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Minister confirms £227m of funding to support Wales’ rural economy

01 Apr 2022 3 minute read
Lesley Griffiths MS
Minister for Rural Affairs and North Wales, and Trefnydd. Photo Welsh Government

The Welsh Government has announced it is making £227m of funding available over the next three years to support Wales’ rural economy.

This allocation of funding is in response to the ending of the EU Rural Development Programme (RDP), which will close in 2023 and will ensure continued support for the areas previously funded under the RDP.

Funding, which will be available to support farmers, foresters, land managers and associated rural sectors and will be delivered across six key themes:

  • Farm scale land management – on-farm sustainable land management actions to enhance natural resources, such as encouraging the growing of crops which provide an environmental benefit like protein crops.
  • On farm environmental improvements – including enhancing fuel, feed and nutrient efficiency, embedding circular economy approaches and encouraging the use of renewable energy.
  • On farm efficiency and diversification – supporting farm efficiencies through investment in new technology and equipment and to enable opportunities for agricultural diversification.
  • Landscape scale land management – delivering nature based solutions at a landscape scale, through a multi-sectoral collaborative approach.
  •  Woodland and forestry – supporting our commitment of 43,000 hectares of woodland creation by 2030 and supporting the creation of a timber based industrial strategy.
  • Food and farming supply chains – creating a strong and vibrant Welsh food and drink industry with a global reputation for excellence with one of the most environmentally and socially responsible supply chains in the world.

The framework compliments the development of the government’s Sustainable Farming Scheme, which will reward farmers and land managers for the work they do to meet the challenges of climate change, alongside the sustainable production of food and the subsequent benefits for food security in Wales and globally.


Rural Affairs Minister Lesley Griffiths said: “Our rural economy plays a crucial role in the way we live our lives. It provides us with the quality food we eat, the natural resources we enjoy and supports communities and livelihoods across Wales.

“We know it continues to face many challenges, not least climate change which threatens our land, impacts water and air quality and puts further pressures on biodiversity.

“We want to support sustainable food production by Welsh farmers, and we want our rural communities to have a green and sustainable future. This package is designed to support these aims. A strong rural economy can only be beneficial for our rural communities.

“The significant funding I am announcing will be key in supporting our farmers, foresters, land managers and food businesses to promote the sustainable production of food and to meet the challenges ahead, supporting the pace and scale of change needed to support the rural economy on the path to a net zero, nature positive Wales.”

The government also confirmed discussions with Plaid Cymru to deliver commitments within the Co-operation Agreement are on-going.

This includes working with the farming community to encourage woodland creation on less productive land and through agro-forestry and ‘hedges and edges’ approaches, and to explore ways of drawing investment for woodland creation that secures local ownership and management.

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