Scottish government promises no funding 'cliff edges' for agriculture
Scottish farmers were promised long-term funding stability and fresh investment as the First Minister addressed the NFU Scotland AGM in Glasgow.
In a keynote speech to farmers and rural stakeholders, John Swinney pledged there would be no sudden funding shocks or “cliff edges” that could undermine confidence, planning or investment in farming and crofting.
One of the biggest announcements was £14.25 million for a second round of the Future Farm Investment Scheme, aimed at helping more farms and crofts modernise, improve efficiency and invest in climate-smart technologies.
“This investment reflects the need for practical, investable solutions that allow farmers and crofters to move forward with confidence,” the First Minister said.
“It supports a sector that is already delivering for Scotland’s economy, environment and food security.”
He also confirmed that at least 70% of future agricultural funding will continue to be delivered through direct payments, alongside a period of policy certainty through to 2030 and beyond.
The commitments come at a time when many businesses are seeking clarity and stability as agriculture adapts to new support frameworks and mounting economic pressures.
Alongside on-farm investment, the First Minister announced £9 million in capital funding for Scotland’s food and drink sector.
The support is intended to strengthen domestic processing capacity, improve supply chain resilience and help Scottish produce reach markets while adding value at home.
Wildlife management was also addressed, with a £1 million investment confirmed for Scotland’s Sea Eagle Management Scheme.
The funding will support mitigation measures and advice for farmers and crofters in affected areas, responding to concerns about the impacts of species management on livestock enterprises.
“Scottish farming and crofting are central to our rural economy, our food system and our climate ambitions,” Mr Swinney said.
He stressed the need for policies shaped by those working on the ground.
“That is why it is vital that policy development continues to be shaped by engagement with those on the ground, and by measures that support both environmental outcomes and viable businesses,” he said.
NFUS President Andrew Connon welcomed the announcements, saying they reflected priorities long raised by the industry.
“Today’s announcements send a strong signal that the voice of farmers and crofters is being heard,” he said.
He said predictability and targeted investment were essential for the future of the sector.
“Predictability in funding, targeted capital support and a more practical approach to species management are all essential building blocks for a profitable and resilient future for Scottish agriculture,” he said.
However, Mr Connon added that continued direct support beyond the current horizon remained vital.
“This level of alignment gives our members greater confidence to invest, plan ahead and continue delivering for rural communities and the wider economy,” he said, while urging direct support to remain in place “until 2030 and beyond”.
The First Minister also highlighted the sector’s wider importance, noting agriculture underpins Scotland’s £19 billion food and drink industry and supports around 130,000 jobs across the country.
The NFU Scotland AGM brings together farmers, crofters and policymakers each year to debate the industry’s future, with a focus on profitability, sustainability and resilience.
The funding commitments set out in Glasgow are expected to play a key role in shaping business confidence and rural stability as Scottish agriculture looks towards the next decade.
