How the Improving Farm Productivity grants work
Who can and cannot apply, how much can you get and what can you buy.
Farmers and horticulturalists in England can apply for the improving farm productivity grants. You need to own the land on which these activities take place, or you need to have a tenancy agreement in place until 5 years after the project has been completed.
Contractors can also apply if they have a registered business address in England. Contractors are defined as a business (including a sole trader) that carries out an agricultural or horticultural activity as a service.
The following are not eligible for the grants:
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public organisations, including Crown bodies and non-departmental public bodies (NDPBs)
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local authorities
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members of Producer Organisations under the Fresh Fruit and Vegetables Aid Scheme if they have funding for the same project through their operational programme
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forestry businesses.
The minimum grant you can claim is £35,000 (40% of £87,500). The maximum grant available under the Improving Farm Productivity theme is £500,000 per applicant.
If you want to apply for both a slurry project and a robotics project, you need to submit 2 separate applications. The maximum grant amount for both projects is £500,000 in total.
At least 60% of the project costs need to be paid for with money from private sources like savings or a bank loan.
You need to be able to pay the remaining project costs. You can use loans, overdrafts and certain other grants, such as the Basic Payment Scheme or agri-environment schemes such as the Countryside Stewardship scheme.
You cannot use other public money (for example grant funding from local authorities) towards the project costs. You cannot use this grant to carry out capital works which are required under other agreements.
Grants are paid in arrears. You can only claim after the work being claimed for is finished and has been paid for. We expect you to make a maximum of 3 claims over the course of the project.
If you buy an item for the project using lease purchase or hire purchase, you need to own this outright before you can claim any grant money towards it.
This means that, before you claim the grant, you need to:
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pay all of the instalments
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show that the title has passed to you.
Otherwise, you will not be able to include these costs in your claim.
You should not start work or commit to any costs (including paying deposits), enter into any legal contracts, or place an order before the project start date in your Grant Funding Agreement. Any costs incurred before that date are at your own risk and may make your whole project ineligible.