What the 2025 Spending Review could mean for the UK Agriculture sector?

With the Chancellor’s 2025 Spending Review set to be announced on 11 June, the UK’s agricultural sector is bracing for potential changes to public funding. Reports suggest that Defra’s budget may face significant pressure, with possible cuts to nature-friendly farming schemes, environmental land management and rural innovation programmes.

These developments come at a time when the sector is already navigating complex challenges - from rising input costs and climate resilience to changes to inheritance tax, evolving regulatory frameworks and sustainability targets.

Why it matters?

Defra’s funding decisions directly impact the financial stability and long-term planning of farms, agri-tech innovators, and rural enterprises. Reduced investment in environmental schemes or infrastructure will damage the sustainability of farming and estate businesses, slow progress toward net zero goals and place an additional strain on businesses already adapting to significant change.

Stay Informed

We’ll be monitoring the Spending Review closely and will share any insights as they emerge. If you’d like to discuss how the announcements could affect your organisation, please get in touch with a member of our specialist Farms and Estates Team here.