Adding Value grant
The Farming Investment Fund has allocated £30 million of funds to an ‘Adding Value’ grant which is now open for applications. This grant is designed to support farmers and growers in purchasing capital equipment to process, diversify and add value to their products.
The sorts of capital equipment covered include:
- equipment for retailing edible agricultural products (e.g. vending machines);
- equipment for the processing of agricultural products for added value sales;
- equipment for processing non-edible agricultural products into new products;
- equipment for ‘second stage’ processing of grain e.g. colour sorting, blending; and
- premises for the processing or preparation of added value agricultural products, including integral storage areas.
The grant is for £25,000-£300,000, covering 40% of eligible project costs. The grant is available for both farmers and businesses (e.g. a company) processing agricultural products, providing any business is at least 50% owned by farmers.
The window for grant applications is from 9 June until midnight on 21 July 2022.
More information on the Adding Value grant and how to apply can be found here.
Slurry Infrastructure grant
Another grant on the horizon is the £13 million of funding for the new Slurry Infrastructure grant, details of which are due to be announced this autumn. The first round of these grants is designed to help livestock farmers reduce water and air pollution by upgrading their slurry storage and nutrient management systems.
If you are applying for grant income to diversify, or make capital improvements to your farm, planning the timing of the expenditure will not only benefit the trading aspect of your business, but the cashflow and tax implications too. To ensure you time the expenditure to your best advantage, discuss your plans with your business and tax adviser.