RURAL ENGLAND PROSPERITY FUND

Support for farm diversification given a welcome boost by the new Rural England Prosperity Fund. Funding through the Rural England Prosperity Fund (REPF) is set to unlock millions in additional investment for rural communities over the coming years. How could this new fund support farm businesses considering diversification as a means of improving profitability in the face of diminishing subsidy payments?

WHAT IS THE REPF?

Funded by DEFRA together with the Department for Levelling Up, Housing and Communities, the REPF is effectively a rural top-up to the UK Shared Prosperity Fund (UKSPF) to help address the extra needs and challenges facing rural areas. Replacing the former EU funded Rural Development Programme for England, the REPF, worth up to £110 million, will run for a period of two years from April 2023 until March 2025.

Funding Opportunities Available

The REPF aims to boost the rural economy by providing funding to support new and existing rural businesses to develop ‘new products, facilities and community infrastructure that will be of wider benefit to the local economy’. This includes farm businesses looking to diversify income streams.

Examples of projects that are likely to be supported include:

• Converting farm buildings to other business uses.

• Rural tourism enterprises such as investments in visitor accommodation.

• Develop, restore and refurbish local nature, cultural and heritage assets and sites.

• Creation of public access provisions such as new footpaths and bridleways.

• Boosting rural ‘connectivity’ through broadband projects and grants for provision of digital infrastructure at places such as village halls, pubs and post offices, for community use.

Fund Delivery

The fund will be delivered by eligible local authorities. While funding must be used on capital projects for business and community purposes, investment decisions will be based on local priorities and will focus on those projects that most improve productivity and create rural job opportunities. As such, each authority is responsible for ensuring applicants have ‘robust business plans which demonstrate the viability and success of the projects’.

Supporting Rural Businesses

Whilst the REPF is a brand-new scheme, our agents and consultants have experience supporting rural businesses with funding applications and have helped clients successfully secure funding from the former Rural Development Programme for England as follows:

Business Expansion

A small rural business that had reached capacity in their existing space was provided £27,500 from the former LEADER scheme. It funded the purchase of additional space and equipment to expand their preserve manufacturing business. The project was successful by demonstrating that it provided new employment opportunities and encouraged business growth within the rural economy.

Farm Diversification

A former LEADER farm diversification project received £60,000 for the development of an existing caravan site to create a luxury glamping facility. The aim of the project was to diversify farming activities to develop an alternative income stream. The project was able to demonstrate that it would grow an existing rural business which created jobs and supported local tourism.

Converting Farm Building To Other Business Uses

A former Growth Programme project was awarded £160,000 for the refurbishment of a redundant traditional farm building into new commercial office space. The project created a viable use of redundant buildings and generated income for a small rural business.

THE RIGHT TIME TO ACT!

Diversification is an increasingly important issue for farming businesses looking for additional income streams to lessen reliance on core farming income and subsidy payments.

Our free Farm Business Advice Service, grant funded through Defra's Future Farming Resilience Fund, is seeing an increasing number of farm businesses exploring the diversification opportunities available to them.

The Introduction Of The Repf Offers Farmers A Welcome