With government support schemes seemingly going down the metaphorical drainpipe, private funding is emerging as an opportunity that could reshape the financial landscape for farming businesses. But how viable is it in practice and what does it actually involve? CPM finds out more…
“Private funding should be viewed as a long-term strategic opportunity to align with the demands of a changing marketplace.” JIM KNIGHTBRAID
By Charlotte Cunningham
As the future of farming shifts steadily towards more sustainable practices, a fresh source of funding is gaining traction across UK arable businesses – and it’s not coming from government coffers. Private schemes, developed and backed by businesses throughout the food and beverage supply chain, are offering growers a new way to receive payment for both environmental stewardship and improved data transparency.
Frontier Agriculture has been at the forefront of supporting growers through this change. With a clear emphasis on sustainable farming, the company is now helping farmers to tap into funding from the food supply chain itself – think millers, retailers, and food processors, all with their own environmental targets. “We’ve always worked to support farmers with profitability and risk mitigation,” says Frontier’s Jim Knightbraid. “But private funding, well, that’s the new frontier – no pun intended.”
OPPORTUNE MOMENT
And it couldn’t come at a more critical time. As SFI changes and the government spending review continue to create uncertainty around public funding, growers are increasingly looking toward alternatives. However, private funding steps in with a slightly different offer: payments not for yields or tonnage, but for practices – those that deliver sustainability benefits, reduce greenhouse gas emissions, or support biodiversity. In many cases, these schemes pay on a per-hectare basis, providing an additional income stream that’s not solely tied to market volatility.
But Jim stresses that this isn’t ’money for nothing’; the supply chain wants evidence. “This is about creating win-win opportunities. The supply chain meets its sustainability targets while farmers receive compensation for the good work they’re doing – or planning to do – on farm.”
Perhaps unsurprisingly, many growers are still getting their heads around this concept. After all, dealing with familiar bodies like the RPA, while not always smooth, has long been part of the job. Private sector schemes? That’s uncharted territory for many.
“It’s a quiet but rapidly growing area,” says Jim, who notes that uptake in the company’s own private sustainability initiatives has more than doubled in the past year. “The appetite is there but confidence is still growing. Right now, only a minority of growers are involved but those numbers are rising fast.”
Looking at the figures, around 47,000ha and 300,000t of crop were enrolled for Harvest 2024 and by 2025, that’s expected to rise to 70,000ha and more than 440,000t. “Even with that growth, demand still outstrips availability,” he adds. “Growers are ready, they just require the opportunities.
“But again, it’s important to stress that this isn’t free money, nor is it a replacement for core farm profitability. Private funding should be viewed as a long-term strategic opportunity to align with the demands of a changing marketplace.”
In terms of where private funding sits alongside the more familiar government-style schemes, interestingly, Jim believes these two streams can, and should, work in harmony. “Private and public funding are not rivals, they’re complementary. They just incentivise different aspects of sustainable farming.”
Some SFI actions can overlap with private programmes, he suggests. “For example, catch crops or reduced tillage might be rewarded under both, but you have to check compatibility and avoid double-counting.”
So what’s Frontier offering specifically? The business now supports two key programme types:
- Sustainability data collection contracts
These are the entry-level schemes whereby supply chains are primarily looking to measure the environmental footprint of raw materials. “It’s essentially about helping manufacturers and processors to get a handle on their supply chain’s environmental performance, and that starts with reliable farm-level data,” explains Jim, with payments ranging from £45-£120/ha for harvest 2025.
In practice, this means growers provide data on how crops are grown – previous rotations, establishment methods, nutrition, biodiversity elements like cover crops. In return, they’re paid their time with per-hectare payments typically ranging from £40-£50/ha. “It’s not just about compliance. Growers receive benchmarking data back, so they can see how they stack up within the supply chain,” he adds.
For Harvest 2025, Frontier expects around 450 growers to receive a collective £1.35M in private funding through these data schemes.
- Sustainable supply chain programmes
This is the next step – where private companies from the supply chain go beyond measurement to incentivise positive action. “It’s about paying growers to transition to, or continue specific practices,” says Jim. That could mean integrating cover crops, reducing synthetic nitrogen use, or improving soil organic matter.”
These programmes are generally linked to physical grain contracts, ensuring alignment with real market demand. “They’re not theoretical, they’re market-driven and offer tangible returns for doing the right thing,” he comments.
Perhaps while in principle, this all sounds great, but ask any farmer and they’ll likely pose the same questions: where’s the catch? What are the risks involved?
“These are fair questions,” admits Jim. “We encourage growers to start by asking themselves what their farm’s strategic direction is because private funding only works if it aligns with where the business is going.”
For instance, if a farm is already moving towards regenerative practices such as low-disturbance tillage or precision applications, private funding may dovetail neatly. But for others, the requirements could be at odds with existing operations. That’s why taking advice is critical, he warns.
STEP-BY-STEP
Frontier has outlined an eight-step approach to navigating future funding, helping growers to assess whether a given scheme is a good fit. “It’s not about chasing every funding opportunity, it’s about making sure it works for you,” says Jim.
There’s also the admin requirement to consider as these schemes require robust data, so detail on establishment, nutrition, biodiversity, and more. “It’s not excessive, nor beyond what farmers are capable of doing,” he reassures. “But we’re talking about half- to a full-day in the farm office and that’s not everyone’s favourite job.”
Record-keeping, therefore, becomes crucial – not just for accessing private funding but for the future of farm compliance overall. “Good records are going to be your passport to everything from SFI to private schemes. If your systems aren’t up to scratch, that’s the first thing to address.”
Among the early adopters of this new model of funding is Essex grower, Will Waterer. Spanning 525ha across a mix of owned, tenanted and contract-farmed land, Will’s business has been immersed in stewardship for more than two decades. But now, he’s beginning to see the financial and agronomic benefits of private sustainability schemes, too.
“We’ve been in stewardship in one form or another for the past 25 years,” says Will. “Initially it was a way of securing a reliable income – something tangible our bank manager could see when we were buying another farm. But over time, it’s evolved into a fundamental part of how we farm.”
Today, the business runs an HLS agreement, two Countryside Stewardship schemes and an SFI agreement across the whole farm. Cropping includes winter wheat, barley, oilseed rape, beans and a rotating ‘wildcard’ crop – this year being spring linseed, but in the past it’s been everything from kale to cress and vetch seed.
While sustainability isn’t new to Will, what’s changed is how private-sector initiatives are now complementing his existing practices. Most recently, he’s joined Frontier’s Sustainable Supply Chain Programme with pladis – the parent company of McVitie’s, Carr’s Jacob’s, to name a few – which rewards growers for adopting sustainable farming techniques through a tiered, area-based payment system.
“For over a decade, pladis has worked directly with growers to secure our supply of Group 3 biscuit wheat – the key wheat used in its McVitie’s, Jacob’s and Carr’s biscuits and crackers,” says Jennifer Parise, director of procurement and sustainability for pladis UK and Ireland. “Now, the programme will expand to include around 50 growers, producing 36,000t of wheat. That’s enough wheat to make all the McVitie’s Original Digestives pladis makes each year.
“This new cohort of farmers will trial an expanded version of pladis’ Back to Farm programme with additional levels of financial support provided to enable farmers to explore more regenerative methods of farming practice.
“Building a sustainable future is a shared responsibility for us all. We know growers are looking at regenerative farming, but it’s a big ask for them to transition without additional support, especially given all the current uncertainties around British farming.
“By expanding our successful Back to Farm programme, we hope that we’ll be able to continue building partnerships with farmers to better understand and help them address the challenges they face, as we all seek to make food production more sustainable.”
For Will, the exciting thing was that he already qualified for the silver tier from what he was already doing, explains Will. “Next year I think we can nudge into gold with a few minor tweaks.”
The scheme operates on a points-based system, with thresholds for bronze, silver and gold levels. Will currently sits at 32 points – just shy of the 35 needed for gold – and has his eye on a payment uplift for next year if he incorporates one or two more practices. The scheme is currently enrolled on 46ha with the variety Bamford.
SWIFT AND SIMPLE
“The whole thing has been relatively straightforward,” he says. “If you’re already using farm management software most of the evidence is there, it’s just a case of pulling it together – probably half a day in the office at most.”
The sustainability scheme isn’t just about financial reward, though. For Will, it’s a mechanism to de-risk production in an increasingly unpredictable environment, with the payments for sustainable practices helping him to offset the risk of trying new approaches that flexibility matches Will’s approach to managing his soils. “I see it like a bank account,” he adds. “We’ve built up residue and organic matter with our no-till system – or zero-till-ish, I like to call it – and now, in some cases, we’re cashing in a bit by subsoiling or doing tillage when required. It’s about flexibility and managing risk.”
Looking ahead, Will sees great value in peer-to-peer learning, particularly through focus groups or events where likeminded growers can share practical experience of these schemes. “I often find the best insights come over a cup of tea,” he laughs. “Just chatting to someone who’s tried something and seeing if it might work on your farm – that’s the real value.”
With private sustainability contracts like pladis starting to scale up, Will believes this could be a lifeline for farms already doing the right thing and a blueprint for how farmers can shape their future support. “I’m not about to turn my farming system on its head just to fit a scheme,” he says. “But if what I’m already doing is being rewarded and I can make one or two extra changes that make sense agronomically and financially – well, then it’s time well spent.”
So, is private funding a silver bullet? Not quite, but it’s certainly a key tool in the toolbox. “It’s an opportunity – but it requires commitment,” concludes Jim. “We want growers to go in with their eyes open – understand your business, know your direction and don’t be afraid to ask for help.
“Ultimately, this is about securing the future of farming within sustainable food supply chains. It’s about telling a positive story – one that shows British agriculture is part of the solution, not the problem.”
This article was taken from the latest issue of CPM. Read the article in full here.
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