Government-backed £28m fund aims to drive breakthroughs in irrigation and soil management
Up to £28 million is being made available to develop new solutions to soil degradation, water shortages and agricultural pollution, as the government seeks to strengthen the resilience of British farming.
The funding, announced by Defra and delivered through Innovate UK, will support research and innovation projects aimed at helping farmers improve productivity while tackling growing environmental pressures.
Published on Tuesday (27 October), the competition will open for applications on 19 November, with businesses given until 28 January 2027 to submit proposals.
The initiative forms part of Defra's Farming Innovation Programme and will focus on developing practical technologies, farming methods and services that can eventually be adopted commercially.
Projects will be able to target a range of challenges facing agriculture, including declining soil health, inefficient water use, nutrient losses and the increasing threat of extreme weather.
Among the innovations eligible for support are precision irrigation systems, improved soil management techniques and technologies designed to reduce erosion and compaction.
Funding could also support the development of improved crop varieties capable of making more efficient use of water and nutrients, potentially helping growers adapt to increasingly unpredictable growing conditions.
Another priority is tackling agricultural pollution, with projects encouraged to explore ways of reducing fertiliser losses, improving slurry and manure management, and preventing nutrients from entering watercourses.
New approaches to storing water, managing flood risks and improving drought resilience will also be considered.
The government is particularly interested in technologies that address several farming challenges simultaneously, recognising the close relationship between soil health, water quality and agricultural productivity.
Digital farming tools, including environmental sensors, artificial intelligence and precision agriculture systems, are among the innovations that could receive support.
According to the official competition guidance, the aim is to develop "ambitious, commercially deployable solutions" to challenges associated with soil, water and environmental management.
However, the funding will not be available as a straightforward grant for individual farmers looking to make improvements to their holdings.
Instead, applications must be led by a UK-registered business working alongside at least one other eligible UK organisation, with both partners requesting funding.
These partnerships could involve farmers, agricultural businesses, universities, research organisations and other groups working together to develop new technologies or farming practices.
Eligible projects must have total costs of between £1 million and £5 million and can run for up to three years.
For commercial businesses, the proportion of eligible costs covered by funding will depend on their size.
Micro and small businesses can receive grants covering up to 70% of eligible costs, while medium-sized businesses can receive up to 60% and large businesses up to 50%.
Applicants must demonstrate how their proposed innovation will benefit farmers, growers or foresters in England.
Where farmers, growers or foresters are requesting grant funding as part of a project, at least half of the amount requested by those participants must be allocated to farmers, growers or foresters based in England.
The competition is intended to encourage the development of new solutions rather than provide direct financial support for routine farm expenditure.
Successful projects will be expected to demonstrate environmental benefits alongside practical and commercial opportunities for the agricultural sector.
The government also wants innovations to reach the wider farming industry, ensuring that research findings and new technologies can eventually deliver benefits beyond the original project participants.
Funding awards will be subject to the quality of applications received, with successful projects required to begin by 1 August 2027 and finish no later than 31 July 2030.
Applications open at 9am on 19 November 2026 and close at 11am on 28 January 2027.
Full details, eligibility criteria and application guidance can be found on the official Innovate UK funding competition page.