14 Dec 2023

Improving Farm Productivity

Grants for robotic and automatic machinery and the use of solar equipment

Round two of The Improving Farm Productivity grant is about to open for applications and I think this could be a popular one for our clients.

Below I have given an overview of the grant that will pay for capital items to improve farm and horticulture productivity through:

  • The use of robotic and automated equipment and systems to aid crop and livestock production
  • The installation of solar equipment to increase energy resilience and the take-up of renewable energy generation on farm
Who can apply? Farmer or horticulturalist in England. Both land owning and tenant farmers can apply. The project must be on land you own or farm as a tenant.Contractors can also apply (but for solar PV funding) if they have a registered business address in England.
Grants for robotic and automated equipment Grants from £25,000 to £500,000.The grant will cover up to 40% of the cost of eligible items
For solar equipment Grants from £15,000 to £100,000.The grant will cover up to 25% of the cost of eligible items
For both automated and robotic equipment and solar equipment Maximum grant amount cannot exceed £500,000 in total for both applications together
Priority will be given to projects which Improve productivityImprove the environmentIntroduce innovationIntroduce technology to address labour shortage (farm productivity projects)
Fossil fuel power Eligible Farm Productivity equipment using an electric or renewable energy source will be prioritised over fossil fuel (for example diesel) powered equipment.

Application process

The first step to apply will be an online checker, which is expected to open in January and run until March. Defra will use this to assess your eligibility and likelihood of success and this will, in turn, determine whether you are invited to submit a full application.

More details

Full guidance for round two of The Improving Farm Productivity grant can be found here. This includes more details including:

  • Eligible and ineligible costs
  • Information you will need to provide for eligibility checks and then application (if invited to apply)
  • Criteria against which applications will be assessed, which include financial viability

There are also details on how to contact the farming transformation fund (FTF) team if you’re not sure if you are eligible to apply, or cannot access the online checker. These include:

  • Email: [email protected]
  • Telephone: 0300 0200 301 and follow options for the Farming Transformation Fund.

I anticipate quite a bit of interest in this grant scheme. I would suggest that interested parties read the guidance and then prepare to use the online checker in January 2024. If at this stage, or if invited to apply, you wish to chat any aspects of the application through with us please do not hesitate to contact me or any member of the agriculture accounting team at PKF Francis Clark.

Get in touch

Related insights

A blue tractor in a field on the right, next a river on the left. It is a bright, cloudy day.

My first time at the Oxford Farming Conference

28 January 2025

Read
John Endacott

Succession planning: the longer-term impact of the Budget on businesses

23 January 2025

Read

Will upcoming tax changes mean the end of the road for the double cab pick-up?

13 January 2025

Read

Farming through 2024: challenges, triumphs and evolving landscapes

18 December 2024

Read
A converted barn looking out over farmland.

Potential liabilities of new APR and BPR rules

25 November 2024

Read

Update for the rural sector

8 November 2024

Read

Changes to capital gains tax (CGT) and inheritance tax (IHT)

30 October 2024

Read
A group of friesian cows are standing in a field side by side

Trewithen Dairy acquired by German multinational Ehrmann

4 July 2024

Read
Two deer are standing in woodland near a lake.

Farming Matters: our latest rural magazine is out now

11 June 2024

Read
A man is crouched in a field full of agricultural plants, looking at an iPad.

Farmers never retire?

23 May 2024

Read
Hens are pecking grass in a field.

Laying hen housing for health and welfare grants

17 May 2024

Read
A vessel laden with shipping containers at port as the sun begins to rise.

The Common User Charge – new costs for imports of plants, plant products and products of animal origin (including food)

4 April 2024

Read