Forestry Grant Schemes - Scotland and England

18th March 2024

Forestry Grant Scheme - Grant Rates Increase to Help Tackle Inflation.

In recognition of the responses received during this year's Forestry Grant Scheme Consultation, and feedback from regular meetings with Stakeholders, Scottish Forestry has introduced a range of new measures to attempt to bring tree planting levels back in line with Scotland's ambitious planting targets.

A delivery action plan was announced by Rural Affairs Secretary Mairi Gougeon earlier this year, and includes;

Investment of £1 million into training for Scottish Forestry staff over the next two years to speed up the woodland creation application process.
Creation of specialist teams to help deal with the more complex stages of the Forestry Grant Scheme approvals process.
Increase in grant rates and eligibility for riparian planting within Scotland.
Increase in grant rates for smaller scale woodland projects.
Improved advice and information for farmers to encourage integrated woodland creation on farms.
Refreshed community engagement guidance within the woodland creation application process.
On top of the new riparian planting target area created earlier this year which identifies approximately 175,000 hectares of riparian land across Scotland eligible for higher grant rate support, new measures were announced in December to tackle inflationary price rises and boost grant support. These new measures include:

An extra £750 per hectare for the first 40 hectares of woodland creation in most parts of Scotland *
Extension of the high-cost deer fencing grant rate from previous target areas to cover all of Scotland, equating to a £2.30 per metre increase for many areas (all areas now receive funded support of £9.90 per metre for eligible deer fencing)
Reduced minimum specification for small or farm woodlands to simplify farm or croft woodland creations up to 10 ha- this change removes the requirement to plant a minimum of 20% of the area as productive broadleaves under this option, allowing farmers and crofters to now design their schemes using diverse conifer, native broadleaves and open ground, which is simpler and potentially better suited to the land/objectives being targeted within this option.
Sheep and Trees option which funds woodland creation and the creation of forestry/farm road accesses, now expanded into the Central Scotland Green Network area **
Tripling the grant funding for manual or mechanical bracken control from £225 to £720 per hectare.
Doubling of payment for expansion of native woodland through natural regeneration across Scotland, now standing at £600 per hectare.
Scottish Forestry has recognised that not all woodland creation projects will benefit from these new changes, and work is ongoing to continue the development of further grant scheme enhancements.

* this increase applies to all woodland creation options except native Scots pine, Native Low Density and native broadleaves in the Northern and Western Isles. The payment is capped at the first 40ha of planting

** Farmers within the Central Scotland Green Network area (Core, Outer Core and Fringe area) who are planting between 10 and 50 hectares of productive woodland will now be eligible for support towards forest road access to help with future forestry and farm management. This support will now be available for farmers planting productive woodlands throughout Scotland.

https://forestry.gov.scot/news-releases/forestry-grant-rates-increase-to-help-tackle-inflation

https://forestry.gov.scot/news-releases/new-forestry-measures-to-include-1-million-investment-in-skills
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18 March 2024
In England - Payment rates increased to benefit farmers, land managers & trees.

Farmers and land managers can now get up to £11,600 per hectare for the public benefits delivered by woodlands they create - a 45% increase

A significant uplift in England Woodland Creation Offer (EWCO) payments have been announced by Defra and the Forestry Commission today (Monday 18 March) in what is the latest step to increase tree-planting across the country.

The increase in EWCO payment rates will take effect immediately and offer farmers and land managers more tailored tree-planting incentives to encourage woodland creation where it is best suited, whilst also protecting our most productive farmland for food production. 

This is a key part of the Government's plans to achieve net zero by 2050 and put nature at the forefront of its efforts to tackle climate change. The current maximum rate per hectare available from additional contributions will increase from £8,000 to £11,600 - a 45% increase. That will increase to £12,700 in stackable payments if the land is also eligible for the new Low Sensitivity Land Payment. Standard costs payments will remain at up to £10,200 per hectare.

As part of the enhanced package, key new measures include:

A new payment to encourage EWCO applications on low sensitivity land has been introduced, avoiding land most suitable for food production. When planting on low sensitivity land you can now receive £1,100 per hectare.
A new ‘Nature Recovery – premium’ payment option (£3,300 per hectare) has been added to the Nature Recovery Additional Contribution. This is designed to encourage the planting or natural colonisation of highly biodiverse woodlands next to ancient woodland. 
Uplifts have also been made to some of the other existing additional contributions, with a focus on riparian buffers, flood mitigation and access. For example; payments for flood risk management have doubled from £500 to £1,000 per hectare, and recreational access has increased from £2,200 to £3,700.
Annual maintenance payments have been raised from £350 to £400 per hectare, per year, for 15 years – recognising that caring for new trees is vital if new woodlands are to flourish.
Forestry Commission Chief Executive Richard Stanford said:
"There has never been a better time for farmers and land managers to plant and grow more trees, and today’s announcements make it clear that woodland creation is a compelling part of the business of land management. I encourage everyone eligible to take advantage of the generous woodland creation incentives now available.

“In addition to encouraging woodland creation away from most productive land, it is important to remember that trees and woodlands can support farming objectives – for instance providing shade and shelter, improving productivity through healthy soil and water, reducing erosion and nutrient loss from surface run-off, or improving drought and flood resilience."

Environment Minister Rebecca Pow said, "We have made our commitment to farmers and land managers taking part in the England Woodland Creation Offer clear – we will support you, invest in you and reward your action in helping to meet our ambitious targets for the environment and the climate.

“Today’s uplift to rates is the latest step. It pays to be part of the England Woodland Creation Offer. Food security is a government priority, and we will continue to support our farmers and land managers to improve and conserve the natural environment and plant more trees, whilst making sure our best agricultural land is kept for food production.”

This announcement follows the launch of the new Woodland Creation Fast Track, which will see the Forestry Commission process EWCO applications with at least 90% of land located on low sensitivity land, within 12 weeks (60 working days) – as long as the application is complete, UK Forestry Standard (UKFS) compliant, and provides the correct information from the outset.

This approach to uplifting EWCO payment rates continues delivering on the Government’s pledge that no-one will be unfairly disadvantaged if they start planting now, rather than waiting for future government schemes.

The Government has stretching and challenging targets to increase tree canopy and woodland cover in England and continues to take action to meet our tree planting commitments and more than 15 million trees have been planted this parliament. Government continues to work at pace to boost the forestry sector for the long-term by funding new technologies, creating new jobs by training the next generation of foresters and funding nurseries to boost the supply of healthy seeds and trees.

EWCO can help farmers and land managers to diversify whilst preserving their most productive land for agriculture. Food security continues to be a government priority on England’s 9.3 million hectares of farmland.

More information on the EWCO payment uplifts can be found here: https://www.gov.uk/guidance/england-woodland-creation-offer