Responding to DEFRA's announcement that Higher-Level Stewardship (HLS) payment rates will increase to bring them closer to the Countryside Stewardship Higher Tier (CSHT) and Sustainable Farming Incentive (SFI), Anna Hicks, Carter Jonas Associate Partner, said: "Although this is good news which will be welcomed by those with existing HLS agreements, it is frustrating that the new payment rates generally remain lower than the payment rates that were offered under SFI and CSHT.

"DEFRA previously confirmed that those farmers and landowners in the older schemes would not be disadvantaged, but the new rates have not removed the disparity fully.  We hope that DEFRA will also publish details of how agreement holders may terminate existing agreements in anticipation of the launch of any new scheme."

  HLS payment rates have stayed the same for over 10 years, and the new payment rates apply from 1 January 2025. Agreement holders will receive the updated payment against their 2025 claim, which will be paid from December 2025.

"HLS rates will increase where there is an equivalent CSHT or SFI action which is paid at a higher rate," Anna said. "This means that the payment rates for 157 options will increase by the chosen percentage of 34.4% of the difference between the HLS option rate shown in the agreement document and the equivalent CSHT option or SFI action. Where there is not an equivalent option the payment rate will remain the same."

Examples include:

• HE2- 4m buffer strips on cultivated land- the new rate is £400.20 per hectare and this was available under CSHT (SW1) for £515 per hectare
• HF1- Management of field corners- the new rate is £465.36 per hectare and this was available under SFI (AHL3) for £590 per hectare
• HF2- Wild bird seed mixture- the new rate is £588.63 per hectare and this was available under CSHT (AB9) for £853 per hectare