Boosting farm productivity: The Farming Equipment and Technology Fund

The 2025 Farming Equipment and Technology Fund (FETF) opens for applications on Wednesday, 29 May, giving farmers and land managers a new opportunity to invest in equipment designed to boost productivity, improve animal health and welfare, and support sustainable farming practices.

The fund, part of the government’s wider Farming Investment Fund, offers grants from £1,000 to £25,000 towards a wide range of pre-approved items. It’s a practical way to adopt new technologies that can make day-to-day operations more efficient and environmentally responsible.

Whether you're looking to upgrade to GPS guidance systems, invest in slurry management tools, or improve livestock handling, the FETF 2025 could support your business.

FETF 2025 is competitive, and applications are scored.

Who can apply?

The scheme is open to farmers, horticulturalists, and contractors. You must be a registered agricultural business and carry out farming or horticultural activity.

You don’t need to be part of any previous government scheme to apply.

What’s eligible?

The list of eligible items is extensive and includes equipment across three categories:

• Productivity – such as direct drills, precision sprayers, or robotic feeders
• Animal health and welfare – including foot trimming crushes, ventilation systems, and EID equipment
• Slurry management – like low emission spreaders and slurry separators

You can apply for multiple items, and for multiple applications across the year, as long as the total grant does not exceed £25,000 per theme.

How to apply

Applications open on Wednesday, 29 May, and must be submitted through the Rural Payments Agency's online portal.

The application window closes on Thursday 10 July.

Before applying:

• Check the full list of eligible items
• Make sure you meet all the criteria
• Consider how each item supports your farm’s productivity or sustainability goals
• Be prepared to pay for items upfront, consider funding options for the business or open discussions with your bank for short term overdraft funding – grants are paid after purchase and installation

Timing of purchase and deposits

To help reduce potential supply issues, a supplier or manufacturer may accept a refundable deposit to reserve your purchase before you receive the agreement of grant funding under FETF.

You can claim for a refundable deposit if it meets these conditions:

• the deposit must be for no more than 50% of the item cost, excluding VAT
• you must not pay a refundable deposit before 7 May 2025
• invoices must be marked by your supplier to show you used a refundable deposit to buy the item

Aligning investment with your goals

This is a chance to think strategically about how new equipment fits into your broader business plan and how it can help improve efficiency within your farming business.

• Where does the investment add value?
• Could technology improve your labour efficiency?
• Are you aiming to reduce inputs? What is the knock on effect to yield? Do you need to liaise with other advisors, e.g. agronomist?
• Would upgrading equipment help you meet environmental or welfare standards?

By linking purchases to your long-term aims, you're more likely to see a return on investment – both financially and operationally.

It is recommended to understand the return on investment to the business and how it can help improve the business now and into the future.

Need help?

We're here to support you in making the most of farm innovation grants like the Farming Equipment and Technology Fund 2025.

We can help you assess your eligibility, capital allowances and tax impact, assess applications for return on investment, and help provide additional financial information to back up the submission(s). Get in touch with your usual Larking Gowen contact or email enquiry@larking-gowen.co.uk.

Laurie Hill