Full scheme guidance is now available for the SFS, which started on 1st January 2026.
The Universal Layer provides a foundation and entry point into the scheme. Building on this foundation, the Optional Layer offers farmers and land managers more choice and flexibility, allowing them to undertake targeted actions that suit their farm business and objectives. It also provides additional payments for those delivering further environmental benefits.
Payments for undertaking individual Optional Actions will include a mixture of:
- One-off revenue payments, for example for creating plans
- Multi-annual revenue payments including area-based payments, for example for enhanced management of areas of habitat or woodland
- Capital payments, for example for small scale equipment, or larger scale infrastructure investments
The payment will be appropriate to the action and will be accompanied by further guidance where needed.
The Optional Actions available in 2026 are grouped into 14 themes:
Improved soil health and multispecies crop cover
The aim of this theme is to prevent soil loss, improve beneficial soil biology, improve soil structure and build Soil Organic Matter (SOM).
Welsh Government intend to provide support including:
- establishment of mixed leys, cover crops, the under-sowing of maize and unsprayed crops / margins
- capital investment for equipment / infrastructure such as:
- gateway maintenance, cross drains, electric fencing and water troughs (to minimise poaching)
- subsoilers, direct drills, and minimum tillage cultivators to reduce soil disturbance
Sustainable production
The aim of this theme is to support you to improve your farm efficiency and sustainability.
The initial offer focuses on improvements and efficiencies in livestock production through:
- sustainably reducing the age at slaughter of prime beef animals
- beef sire registration
- implementing graze and rest patterns (beef, sheep or dairy)
Enhanced habitat management
The aim of this theme is to support you to enhance the condition of existing habitats including species rich grasslands, heathlands, and wetlands including ponds.
Examples of actions which may be supported include (but not limited to):
- control of bracken or Invasive Non-Native Species (INNS)
- management of peatlands to help store and regulate water flow and reduce the risk and impact of wildfires
Activities may be funded as one-off capital items, while others may be supported as multi-annual area payments to reflect that some outcomes will take several years to be achieved.
Creation of permanent and temporary habitats
This is additional to any temporary habitat you are creating under UA6: Temporary habitat creation on improved land to meet the Universal Scheme Requirement to have 10% habitat on each farm.
Support for creation of permanent habitats is intended to include a combination of one-off capital and multi-year payments. For example, traditional orchard creation could include the capital costs of planting new trees, installing rabbit guards and stock fencing, plus a revenue payment for managing the underlying grassland.
Implementation of Designated Site Schedule of Works
The aim of this theme is to support you to implement the agreed Schedule of Works set out in your Designated Site Management Plan, to benefit these precious sites as part of your increasingly resilient farm business.
Enhanced woodland management
The support for this action contains two elements:
- funding to work with a registered woodland planner to develop a Woodland Management Plan. Any relevant permits, permissions and surveys will need to be in place before management works are carried out. The Woodland Management Plan will be valid for ten years with a review of progress at the five-year stage
- woodland management grants for a range of items recommended in the Woodland Management Plan such as fencing, Invasive Non-Native Species (INNS) control, thinning, tracks, access, and biodiversity related activities
Woodland and agroforestry creation
This is to support you to plant additional trees on your farm, identified in your UA10: Tree and Hedgerow Planting Opportunity Plan, in a way which provides benefit to you, your farm and the environment.
Support will be available in the form of funding for tree planting, fencing, gates and maintenance via our existing planting schemes which have been updated in 2025 to make them more flexible.
Hedgerow creation and restoration
To create and restore hedgerows to provide a range of benefits for your farming system whilst supporting the cultural and natural heritage of the countryside. This complements UA8: Hedgerow management and supports you to plant hedgerows identified in your UA10: Tree and hedgerow planting opportunity plan.
Welsh Government will support you to create and restore hedges by providing capital funding including, but not limited to:
- planting new hedgerows (20 metres or longer)
- fencing and gates to protect new or restored hedgerows
- water troughs, if needed, where new or restored hedgerows prevent livestock access to drinking water
Hedgerows created or restored will be included in the area used to meet the scheme requirement to have 10% habitat on each farm.
Improved public access to the countryside
This theme is designed to improve the accessibility of the farmed environment, encourage responsible recreation and improve the visitor experience. This can strengthen the link between the consumer and how their food is produced.
Support will include one-off capital items with a focus on improving accessibility (with an emphasis on least restrictive access) and / or improving the visitor experience.
Advanced Continuous Professional Development (CPD)
This Optional Action will provide support to complete more detailed or higher level CPD, supporting you to better understand and be more confident to perform the Optional Actions. The initial focus will be on:
- soil and multispecies crop cover
- KPIs to improve productivity and efficiency
- habitat management, enhancement and creation
- woodland management and creation
- hedgerow management
- water quality
- air quality
- organic farming
- animal health and biosecurity
Improved water quality, water usage and flood mitigation
This theme supports you to improve water quality, and to manage water availability.
This will bring together a range of activities included in other Optional Actions to focus on these benefits. This could include:
- farm infrastructure improvements for clean water separation such as roofing, rainwater goods, water harvesting and filtration equipment
- establishing multi-species leys in combination with minimum tillage techniques
- planting trees or hedgerows to intercept overland water flow and pollutants before they reach watercourses, including planting in riparian strips
Improved air quality and lowering ammonia emissions
This theme supports you to improve air quality. It builds upon Universal Actions such as UA1: Soil health and Optional theme Woodland and agroforestry creation.
This will bring together a range of activities included in other Optional Actions to focus on the benefits of improving air quality. This could include:
- capital funding for infrastructure improvements such as roofing over existing yards and slurry stores
- planting trees around slurry stores or livestock housing to intercept airborne pollutants
Organic farming (support and conversion)
The aim is to provide certainty to the organic sector in Wales, including individual farmers and the wider supply chain. Organic farming builds on multiple Universal Actions, particularly those focussed on soil health and biodiversity.
We propose to introduce payment bands based on land type. For support to existing organic farmers, these will be:
- horticulture
- enclosed land
- enclosed land with a dairy enterprise
- land above the upper limit of enclosure
For organic conversion, these will be:
- horticulture
- enclosed land with rotational crops / temporary grassland
- enclosed land with permanent crops / grassland
- enclosed land with permanent and temporary grassland with a dairy enterprise.
- land above the upper limit of enclosure and other specified land
Enhanced biosecurity
The aim here is to further the ‘Prevention is better than cure’ approach to manage a range of potential risk pathways to lower the risk of diseases entering your farm.
This action will provide capital funding to help prevent diseases being brought onto your farm and manage the risk of disease spreading if already on the farm. Capital funding could include (but is not limited to):
- isolation facilities to separate stock arriving on farm
- secure deadstock storage to minimise the risk of infection being transferred to your stock
- double fencing of boundaries to manage risk of infections to and from neighbour’s stock
The Welsh government will continue to work with stakeholders to develop these, and further Optional Actions to be made available from 2027 onwards including:
- Further support for sustainable production
- More activities to manage and enhance habitat, including more bespoke restoration actions to be targeted and tailored where they are most required
- Support to enhance and restore historic features
For more detail on the Optional Actions available in 2026 visit: https://www.gov.wales/sustainable-farming-scheme-2026-scheme-description-html#175201
Single Application Form (SAF) 2026 assistance
If you need support with your 2026 SAF, our team of SFS specialists can ensure accurate submission and full entitlement to payments. Our service includes:
- Customer registration (including change to Gov.UK One login)
- Full submission of SAF form
- Mapping changes & land transfers
- Ongoing support with completion of Universal Actions
- Follow-up of any payment queries (if applicable)
Support & advice
Our Stewardship & Grants team is ready to support you through the transition. We can help you compare BPS and SFS, and make the relevant application on your behalf, maximise funding through Universal, Optional, and Collaborative Actions, ensure compliance, and plan for your farm’s long-term sustainability.
For expert advice on the Sustainable Farming Scheme or to book an initial consultation, contact CXCS today on 01981 590514.