SAP New Schemes and Measures: Payment Schemes
Payment Schemes will provide you with the support necessary to transition to more sustainable farming practices.
Farm Sustainability Payment Scheme
From 1st of January 2026 the Farm Sustainability Payment (FSP) will replace the Farm Sustainability Transition Payment. The FSP aims to balance support with encouraging farm businesses to manage risks while building a more environmentally sustainable, efficient and resilient business.
The FSP scheme will include the following elements:
- Implementation of the Historic Years Exercise.
- Implementation of progressive capping above £60,000.
- Compliance with new Farm Sustainability Standards (FSS) subject to legislation.
- Roll out of new land eligibility rules.
- Introduction of Conditionalities. These include participation in the Soil Nutrient Health Scheme and the Bovine Genetics Project. Participation in the Carbon Footprinting Project is also planned to become a conditionality, however the timeline for the introduction of this has still to be determined.
What does this mean for me?
To claim FSP in 2026 you will be required to submit an eligible FSP application by the closure of the application window of 15 May 2026 and activate at least 3 payment entitlements on at least 3 hectares of eligible land. Also, if in operation prior to 31 December 2021, you must have met the Historic Years requirements.
You must be actively farming and undertake agricultural activity to be eligible to apply for FSP. If your claim is for 5 hectares or more, you must carry out agricultural activity on at least 3 hectares of land used to activate entitlements. However, where you submit a claim of less than 5 hectares, you must carry out agricultural activity on at least 2 hectares of land used to activate entitlements.
Agricultural activity is defined as –
(i) the production, rearing or growing of agricultural products, including harvesting, milking, breeding animals, and keeping animals for farming purposes;
(ii) maintaining an agricultural area in a state which makes it suitable for grazing or cultivation without preparatory action going beyond usual agricultural methods and machineries.
You must also have management control of the land used to activate entitlements.
In addition,
As stated above to be eligible for the FSP in 2026, farm businesses in operation prior to 2022 must have met the requirements of the Historic Years Exercise. This means that in either 2020 or 2021 your farm business will need to -
(a) have kept cattle or sheep or reared goats registered on APHIS; or
(b) have reared deer for meat and sold that meat commercially; or
(c) have kept poultry registered with the Department as a commercial flock or pigs registered on APHIS, combined with selling grass (not including the sale of agistment grazing rights); or
(d) have farmed at least three hectares of a determined area with an arable or horticultural crop (specified in Schedule 1 of the Farm Sustainability (Transitional Provisions Regulations (Northern Ireland) 2025) and declared in an application to the Department for either of those years; or
(e) have been a contract rearer with a contract in place which demonstrated that they managed the livestock and associated grassland, bore the risks in relation to the agricultural activity being carried out and obtained benefits from it.
The above requirement does not apply to businesses set up post 2021.
All land in DAERA’s mapping system (Land Parcel Identification System) which is a field parcel at least 0.1 ha in size and has a boundary recognised by the Department, will be eligible for FSP.
This will include:
- soft features (rush, scrub, bracken, blanket bog, lowland raised bog, etc);
- discrete areas of woodland which are less than 5ha;
- areas with up to and including 70% stones, scree, rock or scattered rock; and
- woodland that is or has been part of a forestry or agri-environment scheme administered by the Department on or after 1 January 2009.
The following will not be eligible:
- Hard features;
- Discrete areas of woodland 5ha or more;
- Part of a woodland parcel which is less than 5 hectares and is contained in a woodland block; and
- State-owned woodland or woodland on state-owned land.
Applicants for the FSP scheme will be required to meet the following conditionalities to drive uptake of schemes critical for soil health, carbon management, and genetic improvement, in order to receive their full payment. Participation in these projects will provide farm businesses with valuable knowledge and data to help them develop sustainable farm businesses.
Soil Nutrient Health Scheme
- Farm businesses must have registered for the SNHS and completed training offered to them by the closing of the Single Application Form window (15 May 2027) to be compliant. For those farm businesses that are not compliant at this stage, the Regulations legislate that a 10% penalty will be applied to their Farm Sustainability Payment in 2027. The penalty will be increased to 15% for continued non-compliance in 2028 and will continue to be applied at 15% until the conditionality has been met.
Bovine Genetics Project
- Farm businesses with bovine animals must have registered for the Bovine Genetics Project and completed training offered to them by the closing of the Single Application Form window (15 May 2028) to be compliant. It is proposed that a 10% penalty will be applied to the FSP of non-complaint farm businesses in 2028. The penalty will be increased to 15% for continued non-compliance in 2029 and will continue to be applied at 15% until the conditionality has been met.
Carbon Footprinting Project
- A timeline for the roll out of this Project has still to be set. It is planned that to meet this conditionality, farm businesses will be required to register for the Project, and complete training when it is offered.
Pilot Protein Crop Scheme
The Pilot Protein Crop Scheme aims to create a domestically produced source of protein for animal feed to provide agronomic benefits within our arable rotations and provide an alternative source of income. The Scheme was introduced as a pilot in 2021 and has been extended to 2026 in order to assess the environmental and sustainability benefits which protein crops can deliver.
The eligible protein crops for this Scheme are peas, beans and lupins. The payment rate for the Scheme is currently £330 per hectare and the maximum supported area is 1,300 hectares. In 2020, there were 150 hectares grown on 32 farms, and in 2025 there were 481 hectares grown across 96 farms, with spring beans the most popular crop.
What Does This Mean For Me?
Protein Crops have the potential to deliver environmental and sustainability benefits. The area claimed must be at least 0.3ha and applicants may only claim on land planted in protein crops.
What Do I Need To Do Now?
Farmers wishing to apply for the Pilot Protein Crop Scheme in 2026 should do so via the annual Single Application.
Beef Sustainability Package
The Beef Sustainability Package comprises two elements; a Beef Carbon Reduction Scheme and a Suckler Cow Scheme which together aim to reduce Greenhouse Gas emissions from beef production and enhance productivity of the sector.
Beef Carbon Reduction Scheme
The Beef Carbon Reduction Scheme incentivises farm businesses to reduce the age at slaughter of clean beef cattle over a four-year period. It commenced on 1 January 2024 with the maximum age at slaughter target of 30 months in the first year, reducing to 26 months in year four, as outlined below
| Scheme Year | Max age at slaughter |
|---|---|
| Year 1 - 2024 | 30 months |
| Year 2 - 2025 | 28 months |
| Year 3 - 2026 | 27 months |
| Year 4 - 2027 | 26 months |
In year 1 over 8,000 eligible farm business opted into the Scheme, there were over 295,000 eligible animals and payments of £19.8 million have been issued. Year 2 commenced on the 1 January 2025 with a maximum age of slaughter target of 28 months and a payment rate of £75 per eligible animal.
What Does This Mean For Me?
The Beef Carbon Reduction Scheme is targeted at those farm businesses that finish beef cattle. It is limited to clean beef animals, born and bred in Northern Ireland and registered on NIFAIS which are slaughtered at or below the maximum age at slaughter targets set for the year of the Scheme.
To be eligible for participation in the Beef Carbon Reduction Scheme in 2025, farm businesses must have claimed and been eligible for the Farm Sustainability Transition Payment. From 2026 onwards farm businesses must claim and be eligible for the Farm Sustainability Payment.
To ensure the payment is received by the farm business finishing the animal, an animal must have been kept within a herd associated to that farm business (on NIFAIS) for at least 60 days (continuously) within the last 100 days before the slaughter date.
What do I need to do now?
The second year of the Beef Carbon Reduction Scheme commenced in January 2025.
You should consider adjustments necessary within your farm business to slaughter eligible animals at or below the maximum age at slaughter targets.
Check the agricultural press, DAERA and CAFRE websites or social media channels regularly for details on upcoming training.
Eligible Farm Businesses must opt-in to the scheme to receive payment via the DAERA website at How do I opt-in for BCR? | Department of Agriculture, Environment and Rural Affairs. The farm business only needs to opt-in once for BCR from 2024. If the farm business has opted-in they will receive a BCR payment each year thereafter provided they meet the eligibility conditions in that year. If you do not wish to complete the online BCR opt-in yourself, you can nominate another person (for example an Agent) to do so on your behalf.
Suckler Cow Scheme
The Suckler Cow Scheme commenced on 1 April 2025 and aims to encourage improvements in environmental performance and productivity, increased profitability and reduced emissions. It incentivises farm businesses to reduce the age at first calving of suckler heifers and to reduce the calving interval of suckler cows over a four-year period. Each Scheme year will run from the 1 April to 31 March and a payment of £100 will be made on eligible live, aborted and stillborn calving events that achieve the annual Scheme targets for age at first calving or calving interval.
CAFRE will provide focused training to help farm businesses understand the changes to management practices required to reduce the age of heifers at first calving and to reduce the calving interval of cows to meet the Scheme targets.
Reduced age at first calving - payment will be made in respect of calving events where beef breed heifers are aged between 21 months and the maximum age at first calving target for the relevant Scheme year when the calf is born. For example, in Scheme year 1, a heifer must be aged between 21 months and 34 months when its calf is born. The implementation is set out below.
Year of Scheme | Duration | Maximum age at first calving |
|---|---|---|
1 | 1 April 2025 – 31 March 2026 | 34 months |
2 | 1 April 2026 – 31 March 2027 | 32 months |
3 | 1 April 2027 – 31 March 2028 | 30 months |
4 | 1 April 2028 – 31 March 2029 | 29 months |
Reduced calving interval - payment will be made in respect of calving events where beef breed cows have a calving interval at least 271 days after the previous calving event and not more than the maximum calving interval target for the relevant Scheme year. For example, in Scheme year 1, the calving interval must be between 271 days and 415 days. The implementation is set out below.
Year of Scheme | Duration | Maximum calving interval |
|---|---|---|
1 | 1 April 2025 – 31 March 2026 | 415 days |
2 | 1 April 2026 – 31 March 2027 | 405 days |
3 | 1 April 2027 – 31 March 2028 | 395 days |
4 | 1 April 2028 – 31 March 2029 | 385 days |
What Does This Mean For Me?
The Suckler Cow Scheme encourages farm businesses to improve breeding management practices in suckler cow production, to increase the percentage of eligible calving events that achieve a reduced age at first calving and a reduced calving interval.
Eligible calving events require heifers and cows to be of an eligible beef breed. Additionally, eligible calving events require that calves are born live, aborted or stillborn, are tagged, tested for Bovine Viral Diarrhoea (BVD), registered on NIFAIS and are born within the Scheme year target.
To be eligible for the Suckler Cow Scheme in 2025, farm businesses must have claimed and been eligible for the Farm Sustainability Transition Payment. From 2026 onwards farm businesses must claim and be eligible for the Farm Sustainability Payment. Eligible farm businesses must opt in to the Suckler Cow Scheme and have eligible calving events to receive payment. Eligible farm businesses will receive a payment for each eligible calving event. Payment will issue to the farm business where the eligible calving event occurred.
What Do I Need To Do Now?
Consider adjustments necessary to meet age at first calving and calving interval targets.
If you wish to participate in the Suckler Cow Scheme, you must opt in to the Scheme. Farm businesses only need to opt in once from 2025. For further details on how to opt in visit: How do I opt in for the SC Scheme | Department of Agriculture, Environment and Rural Affairs
For further information on the scheme you can view a presentation by visiting: Suckler Cow Fertility Group - CAFRE.
Check the agricultural press, DAERA and CAFRE websites or social media channels regularly for details on upcoming training.
Farming with Nature Package
The Farming with Nature (FwN) Package replaces the Environmental Farming Scheme and will provide a range of environmental actions. The ambition is to scale up nature friendly farming with all farmers rewarded for delivering environmental public goods, alongside food production.
The aim of FwN is to increase the extent, quality and connectivity of habitats in the farm landscape within and outside designated sites and other priority habitat areas. This Package is being rolled out in a phased approach. Strand one, the Farming with Nature Transition Scheme, opened for applications from 23 June to 4 August 2025. It provided financial support for the implementation of a number of measures including planting new hedgerows, farmland tree planting, creating riparian buffer strips, retaining winter stubble and establishing multi-species winter cover crops. These actions will help to create new habitats, provide new green infrastructure, protect watercourses and contribute to carbon sequestration on farms.
Further strands of the FwN Package are planned to offer support for environmental actions on agricultural land within designated sites and other priority areas and to support collaborative action on a landscape scale. Further information will follow in due course.
What Does This Mean For Me?
To be eligible for the FwN Transition Scheme, farm businesses must be in possession of a DAERA Category 1 or Category 2 Farm Business Identification Number. Further information on Farm Business IDs is available at: Registering Your Business | Department of Agriculture, Environment and Rural Affairs. Farm businesses currently holding an EFS Wider or Higher Agreement were not eligible for the FwN Transition Scheme in 2025 however it is planned that existing EFS agreement holders will be eligible for future strands of the Farming with Nature Package. Farm businesses participating in the Scheme must have management control of the fields in which actions are implemented. Participants must be able to meet the scheme requirements and take the actions needed to provide the environmental outcomes of the scheme.
What Do I Need To Do Now?
The Farming with Nature Transition Scheme Year 1 is now closed for applications, however it is planned that it will open for applications in 2026 with an expanded offer.
Sustainable Farming Investment Scheme
A Sustainable Farming Investment Scheme is planned that will provide support for innovation and new technologies to help farm businesses improve environmental performance and business efficiency.
Support will focus on assisting the industry to meet net zero targets and improve air and water quality. The Sustainable Farming Investment Scheme will support the adoption of precision technology and equipment to reduce ammonia emissions, carbon emissions, and nutrient loss. This Scheme will seek to increase the resilience of farm businesses through increased efficiency, to help withstand market volatility and labour availability.
What Does This Mean For Me?
It is anticipated that the Scheme will roll out from early 2026 and that a Category 1 Farm Business ID will be required to be eligible. Further information on Farm Business IDs is available at: New Farm Business | Department of Agriculture, Environment and Rural Affairs
What Do I Need To Do Now?
Nothing at this point. Check the agricultural press, DAERA website or social media channels regularly for further details and updates.
Farming for the Generations Pilot Scheme
The Farming for the Generations Scheme is currently being delivered as a pilot by Rural Support. The pilot scheme aims to raise awareness of the need for succession planning for farm businesses and support farm families through: planning for succession, developing the successor, and supporting the lead generation. It will link farmers without a family successor to new entrants to provide access to land and other resources.
Evaluation of the pilot scheme will inform the development of the main Farming for the Generations scheme which is planned to commence late 2026.
What Does This Mean For Me?
This Scheme will support a smooth and planned transition of the management and leadership responsibility and the legal inheritance of your farm business.
What Do I Need To Do Now?
Farmers without a successor to their business or new entrants to agriculture can apply to participate on the Farming in Partnerships element of the pilot scheme. This element will support existing farm businesses and new entrants to examine the possibility of establishing sustainable farming businesses through partnership arrangements. For further information on the pilot scheme contact Rural Support at farmgenerations@ruralsupport.org.uk or 02886 760040.
Further information on the full scheme will be provided in due course.
Horticulture Pilot Scheme
The Northern Ireland production horticulture sector makes an important contribution to the economy, the environment and human health. The Horticulture Pilot Scheme has been developed with industry stakeholders to sustainably grow the sector focusing on soft fruit, top fruit, edible crops, mushrooms, protected crops, ornamental crops and cut flowers/foliage. The Scheme will be open to both new and existing growers.
The Horticulture Pilot Scheme includes, Sustainable Sector Growth Groups Pilot Scheme, Innovation Drivers and Support Pilot Scheme, and a Growers’ Training and Support Pilot Scheme. It will develop cooperation among growers, provide capital funding for the adoption of innovative crops, technologies and systems, and support the development of new growers.
What Does This Mean For Me?
Sustainable Sector Growth Groups aim to increase productivity by providing specialist agronomy, supply chain and business development advice to participants encouraging them to share information and explore market opportunities collectively. Joining a Group will help you develop and implement business specific growth plans over a four-year period.
The Innovation Drivers and Support Scheme will aim to support your viable ideas to invest in new systems, technology, and crops.
The Growers’ Training and Support Pilot Scheme aims to provide the opportunity for professional development training and participation in activities and events. Joining this Scheme will allow you to develop the knowledge and skills required to start a horticulture enterprise or increase your business profitability and sustainability. Successful applicants will also receive specialist agronomy, supply chain and business development advice.
What Do I Need To Do Now?
The Sustainable Sector Growth Group and Growers’ Training and Support Pilot Scheme will open for applications in November 2025.
It is anticipated that the Innovation and Driver and Support Pilot Scheme will open in Spring 2026.
For more information on the Horticulture Pilot Scheme and how to submit an expression of interest, please visit the CAFRE website.
Check the agricultural press, this page or social media channels early next year for further details relating to the Innovation Driver and Support Scheme launch.
Supply Chain Scheme
Supply chain schemes are being developed for NI agriculture and horticulture sectors. The aim of these schemes is to facilitate improved collaboration between all stages of the supply chain particularly for farmers and growers, encouraging them to innovate, problem-solve and value-add beyond what they can achieve in isolation. An industry that operates within an integrated, profitable, efficient, sustainable, competitive and effective functioning supply chain will help provide food security and an overriding focus on safe, high-quality food and the end consumer.
What Does This Mean For Me?
As this is a collaborative measure, it is unlikely to affect individual producer businesses directly. However, DAERA would strongly encourage you to actively participate when the opportunity arises.
What Do I Need To Do Now?
Nothing at this point. Further details will be provided in due course. Check the agricultural press, this page or social media channels early next year for further details relating to the Scheme launch.