As a small-scale landowners play a vital role in the stewardship of our natural environment. With the departure from the European Union, the UK government has shifted its approach to agricultural and environmental support, moving away from the previous system of direct payments to a new framework that rewards sustainable land management practices. The Environmental Land Management (ELM) scheme is at the heart of this new policy. Designed to promote sustainable farming, enhance biodiversity, and tackle climate change, the ELM scheme offers an exciting opportunity for small-scale landowners like you to contribute to environmental goals while receiving financial support.
What is the Environmental Land Management (ELM) Scheme?
The Environmental Land Management (ELM) scheme is the UK government’s flagship environmental policy for agriculture, replacing the subsidies that were previously provided under the European Union’s Common Agricultural Policy (CAP). ELM is designed to reward farmers and land managers for delivering "public goods" such as clean air, clean water, thriving plants and wildlife, protection from environmental hazards, and mitigation of climate change.
ELM is structured around three main components, each tailored to different types of environmental interventions:
1. Sustainable Farming Incentive (SFI)
2. Local Nature Recovery (LNR)
3. Landscape Recovery (LR)
Sustainable Farming Incentive (SFI)
The Sustainable Farming Incentive (SFI) is the most accessible element of the ELM scheme, making it an excellent starting point for small-scale landowners. The SFI aims to support farmers and landowners in adopting practices that promote soil health, water quality, biodiversity, and animal welfare, all while allowing you to continue productive farming.
Key Features of the SFI
· Flexibility - The SFI is designed to be flexible and straightforward, allowing you to choose the actions that best suit your land and farming system. Whether you manage a few acres of pasture, a small orchard, or a mixed farm, there are options available.
· Soil and Grassland Standards - For small-scale landowners, the SFI includes specific standards that encourage sustainable management of soils and grasslands. This might involve practices like reducing soil erosion, planting cover crops, or maintaining flower-rich grasslands to support pollinators.
· Payment structure - The SFI offers payments based on the level of commitment and the actions you choose to implement. Payments are made annually, providing a steady source of income while you enhance your land’s environmental value.
By participating in the SFI, you can receive financial support while adopting practices that improve the health of your land and contribute to wider environmental goals. For example, if you manage a small pasture, you could receive payments for maintaining it in a way that supports biodiversity, such as reducing fertilizer use or allowing wildflowers to flourish.
Local Nature Recovery (LNR)
The LNR component of the ELM scheme is designed to encourage more collaborative and locally targeted environmental actions. While this scheme may involve a higher level of commitment than the SFI, it offers opportunities to work with other landowners and community groups to enhance local biodiversity and ecosystem services.
Key Features of the LNR
· Collaboration - LNR focuses on collective action. This means you could join forces with neighboring landowners to create wildlife corridors, restore wetlands, or manage watercourses to improve water quality.
· Targeted Actions - The LNR allows you to focus on specific environmental outcomes that are important in your area, such as restoring native hedgerows, creating habitats for local wildlife, or improving the resilience of your land to flooding.
· Support and Advice - The LNR provides access to expert advice and guidance, helping you design and implement effective environmental practices tailored to your local context.
For small-scale landowners, participating in the LNR can be a great way to make a meaningful impact on local biodiversity and landscape quality. By collaborating with others, you can contribute to larger-scale environmental improvements that benefit both your land and the wider community.
Landscape Recovery (LR)
The Landscape Recovery scheme is the most ambitious component of the ELM scheme, focusing on large-scale habitat restoration and landscape change. While primarily aimed at larger landholdings or collective projects, small-scale landowners can still play a role, especially if you are part of a community or partnership that wants to pursue significant environmental projects.
Key Features of the LR
· Large-Scale Projects - LR supports projects that deliver significant environmental benefits, such as rewilding, peatland restoration, or large-scale tree planting.
· Long-Term Agreements - These projects typically involve long-term commitments (up to 20 years or more), making them more suitable for those who are interested in substantial, lasting change.
While the LR may seem geared towards larger estates, small-scale landowners can participate as part of a group project. If you are passionate about large-scale environmental restoration, joining forces with others can allow you to contribute to ambitious landscape-level changes.
Countryside Stewardship (CS)
The CS scheme has been a long-standing part of the UK's agri-environmental policy. While the SFI is designed to be more accessible and flexible, the CS remains an important option for farmers looking to undertake more specific or higher-level environmental work.
Key Features of Countryside Stewardship:
Higher Level Stewardship - This is aimed at sites that are particularly valuable for wildlife and require more complex management strategies. It often involves tailored agreements with bespoke management options.
Mid-Tier and Wildlife Offers - These provide a range of management options to support wildlife, improve water quality, and enhance the landscape. Options include creating wildflower meadows, managing floodplains, and planting trees.
Capital Grants - Farmers can apply for grants for capital works that support environmental improvements, such as fencing, water troughs, and hedge planting.
Transition and Integration with SFI
While the Countryside Stewardship scheme continues to be available in 2024, there is a growing emphasis on transitioning into the SFI and other elements of the ELM scheme. Farmers currently under CS agreements have the option to transition into the new schemes without penalty, allowing for greater flexibility and alignment with the newer policies.
Participating in the ELM scheme, particularly the SFI and LNR components, offers several advantages for landowners:
· Financial Support - ELM provides a new source of income that can help supplement your existing farming or land management activities. This can be particularly valuable for small-scale landowners who may have limited opportunities for revenue generation.
· Environmental Benefits - By adopting more sustainable practices, you can enhance the health and resilience of your land. Healthier soils, cleaner water, and increased biodiversity can lead to more sustainable and productive land management in the long term.
· Community and Collaboration - The LNR and LR components encourage collaboration, allowing you to work with your neighbors and local community to achieve bigger and more impactful environmental outcomes. This can foster a sense of shared purpose and stewardship.
· Future-Proofing - Engaging with the ELM scheme helps prepare your land for future environmental and regulatory challenges. As climate change and environmental sustainability become increasingly important, being part of these schemes positions you as a proactive and responsible land manager.
Environmental Land Management scheme offers an exciting opportunity for small-scale landowners to enhance their land’s environmental value while receiving financial support. Whether you choose to start with the Sustainable Farming Incentive or explore collaborative projects through Local Nature Recovery, there are numerous ways to get involved and make a positive impact.
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