The management of Wales' most environmentally significant land will now be included within the universal baseline payment of the Sustainable Farming Scheme.
The Welsh government has today confirmed the revision, which centres around the management of Sites of Special Scientific Interest (SSSI) on farms within the SFS.
SSSIs are the best examples of the natural environment, with a significant number of these sites located on farmland across Wales.
NFU Cymru has welcomed the announcement, saying that the Welsh government had listened to farmers' concerns.
It added that the government’s revised position would bring significant benefit to those farmers with SSSI on their farms.
The Cabinet Secretary for Rural Affairs made the announcement after an SFS round table at the Royal Welsh Show.
He said: “The overwhelming feedback we have had, including through the consultation, is that SSSIs should be included in the universal baseline payment.
“Having further determined that habitat maintenance actions are additional to the regulatory baseline, I can therefore confirm that this will be our intention.
“Including SSSIs in the universal baseline payment would recognise farmers’ efforts in managing these areas, for all our benefits."
NFU Cymru president Aled Jones welcomed the move: "[It] demonstrates that the Cabinet Secretary is listening and is prepared to adopt a sensible and pragmatic approach to the final scheme design.
“Whilst this is progress, we are clear that there remains a lot of work to do on many other aspects of the scheme to ensure that the SFS delivers on our shared ambitions for food, nature and climate.
“We need a scheme that underpins food production, our farmed environment, our communities, our language and culture, not just for our generation, but also those that follow in our footsteps.”