£20,000 grants to come in new Scottish ‘Future Farming’ scheme

Scottish farmers and landowners will be able to access grants worth up to £20,000 to help them modernise their businesses when the 2026 Future Farming Investment Scheme (FFIS) opens this winter.

Partial details of the new scheme were unveiled on Monday (3 January) by first minister John Swinney at the Turriff Show.

He explained that at least 725 farming and crofting businesses will be able to share in a £14.25m pot when the next round of the FFIS opens for applications later this year.

See also: Scottish farmers face autumn wait for FFIS 2026 details

The funding will support a range of initiatives, including improving soil quality, creating hedgerows and upgrading livestock management infrastructure.

Enhanced rates of support will be available for new entrants to farming, businesses based in the Highlands and Islands, and projects delivering environmental benefits.

Speaking ahead of the show, Mr Swinney said: “This funding will have far-reaching benefits for agricultural businesses.

“It will help farmers and crofters invest in new equipment, modernise their operations and respond to the challenges posed by climate change, including increasingly frequent extreme weather events.”

Feedback

Mr Swinney added that the new round of the scheme takes into account feedback from farmers and crofters, who had voiced numerous criticisms of the first round of the scheme in 2025.

NFU Scotland, for example, had called for targeted grant rates for new entrants, tenant farmers and island businesses.

It also wanted clear scoring criteria to be published, a defined list of eligible capital items, and the introduction of match funding instead of 100% grants.

While there is currently no list of the specific items farmers will be able to claim grant aid on – this will be published ahead of the scheme opening – most funding under the new scheme will cover 50% of eligible costs.

This is intended to ensure the funds are spread wider, given that last year almost half of the 7,584 applicants went away empty handed.

New entrants applying to FFIS 2026 will be eligible for funding of up to 80% of eligible costs, while businesses based in the Highlands and Islands will be offered up to 60%.

Items delivering environmental and nature benefits will be eligible for funding of up to 100% of eligible costs.

The maximum grant value available under the scheme is £20,000 per business, regardless of size.

Reaction

NFU Scotland president Andrew Connon said confirmation that the next round of the FFIS will definitely open was good news, though the delay had raised important questions about how the scheme will be delivered. 

“The demand for the first round showed just how committed the industry is to investing, but it also highlighted the need for more funding and a better process,” he said.

“The focus must now be on delivery. Farmers and crofters need clear guidance, a straightforward application process, and certainty over timescales so they have sufficient time to make investments without unnecessary pressure.”