Farmer Collaboration Fund: How It Works and Round 2

The Farmer Collaboration Fund (FCF) is a Defra grant for England that pays organisations to bring farmers together. Rather than funding individual farms, it funds delivery partners who set up and run collaboration groups, where farmers, land managers and growers share experience, learn from each other and try new ways of working. Round 1 has closed, and Defra plans to open round 2 in spring 2027. This guide explains who can apply, what the money pays for and how to prepare. Everything here comes from Defra's own guidance on GOV.UK and the Defra Farming blog, checked on the date shown on this page.

What the fund is for

Defra says the FCF aims to help farmers, land managers and growers to manage land in a productive, nature friendly and sustainable way, and to find practical solutions that support both their businesses and the environment. Collaboration groups give them chances to learn from each other, make joined-up plans for landscape-scale projects and apply for more ambitious land management schemes, both government and private.

Defra gives examples of what collaboration and peer learning could help farmers do:

• take up integrated pest management, which can cut input costs and support soil and water health
• bring trees into a farming system to diversify income, store carbon and reduce flood risk
• adopt new technology that improves animal health and welfare
• share farm data to improve business performance

How much and how long

An FCF agreement lasts up to three years and is worth £200,000 to £1 million a year. Defra expects to make around 20 grants, with £5 million available each year. It will publish details of successful delivery partners, including what they received, where they work, the farming sectors they cover and the groups and facilitators they support.

Who can apply

You apply as a delivery partner: an organisation that can support collaboration groups in England. Defra lists these as eligible:

• charities and community interest companies (CICs)
• local authorities, strategic authorities, and national landscapes and national parks organisations
• commercial businesses, including limited companies
• mutual societies, such as cooperatives
• universities

You must be a single entity with day-to-day control of all your activities, and you need a UK bank account. If you apply in partnership with others, you appoint a lead organisation to submit the application, receive the money and make sure it is spent properly. You also need to show experience of the area, sectors or topics you want to support, and of supporting and facilitating collaboration.

Individual farmers, land managers, growers and group facilitators cannot apply. Defra says farmers who want to take part can approach successful delivery partners directly.

The group rules

Each delivery partner must use the fund to support at least five farming collaboration groups, and each group should include at least four separate farming businesses managed by different people. You can support existing groups to go further, set up new groups where there are gaps, or both. The application template has room for details of up to 20 collaboration groups.

What the money pays for

Defra expects most of the money to go on facilitators and group activity. You can use it to:

• Pay facilitators for their time, including salaries where they are good value, to coordinate and lead groups, work with farmers one to one or in groups, bring in specialists, find further funding for the group, and cover training and reasonable expenses. Existing employees can be facilitators if you manage any conflict of interest and keep a record of how you chose them.
• Pay for group advice and activities, such as experts advising the groups, including farmers sharing their own knowledge, and group travel such as a minibus for site visits.
• Pay the delivery partner to coordinate facilitators, develop delivery plans with farmers, run farmer and expert panels, build networks and share knowledge with other partners and Defra.
• Cover administration, such as paying facilitators and reporting to Defra, which must be less than 10% of the total budget.

You cannot use the grant for direct farm actions or capital works, or for advice that does not support the group's objectives, such as political advice.

How the application works

For round 1, applications were made through the Defra eCommercial System, known as Atamis. You needed to complete:

• a qualification questionnaire
• a technical questionnaire
• Annex A, the collaboration group information tables
• Annex B, a financial summary
• Annex C, the form of application
• a 6-month milestone plan and a 3-year roadmap

The application has four sections. Your details are checked for eligibility but not scored. The other three are scored: your organisation and experience, your objectives and how they fit Defra's objectives and strategies, and your delivery plans and budget, including what happens when the three years of funding end.

What makes a strong application

Three of the four sections are scored, so most of your effort should go there.

• Show your track record with farmers. Defra wants to understand your experience of working with farmers and the partnerships you have built with other organisations that support collaboration.
• Tie your objectives to Defra's. Explain what you want to achieve, why, and how it fits Defra's objectives and strategies. Defra suggests building on existing plans, such as local nature recovery strategies and local growth plans, where they apply.
• Name the right facilitators. Facilitators need the skills to help groups work through different views and agree shared actions.
• Be clear about value for money. Defra asks you to consider value for money in every spending decision and to explain any facilitator salary that differs from comparable national figures.

Key dates

Date	What happened or is planned
1 September 2026	Round 1 opened
30 September 2026, 11:59pm	Round 1 closed
November 2026	Round 1 applicants told the outcome
December 2026	First payments planned
Spring 2027	Round 2 planned to open
2028	Round 3 expected

Defra says unsuccessful round 1 applicants can apply again in later rounds if they are eligible, and that it may change the offer for future rounds. Our Farmer Collaboration Fund listing will update when round 2 is announced.

How to prepare for round 2

Defra's guidance suggests some steps before you apply:

1. Decide your focus. Choose the location, sector or area of expertise you can support.
2. Talk to existing groups. Contact farmer collaboration groups and facilitators already working in your area or sector.
3. Agree partnerships early. If you will work with other organisations, decide who will lead. Our guide to partnership agreements for grant projects explains what to put in writing.
4. Draft your plans. You will need a first-year delivery plan, a 6-month milestone plan and a 3-year roadmap. A short theory of change is a good way to link your activities to the outcomes Defra wants.
5. Plan beyond the grant. The budget section asks what happens after three years. Our guide on project sustainability and exit strategies can help.

If you are a farmer

You cannot apply to the FCF yourself, but you can join a group run by a delivery partner once Defra publishes who they are. In the meantime, browse agriculture grants, tree planting and woodland grants or other funding listed by the Rural Payments Agency.