Labour has come under fire for pausing a key green farming scheme without warning. The Government this evening announced that it would not accept new applications for the Sustainable Farming Incentive (SFI).

The programme, which was introduced after Brexit as part of a package to replace the EU’s common agricultural policy, pays farmers to manage their land in an environmentally friendly way. The Government said it would set out details of a revised version of the scheme following the spending review later this year. But the move has sparked fresh criticism amid ongoing fury at the inheritance tax raid on farmers.

National Farmers Union president Tom Bradshaw said: “This is another shattering blow to UK farms, delivered yet again with no warning, no understanding of the industry and a complete lack of compassion or care.

“Today’s terrible news was delivered with only 30 minutes warning to us before ministers briefed the press, leaving us unable to inform our members – another example of the growing disregard for agriculture within Defra.

“The fact that ministers are actually trumpeting this as good news shows how desperately detached they are from the reality on the ground and how little they understand this industry.

“It leaves us with little choice but to see Defra as a failing department. The chaos has got worse and worse and farmers are paying the price. Bad decisions, misdirection, promises broken, no transparency and yet more financial disaster for farming.”

Country Land and Business Association president Victoria Vyvyan said the scheme was “the most ambitious, forward thinking and environmentally friendly agricultural policy seen anywhere in the world”.

She added: “Labour promised to support it, but at the first available opportunity they have instead scrapped it.

“Of all the betrayals so far, this is the most cruel. It actively harms nature. It actively harms the environment.

“And, with war once again raging in Europe, to actively harm our food production is reckless beyond belief.”

Tory shadow environment secretary Victoria Atkns said: “I didn’t think this Labour government could show more disdain for British farming and the countryside – and then they go and do this.

“After the family farm tax, delinked payments, the NICS hike and more, they’ve now stopped this vital environmental scheme without warning, risking small, medium and tenanted farms’ financial collapse.”

James Wright, farmer and policy director at Conservative Rural Forum, said that Labour “withdrawing the scheme with no notice shows the complete contempt they farm for farmers and the countryside”.

Sarah Lee, director of policy at the Countryside Alliance said it would “no doubt feel like another kick in the teeth” for farmers.

She said: “Farmers are being asked to navigate an increasingly uncertain landscape, from concerns about farm taxation to broader economic pressures, while continuing to produce high-quality food for the nation.

“At a time when confidence in the sector is already fragile, the decision to close applications for SFI24 without immediate clarity on what comes next risks exacerbating uncertainty and shows the governments lack of consideration for the countryside and its workers.”

Farming YouTuber Olly Harrison, who has organised major protests against the controversial inheritance tax changes, took aim in a video on X.

He said: “What is going on? We’re getting attacked from every single angle, it’s just absolutely bonkers.

“Why have we got people who don’t understand farming and don’t understand the environment in power in power? Why don’t they get out on farms and learn how agriculture works?”

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The Government said it inherited an uncapped scheme and that the highest ever level of participation in SFI means the maximum limit has now been reached.

Environmental Land Management scheme agreements will remain in place.

Minister for Food Security and Rural Affairs Daniel Zeichner said: “This Government is proud to have set the biggest budget for sustainable food produce in history, to boost growth in rural communities and all across the UK, under our Plan for Change.

“More farmers are now in schemes and more money is being spent through them than ever before. That is true today and will remain true tomorrow.

“We have now successfully allocated the SFI24 budget as promised.”