental goals. Farmers now face a two-tier system once again.

Clare farms near Puckington. Her countryside stewardship scheme agreement is ending, and SFI was meant to be her way forward. Farmers deserve better than a Glastonbury ticket scramble, so I welcome the end of “first come, first served”, but having a fairer queue for the same small pot just changes who gets turned away. The Liberal Democrats would back farmers with an extra £1 billion a year to produce food and protect nature, not choose between them. With the Budget just two weeks away, will the Minister back our call and press the Chancellor to fund SFI properly?

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[Stephen Morgan]

My hon. Friend has yet to write to me on any issues that his farmers have raised about SFI26, and I encourage him to do so. I meant it when I said in my opening remarks that I am really keen to work in partnership with others to design a scheme that works for all farmers next year. I look forward to his proactive engagement with me in order to get the scheme right next year.

[Madam Deputy Speaker]

I call the Chair of the Environment, Food and Rural Affairs Committee.

[Mr Alistair Carmichael (Orkney and Shetland) (LD)]

How many applications did the Department expect to receive when it opened the window? The farming software platform Soil Benchmark publicly estimated that there would be about 40,000 applications, and it thought that there would be a budget for about 15,000 successful ones. In the event, it was about 12,000. If Soil Benchmark could do that calculation, why did the Department not do so? Or did the Department do that calculation and then open the scheme in the knowledge that approximately two thirds to three quarters of applicants would be disappointed at the end of it?

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[Tessa Munt (Wells and Mendip Hills) (LD)]

I wanted to point out to the Minister that a lot of farmers in my area have terrible difficulties with buffering broadband, as internet access is poor. I had actually thought that those who had agents were the lucky ones, but I was informed quite neatly after I had said something about this that most agents actually only managed to get in eight, nine or 10 applications in the very short window that was available, so that was not the case. The Minister has mentioned that he is going to be running workshops with farmers, but has he actually asked the Rural Payments Agency to do a high-speed review, as he does not have very much time before 2027, so that the barriers to applicants, particularly those who had expiring agreements and those who do use agents—

[Madam Deputy Speaker (Ms Nusrat Ghani)]

Order. Marvellous, fantastic question. I call the Minister.

[Stephen Morgan]

I thank the hon. Member for her question, and I can assure her that I have met the RPA on the lessons learned from the scheme and what worked well this year, and we will analyse what the applications tell us.

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[Stephen Morgan]

Our annual report obviously sets out how the farming budget is spent. When we announce future rounds of schemes, we set out the overall budget available. I mentioned earlier the amount available for SFI this year. We will continue to be as transparent as we can beyond the figures available for farmers.

[Madam Deputy Speaker (Ms Nusrat Ghani)]

With the final question, I call Jim Shannon.

[Hon. Members]

Hear, hear!

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[Perran Moon (Camborne and Redruth) (Lab)]

On a point of order, Madam Deputy Speaker. Earlier the shadow Minister may have inadvertently misled the House by stating that for the first time this scheme was changed to operate on a first come, first served basis. That is simply not the case. A first come, first served scheme was set up under the Conservatives. Madam Deputy Speaker, can you advise how the record may be corrected?

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I thank the hon. Member for his point of order. Members themselves, not the Chair, are responsible for what they say in the Chamber. If the shadow Minister wishes to clarify his earlier remarks, that is for him, but he needs to keep it short, because I do not want to continue the debate.

[Robbie Moore (Keighley and Ilkley) (Con)]

Further to that point of order, Madam Deputy Speaker. As a matter of fact, when the SFI window was closed under this Labour Government in March 2025, that process in itself led to the huge demand that came up in September this time, therefore making it competitive and first come, first served. That is exactly the scenario that happened. [Interruption.]

[Madam Deputy Speaker]

Order. We are not going to continue the debate. The urgent question is over.