"A Step in the Right Direction – But Still Falling Short" Is the Message from H&H Land & Estates as HLS Payment Increases Leave Farmers Frustrated

Farmers and land managers currently in Higher Level Stewardship (HLS) agreements will see increased payment rates from December 2025, following a long-awaited announcement from DEFRA aimed at aligning HLS with Countryside Stewardship Higher Tier (CS HT) and the Sustainable Farming Incentive (SFI) schemes.

After more than a decade without an increase, HLS payment rates have been adjusted by just over a third of the difference between current HLS rates and their CS HT equivalents. For example, the rate for moorland restoration will rise from £40/ha to just over £45/ha, compared to £55/ha under CS HT.

While the increase is welcome, many in the farming sector are questioning the claim that the updated rates now 'bring them more in line' with CS payments.

David Morley, Head of Conservation & Environment at H&H Land & Estates, said, "While any increase is obviously a step in the right direction, it is disingenuous of DEFRA to claim these changes bring HLS payments 'in line' with Countryside Stewardship or that the Government is in any way 'delivering on its promise to provide farmers and land managers with the support needed to help restore nature'. The reality is that HLS rates still remain significantly lower for the same management activities as in Higher Tier Countryside Stewardship. Farmers are understandably frustrated.

"Most HLS agreement holders would still want to transfer to CS Higher Tier for better financial support, if they could. But with Higher Tier being 'invitation only', Natural England are only progressing very small numbers of applications. That means most have no choice but to stay in HLS and remain financially disadvantaged. And with no other schemes open, there is little farmers can do to increase their income; for most, the 'support needed to help restore nature' is declining in real terms."

One of the few advantages of remaining in HLS is that farmers continue to receive Entry Level Stewardship (ELS) payments across their whole holding—something not available in newer schemes.

Key rate comparisons include:

DEFRA has allocated £30 million to support this uplift across 157 HLS options, enabling farmers and land managers to continue delivering environmental benefits in some of the UK's most sensitive and valued landscapes.

With specialist knowledge of agri-environment schemes and land use change, the team at H&H Land & Estates continues to support farmers across the North of England. Their professional advisors are helping farmers and landowners navigate the evolving funding schemes and make informed decisions that balance environmental stewardship with the long-term needs of their business.