Rural Business Funding

The Farming Investment Fund (FIF) is DEFRA's main capital grant programme for farmers and growers in England. It includes several themed rounds targeting specific productivity and sustainability improvements:

The Farming Equipment and Technology Fund (FETF) provides grants towards specific pieces of equipment from a published list, with grants from £1,000 to £25,000 per application. The Farming Transformation Fund (FTF) offers larger grants for water management, slurry storage, and productivity improvement projects, with a two-stage application process. The Slurry Infrastructure Grant covers slurry stores and separation equipment. All applications are made through the Rural Payments Agency (RPA) and are competitive — applications are scored and ranked.

The Rural England Prosperity Fund (REPF) is a rural top-up to the UK Shared Prosperity Fund, providing additional investment to rural areas in England. It is delivered by local authorities and focuses on supporting the rural economy and community infrastructure. Eligible projects include diversification of rural businesses, provision of digital infrastructure in rural areas, community facilities, and tourism development.

REPF grants to businesses typically range from £5,000 to £100,000, with match-funding required. Community and infrastructure grants can be larger. The programme is administered locally, so eligibility criteria and application processes vary by council area. Contact your district or county council's economic development team to find out how REPF is being deployed in your area and whether funding rounds are still open.

Scotland, Wales, and Northern Ireland each administer separate rural development programmes. Highlands and Islands Enterprise (HIE) provides grants and loans specifically for businesses in remote and rural Scotland, including support for digital connectivity, business development, and community assets. Scottish Enterprise covers rural businesses in central Scotland. Scottish Rural Development Programme funding supports agricultural and rural diversification projects.

In Wales, the Rural Investment Scheme (under the Farming Connect programme) funds farm development and diversification. LEADER local action groups in Wales distribute rural development grants for community and business projects. Northern Ireland's Rural Development Programme is administered by DAERA and covers farm modernisation, rural tourism, and village renewal. Each programme has its own application windows and eligibility criteria — contact the relevant devolved body for current information.

The DEFRA Farming Innovation Programme funds collaborative research and development between farmers, growers, and industry partners to develop new farming practices, technologies, and business models that improve productivity and sustainability. Unlike equipment grants, it is focused on R&D and is typically accessed by groups of farmers working with universities, agri-tech companies, or research institutions. Grants range from small feasibility studies to multi-year development projects. Applications are competitive and made in response to periodic funding calls from Innovate UK on DEFRA's behalf.

The Rural England Prosperity Fund (REPF) is a rural top-up to the UK Shared Prosperity Fund, providing additional investment to rural economies in England. Delivered by local authorities, it funds capital projects for rural businesses (typically £5,000–£100,000 with match-funding required), community infrastructure, and tourism development. The REPF runs until March 2025 in its current form and will transition to successor arrangements. Contact your district council's economic development team to find out whether rounds are still open in your area, as spending allocations and deadlines vary significantly by council.

Countryside Stewardship remains the primary agri-environment scheme alongside the Sustainable Farming Incentive for farmers and land managers who want to undertake more targeted or specialist environmental management. It has three main routes: Higher Tier (for complex or high-value sites requiring expert management, including SSSIs, ancient woodland, and upland habitats); Mid Tier (for farms undertaking a combination of environmental options over a five-year agreement); and Wildlife Offers (simplified packages designed to make entry easier for farms with straightforward environmental opportunities). Countryside Stewardship agreements are competitively scored and payment rates are published annually by the RPA. Farmers should seek advice from a Natural England adviser or an agri-environment consultant before selecting options, as the choice of actions significantly affects both the environmental impact and the payment received.