Farmers - the Farming Investment Fund has launched (FIF) (FIF)
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Farmers – the Farming Investment Fund has launched (FIF)

The Farming Investment Fund launched yesterday and in this blog, we outline what we know so far.

The Farming Investment Fund (FIF) has two elements, both of which have been modelled on elements of the Countryside Productivity Scheme:

  • Farming Equipment and Technology Fund
  • Farming Transformation Fund

Yesterday we were advised that DEFRA have launched the first round of their scheme designed to replace part of the Common Agricultural Policy. From reading the DEFRA blog this first round appears to be:

  • The Farming Equipment and Technology Fund
  • The Water Management theme of the Farming Transformation Fund

Defra’s blog of yesterday contains some interesting details and links to further material which I would suggest anyone interested in making an application has a read through. There is also reference to a webinar on Mon 22 November 2021 at which information on the Farming Investment Fund will be presented and there will be time set aside for questions. Sign up for the Farming Investment Fund Webinar.

I set out below headlines for the two elements of the Farming Investment Fund. Most of the information has been taken from Defra’s blogs including The Farming Investment Fund: an overview as amended for Guidance issued yesterday (16/11).

 

Farming Equipment and Technology Fund (FETF) Farming Transformation Fund (FTF)
Overview FETF will provide smaller grants to improve business performance. FTF will support larger or more complicated investments.
More details Farmers can apply for a grant to buy items from a set list of equipment, technology and small infrastructure investments.

Contractors will be eligible to apply for FETF as well as farmers, foresters and horticulturalists and the list includes items to reflect this change.

The FETF Round 1 manual contains details about who is eligible and what they can get funding for in Round 1.

This fund provides grants towards large capital items to help businesses improve productivity, profitability, and environmental sustainability. They are:

  • Water Management
  • Improving Farm Productivity
  • Adding Value

More details on the Waste Management grant can be found here and there is an eligibility checker here.

Based on Countryside Productivity Small Grant scheme Countryside Productivity Large Grant scheme
Application process You will be able to make an application online quickly and simply. The approval process will be straightforward, with a clear grant value assigned to each item. If an application is successful, the applicant will buy the item and then will be able to claim the reimbursement using their receipt.

Applications for Round 1 can be made here.

For the Water Management grant (the only element open for applications) the eligibility checker appears to feed into the application process.

“Use this service to:

  • check if you can apply for a grant for your project (takes about 5 minutes)
  • check how well your project fits the funding priorities (this takes about 15 minutes if you have all the project details)

If your project is eligible, you can submit your answers to the Rural Payments Agency (RPA) to request the full application form.”

Deadline for applications 7 January 2022 Applications will be open until the 12 January 2022, with the deadline to complete full applications by 30 June 2022.

Other funding – aimed at R&D

Defra has also has a scheme support innovation, research and development in farming and growing. This innovation R&D programme, Farming Innovation Programme, will have three funds within it – one of these is the Industry-led R&D Partnerships fund.

In October 2021, Defra launched the first competitions of this new Industry-led R&D Partnerships fund.  Details at link. This competition closes at 11.00am on Wednesday 1 December 2021.

PKF Francis Clark

I will look to update this blog as more details are released. If you have questions on the scheme and/ or capital investment more generally, please do not hesitate to contact your usual point of contact at PKF Francis Clark or find our more about our agriculture accounting services.

FEATURING: Brian Harvey
As head of PKF Francis Clark’s agricultural sector group, Brian manages a dedicated team of agricultural accountants and tax advisers. He hails from a Cornish… read more
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