THE SHOCK announcement from Defra of its abrupt closure to its flagship environmental support payment, the Sustainable Farming Incentive (SFI), the National Sheep Association (NSA) fears will have disastrous consequences for farms.

Defra released the news that no new SFI applications will be accepted yesterday (Tuesday 11th March 2025) with no prior indication of its plans to do so.

In Defra’s words, the government could no longer run an ‘uncapped scheme with a finite farming budget’.

NSA is concerned many farming businesses still diligently testing and checking how SFI options would impact or complement their sheep system will now have fallen through a crack in payments between the reduction of the Basic Payment Scheme (BPS) and SFI being stopped.

In response, NSA Chief Executive Phil Stocker says: “This latest Defra announcement feels disastrous – a word I don’t use lightly. I’m seriously concerned many farms will now face 2025 with an accelerated decline of BPS income – and no access to SFI which for most farmers will be the main plank to replace that money.

“Whether we like it or not many farms are financially dependent on government-funded income streams and, with this SFI suspension, and a whole range of other financial pressures, it feels like we are approaching our ‘New Zealand moment’ with a potential restructuring of our farming industry and the phasing out of agricultural support.

NSA considers the shock move indicates poor scheme design and management and is in disbelief how Defra has arrived at this position and not stepped in to manage it earlier.

Mr Stocker continues: “SFI was intended to be a non-competitive scheme which suggested it would be available for all with no cut off point. The Government’s target was for more than 70% of land and 70% of all farms to be covered by 2028. However, the SFI scheme has stopped at little over 50% of farms, with less than 38,000 agreements live.

“The stop/start nature of these funding streams is disastrous and will lead to farmers becoming completely disillusioned with their engagement with Defra and the Rural Payments Agency (RPA). It was only a week ago the capital grants restarted and now, with no advance warning, the main plank of BPS replacement for many farms is being taken away.

“Upland and lowland farms that are not yet part of SFI, but that were intending to be this year will be seriously affected. For many in the uplands when considering this latest removal of support with the decline of BPS, the situation could be life changing. Cash flow on these farms in 2025/26 will be seriously compromised and there will be a question over how supportive the banks will be and whether farms will be able to climb out of the financial hole this will leave.

“For all the co-design and warm words that Defra want a different relationship with industry – this will just about destroy all that has been built over the last five years. Coming back from this will be hard.”

CONTINUING professional development (CPD) is an anticipated mandatory requirement for all farm businesses in Wales which enter the Welsh Government’s proposed Sustainable Farming Scheme (SFS). Due to start on 1 January next year, the version of the SFS currently being considered includes the requirement to complete a minimum of six hours of learning, plus an element of Health & Safety, every year, for each business.

Well-known Pembrokeshire dairy farmer Stephen James, FRAgS of Gelliolau, Clynderwen says this is a positive step forward for Welsh farming. Mr James welcomed the Welsh Government’s response to the last SFS consultation, which resulted in a decision to make the training requirement more flexible and inclusive by including short courses, online training modules, attendance at demonstration days, discussion groups and other knowledge transfer activities eligible for CPD.

“Committing to learning will help equip farmers and all those working in the land-based industries with the skills and knowledge they need to thrive and prosper in today’s rapidly changing rural landscape,” says Mr James, who was recently awarded Lantra Cymru’s prestigious Lifetime Achievement Award.

“Most professions insist on some level of CPD and this approach will benefit Welsh agriculture significantly, helping farmers to stay viable, resilient and competitive.

“Whatever age we are and however experienced we might me, the onus is on us as an industry to have the mindset that embraces personal development, which in turn leads to business development.”

Working together will create a professional, efficient and sustainable sector

“Welsh Government provides a wealth of support for rural businesses and thanks to organisations including Farming Connect, Lantra Cymru, our levy boards and others, the industry is working collaboratively to create a more professional, efficient and sustainable farming sector that can adapt to changing policies and market demands while achieving the highest standards of environmental stewardship.

“If we fail to take advantage of all this support and don’t learn about innovation, invest in new technologies, adopt best practice and find more efficient, cost-effective ways of sustainable land, livestock and business management, we risk losing out in today’s evolving markets.

“To safeguard the future of family farms for future generations, we need to focus on farming sustainably and comply with regulations, alongside working towards stronger business performance and achieving optimum productivity levels,” said Mr. James.

Finding solutions to challenges

Mr James, a well-known and well-respected rural figurehead, combines hands-on regenerative farming at the 600-acre family dairy farm he runs in partnership with his son Daniel, alongside numerous public-facing roles. A passionate advocate for young and new entrants, Mr James has been at the forefront of rural affairs in Wales for over 40 years. Chair of the Wales Animal Health & Welfare Framework since 2018, he is a past president of the NFU Cymru, remains closely associated with Wales YFC and has served with numerous agricultural organisations, not only within Wales but internationally. He has advised both the Welsh and UK Governments, former European Commission bodies and remains a vocal and influential figure within many of agriculture’s key stakeholder organisations, including through his longstanding membership of the Farming Connect Programme Board.

“We all recognise that our industry is under pressure. Climate and nature emergencies, market pressures, changing consumer demands and the requirement for sustainable land management which protects the environment, present us all with daily challenges.

“If we stay informed, we stay prepared, we stay adaptable and resilient,” said Mr James who emphasised that it is the responsibility of all those working in the land-based sectors to take full advantage of the wealth of support, guidance, events and training that’s available.

“The level of support available in Wales is the envy of many other farming nations and it’s essential we make full use of this.”

Stay informed, prepared and adaptable

“The transition to the Welsh Government’s proposed Sustainable Farming Scheme (SFS) heralds change but brings new opportunities too and will transform the way we manage our land, our livestock and our businesses for the better across all sectors, combining sustainable land management with profitability.

“As environmental custodians, it is our responsibility to professionalise and modernise the industry, to protect what we have for the next generation – upskilling must be a key component of this,” said Mr. James.

Eligible farmers registered with Farming Connect can access a range of fully-funded or subsidised training options including face-to-face accredited courses, e-learning modules and knowledge transfer options from key industry experts including Animal Health & Welfare training workshops, all eligible for CPD.

For further information on Farming Connect’s skills, training and knowledge transfer provision, visit https://businesswales.gov.wales/farmingconnect/business/skills-and-training or contact your local development officer.

THE FARMERS’ UNION OF WALES (FUW) has called on the UK Government to deploy stronger security measures to combat the illegal import of meat to the UK following a confirmed case of foot-and-mouth disease in Hungary last week.

On Thursday 6 March, 2025, Hungary confirmed its first foot-and-mouth disease (FMD) case in more than 50 years, with the case found on a cattle farm in the North West of Hungary, near the border with Slovakia.

The news follows a reported case of the virus in a herd of water buffalo in Germany earlier this year – the first reported case in Germany since 1988.

The UK Government has responded by preventing the commercial import from Hungary and Slovakia of cattle, pigs, sheep, goats and other non- domestic ruminants and porcines such as deer and their untreated products, such as fresh meat and dairy.

In addition, as of 8 March, travellers will no longer be able to bring meat, meat products, milk and dairy products, certain composite products and animal by products of pigs and ruminants, or hay or straw, from Hungary and Slovakia to Great Britain.

In light of the situation, the Farmers’ Union of Wales has however urged the UK Government to undertake greater measures to combat illegal imports which pose significant risks to animal health and the UK’s biosecurity.

Earlier this year, a Freedom of Information request found that authorities at the Port of Dover seized almost 100 tonnes of illegal meat in 2024. More recently, in January 2025, the Dover Port Health Authority said it had removed 25 tonnes of illegal meat, triple the amount seized for the same period last year.

The UK’s biosecurity measures are currently subject to an inquiry by Westminster’s Environment, Food and Rural Affairs (EFRA) Committee, with the Farmers’ Union of Wales warning that insufficient security measures to combat illegal meat imports could leave the UK’s agriculture sector vulnerable to serious diseases such as foot and mouth disease and African swine fever.

Responding to the foot-and-mouth case in Hungary, and the need for greater intervention to address the illegal meat imports, Farmers’ Union of Wales President, Ian Rickman said:

“News of Foot and Mouth Disease on mainland Europe for the second time this year will be a cause for alarm among livestock owners. While it’s crucial to stress that this disease poses no threat to human health or food safety, as evidenced by the 2001 outbreak, its potential impact on the agricultural sector and our rural economy and communities cannot be understated. In light of the developing situation, I’d like to remind livestock keepers to remain vigilant and practise good biosecurity.”

The UK Government has taken immediate action to protect our borders by suspending the import of susceptible products from Hungary and Slovakia, however, the FUW has warned on several occasions that there is a dire need to increase security measures and vigilance to combat illegal meat imports. These pose a significant threat to animal health and the UK’s biosecurity, and in light of this most recent threat, significantly stronger government action to combat these illegal imports is essential.”

The UK has remained free from foot-and-mouth disease since 2007, and following the recent cases on mainland Europe, the UK Chief Veterinary Officer is urging livestock keepers to remain vigilant to the clinical signs of the disease. Foot-and-mouth disease does not infect humans and does not pose a food safety risk.