A second round of the Rural England Prosperity Fund (REPF) has been launched for the 2025–26 financial year, bringing with it new opportunities for rural businesses and community-led projects. While the total funding is less than provided within round 1 (£110 million), with round 2 providing £33 million in capital funding available across England, the scheme appears to continue to support diversification, rural enterprise, and improvements to rural infrastructure.
What is the REPF?
The REPF is a capital grant scheme designed to boost rural economies by supporting rural businesses. The funding aims to help rural businesses develop new products or services, including those proposed by farms looking to diversify.
The REPF is part of the wider UK Shared Prosperity Fund (UKSPF) and was introduced to replace the former EU-funded LEADER and RDPE programmes.
The REPF supports two key UKSPF investment priorities:
Funding is allocated to eligible local authorities, who manage the application and decision-making process within their area. The amount of funding allocated to each local authority varies significantly between £120,000 and £1.9 million, based on various metrics, which are detailed within the methodology. This funding is then distributed by the local authority at their discretion.
View your local authority’s allocation here.
Key Themes for 2025
Round 2 of the REPF continues to align with several of the government’s long-term missions:
- Kickstarting economic growth
- Breaking down barriers to opportunity
- Supporting community wellbeing and inclusion
Through this mission-led approach, the REPF aims to stimulates rural economic activity.
For full details, read the REPF Prospectus and 2025 scheme updates.
What Can the REPF Fund Do?
The 2025 guidance maintains a strong focus on capital-only investments that lead to long-term economic and community benefit. Notably, for rural businesses, funding cannot be used for agricultural equipment or infrastructure, nor for diversification within agriculture itself. However, farm businesses seeking to diversify into non-agricultural ventures are well-placed to apply.
Eligible project examples, as indicated by the government, include:
- Creating “rural business hubs”, providing shared workspaces and networking facilities for rural businesses.
- Developing new products and facilities to assist in diversification outside of agriculture (e.g., tourism ventures, livery yards, or kennels).
- Community green spaces.
- New footpaths and “visitor trails”.
- Kitchens and cafes in community hubs.
Examples of how we (DPA) were able to use the REPF (round 1) to successfully aid the delivery of diversification projects for our clients include:
– Multi-purpose venue space and visitor centre facilities
– Rural offices and workspaces
– Farm shop and café
How to Apply
This round will run between 1 April 2025 and 31 March 2026 (subject to local authority), and all capital projects must incur expenditure within this period.
Applications will be administered by individual local authorities, with each area determining its specific priorities and application process. Farmers, landowners, and rural businesses should check their local council’s website for up-to-date guidance on how to apply.
Speak to Us About Your Project
At Dudley Peverill Associates, we work closely with farmers and rural landowners to shape viable and impactful diversification projects. As part of our service, we consider and make applications for capital grant funding, such as the REPF and similar grants, as part of project funding strategies.
If you’re considering a project in 2025 and wish to discuss grant funding, we’d be happy to advise.
Contact us today to discuss your proposal and how we can help through our specialist consultancy and project management.