What the Latest Biodiversity Net Gain Changes Mean for Farmers

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Steph Emmerson (FCG WhiteAvon)

The government has confirmed that Biodiversity Net Gain (BNG) is here to stay, but the rules are being adjusted to make things simpler, especially for smaller developments and brownfield sites. For farmers, this mainly affects the potential to earn income from habitat creation and selling biodiversity units.

One of the biggest changes is that very small developments (under 0.2 hectares) will no longer need to meet BNG requirements. While this reduces demand from small projects, it also brings a very real and long-awaited benefit to the farm. In recent years, many farmers found themselves having to submit full planning applications for relatively routine developments such as livestock buildings or silage clamps, simply because they did not qualify under permitted development rules. On top of that, they then had to factor in the added cost and complexity of BNG. The removal of this requirement for small sites will come as a genuine relief, cutting out both expense and paperwork for straightforward, everyday farm projects.

The opportunity to generate BNG credits for larger developments remains. In fact, the changes could make things easier for landowners. Developers will now have more flexibility to use off site land to meet their BNG requirements. This means they can more easily buy biodiversity units from farmers, rather than trying to fit everything onto their own site. For many farms, this could increase demand for well-designed habitat schemes.

The government is also planning to simplify how biodiversity is measured. The current system will be replaced with a more user-friendly digital tool, with clearer rules, especially for complex areas like brownfield land. There may be a transition period while this is introduced, so some short-term uncertainty is likely.

Looking ahead, most of these changes are expected to come into force by summer 2026, with further updates and guidance following later in the year. There are also ongoing discussions about how brownfield sites should be treated, which could shift more demand towards rural land if exemptions are widened.

Overall, the direction is clear. BNG is not going away, it is being streamlined. For farmers, that likely means fewer small, one-off opportunities, but a stronger and more flexible market for larger, long term habitat projects, and far fewer hurdles when planning smaller developments on their own land.

If you would like to discuss the opportunities for BNG on your own land, please contact Steph Emmerson at stephemmerson@fcgagric.com or your local FCG Office.

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