Agricultural Finance

Government Grants & Finance for Farm Renewables

Doulton Bridging Finance - specialist agricultural finance brokers, FCA No. 814533

Max Grant Rate Up to 40%

Currently Active 6+ Schemes

Typical Grant Range £5k–£500k

Regulated Broker FCA 814533

Overview: Government Support for Farm Renewables

The UK government - and devolved administrations - offer a range of grants and subsidies to support farm investment in renewable energy. These schemes sit alongside private finance and can significantly reduce the net cost of a renewables project when combined effectively.

Grant schemes are subject to budget constraints and eligibility rules that change regularly. The information below reflects the position as of October 2026 but should be verified before relying on it for project planning. Doulton Bridging Finance will check current scheme status as part of every renewables finance enquiry.

Main Grant Schemes - October 2026

Rural Energy Asset Programme

Grants for energy efficiency and small-scale renewables on farms. Up to 40% of eligible costs. Competitive rounds administered by the Rural Payments Agency. England only.

Farming Equipment & Technology Fund

Grants for precision agriculture, robotic, slurry and efficiency equipment. Set item grants with fixed amounts. Competitive rounds. England only.

Farming Transformation Fund

Larger capital grants (£25,000–£500,000) for significant farm transformation projects including renewables, water management and productive infrastructure.

Workplace Charging Scheme

Up to £350 per socket / £14,000 per applicant for EV charge points at business premises including farms. OZEV-registered installer required. UK-wide.

Sustainable Farming Incentive

Annual payments for sustainable land management actions. Not a capital grant, but SFI income can improve a farm's affordability for renewables finance.

Scotland / Wales / NI Schemes

SGRPID (Scotland), Rural Investment Scheme (Wales) and DAERA (Northern Ireland) each run their own agricultural capital grant programmes, sometimes at higher rates.

How to Combine Grants with Asset Finance

The most cost-effective approach for many farm renewables projects is to combine grant funding with asset finance. The steps are typically:

  1. 1Confirm grant eligibility - check whether your project and asset qualify for REAP, FETF or another scheme, and that the current round is open.
  2. 2Submit grant application - allow 6–12 weeks for the decision. Do not commit to purchasing until the grant offer is in writing.
  3. 3Arrange finance for the net cost - once the grant offer is received, arrange asset finance for the balance (project cost minus grant). This is usually straightforward as the lender can see the grant offer letter.
  4. 4Project start and completion - complete the installation using an approved supplier (if grant conditions require this). Retain all evidence for the grant claim.
  5. 5Grant claim and payment - submit your grant claim with evidence. Payment is made directly to the farm business.
  6. 6Finance payments begin - your finance agreement runs in parallel, with monthly payments from the agreed start date.

Grant Scheme Comparison Table

SchemeMax GrantEligible AssetsRegionCompetitive?
REAPUp to 40%Energy efficiency, small renewablesEnglandYes
FETFSet amountsPrecision ag, efficiencyEnglandYes
FTFUp to £500,000Major transformationEnglandYes
OZEV WCS£14,000EV charge pointsUK-wideNo (first-come)
SGRPIDUp to 40%Broad capital itemsScotlandYes
RIS / SFSUp to 50%Broad capital itemsWalesYes
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FAQs

Frequently asked questions

What government grants are available for farm renewables in 2026?

The main grants available in October 2026 include: REAP (Rural Energy Asset Programme) for energy efficiency and small renewables; the Farming Equipment and Technology Fund (FETF) for precision and efficiency kit; the Farming Transformation Fund (FTF) for larger capital projects; the OZEV Workplace Charging Scheme for EV charge points; and various devolved schemes in Scotland, Wales and Northern Ireland. Availability and eligibility change regularly.

Can I claim multiple grants for the same renewables project?

You cannot usually claim two government grants for the same eligible expenditure - this is known as "double funding" and is prohibited. However, you may be able to claim one grant for the renewable energy asset itself and a separate grant for associated infrastructure (e.g. grid connection or battery storage) if those elements have separate eligible cost headings. Doulton Bridging Finance will help you navigate this.

Do I need to have planning permission before applying for a farm renewables grant?

Most grant schemes require planning permission to be in place before a grant can be paid, though some allow you to apply in advance. REAP, for example, typically requires planning consent for installations above a certain size before the grant offer can be converted to payment.

Is grant income subject to income tax?

Yes - capital grants received by a farm business are generally treated as income for tax purposes in the year of receipt. This can affect your tax position significantly. Always take accountancy advice before accepting a grant.

Are grants available in Scotland, Wales and Northern Ireland?

Yes - Scotland (through SGRPID/Scotland Rural Development Programme), Wales (through the Rural Investment Scheme / Sustainable Farming Scheme) and Northern Ireland (through DAERA) all have their own grant schemes, which sometimes offer higher rates than the equivalent England schemes. Doulton Bridging Finance can advise on UK-wide grant options.

Asset finance for business purposes is not regulated by the FCA. Rates shown are indicative as at October 2026 and depend on credit profile, term, asset and deposit. We act as a credit broker, not a lender. Your asset may be repossessed if you do not keep up repayments.

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