Investing in nature: a plan to support investment in biodiversity and climate adaptation in Scotland

Annex

Recent SG funds & finance mechanisms

Fund: Peatland ACTION Programme

Established in 2020 to run to 2030

In 2020 the Scottish Government committed £250 million over 10 years to restore 250,000 hectares of degraded peatlands.

The Programme supports on the ground peatland restoration activities which play a role in tackling climate change. Peatland restoration activities can work in tandem with rural farming, sporting, tourism, crofting activity, and improve water quality whilst supporting nationally and internationally important biodiversity.

Since 2020, 28,856 hectares have been restored through the Peatland ACTION programme.

Annualised spend

2020-21: £8 million

2021-22: £14.6 million

2022-23: £17.3 million

2023-24: £27.9 million

Fund: Nature Restoration Fund (NRF)

Established in 2021 to run to 2026

The NRF makes available at least £65 million over five years to support the delivery of projects that restore Scotland’s wildlife and habitats on land and at sea and address the twin crises of biodiversity loss and climate change. Projects must align with the objectives of the Scottish Biodiversity Strategy.

Annualised spend

2021-22: £10 million

2022-23: £13.75 million

2023-24: £19.45 million

2024-25: £8.75 million

2025-26: £18 million

Fund: Agriculture Transformation Fund (ATF)

Established in 2020 – ongoing

The ATF underpins support for the agricultural sector to reduce greenhouse gas emissions, improve efficiency and enhance Scotland’s natural environment through the period of transition.

Support in 2020 and 2021 was provided to purchase a wide range of capital equipment. More recently ATF has helped the agricultural sector meet the obligations of the Water Framework Directive and for low emission spreading equipment and slurry store covers and the ATF has supported the provision of new slurry storage and irrigation lagoons.

Annualised spend

2021-22: £20 million

2022-23: £5 million

2023-24: £5 million

Fund: Vacant and Derelict Land Investment Programme (VDLIP)

Established in 2021 to run to 2026

The VDLIP offers funding to transform long-term vacant and derelict sites into use for community and environmental benefit enhancing places and regenerating communities, tackling disadvantage and inequality, helping meet climate change targets, attracting private investment and creating economic growth.

Annualised spend

2021-22: £5,217,379

2022-23: £5,216,460

2023-24: £9,674,496

2024-25: predicted to spend £6.8 million

Fund: Agri-environment Climate Scheme (AECS)

Established in 2014 – will run until at least 2026-27

AECS is the Scottish Government’s single largest funding mechanism for environmental and sustainable land management. As part of the Scottish Rural Development Programme (SRDP) since 2015, it provides support to land managers to undertake actions relating to biodiversity, climate change, water quality and flooding, and to support organic farming, the historic environment and improving public access. To date a total of £317 million has been committed to 3,342 businesses.

Annualised spend

2021: £31.04 million

2022: £25.2 million

2023: £30.57 million

Fund: Scottish Marine Environment Enhancement Fund (SMEEF)

Established in 2021 (formal public launch May 2022) – ongoing

SMEEF provides an opportunity for those using and benefiting from Scotland’s rich natural marine resources to re-invest in the health of the marine environment through projects and activities that recover, restore, or enhance the health of marine and coastal habitats and species.

Since its launch in 2022, SMEEF has awarded £3.8 million (through a mixture of public and private contributions) to approximately 54 projects across Scotland.

Annualised spend

2021-22: £2,156,122

2022-23: £845,588

2023-24: £290,811

Fund: Water Environment Fund (WEF)

Established in 2013 – ongoing

The WEF directly supports water environment improvement works, as part of River Basin Management Planning, in urban and rural areas across Scotland. The Fund delivers river restoration projects which remove and ease barriers to migrating fish and create attractive and accessible green river corridors, improving the water environment for the mutual benefit of both the environment and local communities.

Annualised spend

2020-21: £1.236 million

2021-22: £3.639 million

2022-23: £2.760 million

Fund: Forestry Grant Scheme (FGS)

Established in 2015 – ongoing

The FGS offers financial support for the creation of new woodland and the sustainable management of existing woodland. A range of support options cover planting, woodland protection, harvesting and more.

Annualised spend

2023-24: £77.2 million

2024-25: £45.4 million