Evie Price, Head of Stewardship & Grants at CXCS
The second application window for the Sustainable Farming Incentive 2026 (SFI26) opened on Tuesday 22nd September – and closed at 3:48pm the same day after sufficient applications were received to allocate the available budget.
Official figures published by Defra show that around 12,200 applications were submitted during Window 2, nearly twice the number received during Window 1.
The window opened with a £233 million budget, with a further £20 million subsequently allocated by ministers, taking the total available for Window 2 agreements to £253 million.
The exceptionally short application window will undoubtedly have left some farmers disappointed, particularly those who had started an application but were unable to submit it before the window closed.
Evie Price, Head of Stewardship & Grants at CXCS, looks at what happens next for those who applied, what farmers who missed the window need to know and what Defra has said about SFI in 2027.
What happens if you submitted an SFI26 application?
The Rural Payments Agency (RPA) is now processing Window 2 applications, with applications being dealt with in the order they were submitted.
Submitting an application does not guarantee an agreement. Agreements will only be offered to eligible applications where sufficient budget remains, and some applications may take longer to process where additional checks are required.
Defra has said it will provide a further update on when successful applicants can expect to receive their agreement offers.
If you receive an agreement offer, you must accept it within 30 calendar days. If it isn’t accepted within this period, the offer will be withdrawn.
What if you started an application but didn’t submit it?
If you started an SFI26 Window 2 application but didn’t manage to submit it before the window closed, you will generally no longer be able to submit it.
There are two limited exception groups for farmers who contacted the RPA before Window 2 closed:
- farmers requiring assisted digital support, where the RPA needs to complete an application on their behalf
- farmers who were prevented from applying because of a technical issue with the application service.
The RPA will contact those with started but unsubmitted applications to confirm whether their application will be withdrawn or whether they fall within one of these exception groups.
Applied on SSSI land?
If your SFI26 application includes land designated as a Site of Special Scientific Interest (SSSI), you need to submit the required SSSI notice to Natural England to obtain consent.
The RPA cannot offer an SFI26 agreement until this has been completed, so applicants who haven’t yet submitted the necessary notice should do so as soon as possible.
What do the Window 2 figures show?
Defra’s official statistics show that around 12,200 applications were submitted during Window 2, nearly twice the 6,700 applications received during Window 1.
The profile of applicants was also very different. Around 72% of Window 2 applications came from businesses with an agri-environment agreement due to expire by 28th February 2027, compared with just 4% in Window 1.
Around 21% of Window 2 applications were from farms between 3 and 50 hectares, compared with 68% in Window 1. This reflects the wider eligibility for Window 2 following the more targeted first window earlier in the summer.
More than 8,800 Window 2 applicants had an existing agri-environment agreement due to expire on or before 28th February 2027. New functionality within SFI26 allowed eligible farmers with expiring agreements to start an application early and apply for the full range of available actions before their existing agreement ends.
Around 10% of Window 2 applications came from farm businesses without an existing Countryside Stewardship, Environmental Stewardship or SFI agreement.
Applications were made across all 14 SFI26 action groups, with the five most popular actions being:
- CLIG3 – Manage grassland with very low nutrient inputs: 7,415 applications
- CHRW2 – Manage hedgerows: 4,310 applications
- CSAM3 – Herbal leys: 3,370 applications
- CAHL2 – Winter bird food on arable and horticultural land: 2,657 applications
- CIPM4 – No use of insecticide on arable crops and permanent crops: 2,621 applications.
These figures relate to applications received and do not represent final agreements, as applications are still being processed by the RPA.
What happens to SFI in 2027?
For farmers who weren’t able to secure an agreement through SFI26, Defra has confirmed that it plans to offer SFI again in 2027.
Defra has said it will work with farmers, farming representative organisations and the wider sector to consider how the scheme can be improved ahead of the next offer.
Importantly, this includes exploring alternatives to the first come, first served application process used for SFI26.
Defra has also said it intends to open the 2027 offer as early as possible, with further details to follow.
Have your say on the SFI26 application process
The Rural Payments Agency (RPA) is inviting farmers and land managers who applied during SFI26 Window 2 to share their experience of the application process.
The short online survey asks applicants what worked well and where improvements could be made, with feedback being used to help improve the application process for future rounds of SFI.
Taking part is voluntary and responses are anonymous. The survey is open until 11.59pm on Thursday 15th October 2026.
Complete the RPA SFI26 Window 2 survey.
Other funding remains available
Although SFI26 is now closed to new applications, other funding opportunities remain available.
Countryside Stewardship Higher Tier (CSHT) remains open, including through the Expression of Interest (EOI) process.
EOIs can currently be submitted for woodland improvement and agroforestry, as well as single-focus agreements for species-rich grassland management and scheduled monument management.
Need help with your agreement or future funding?
If you’ve submitted an SFI26 application, our Stewardship & Grants team can support you with your agreement and help you understand what you need to do next.
If you weren’t able to submit an application before Window 2 closed, we can also help you look at other funding opportunities that may be available to your farm and prepare for future schemes as further details are announced.
Speak to our Stewardship & Grants team on 01981 590514 or email info@cxcs.co.uk.
We handle the detail. You go farming.