New government funding policy

18/12/2025

There is a new approach being introduced by Defra in April 2026 that will change how both new and existing Flood and Coastal erosion risk management (FCERM) schemes are funded. This new approach proposes some principles relevant to our scheme:

• First £3 million covered: All FCERM projects get full government funding up to £3 million
• Above £3 million: Project costs beyond that are 90% funded. However, funding will not be provided for elements that do not contribute to reducing flood risk, such as our proposed new ‘Garden Route’ bridleway. We know that these elements remain popular with people and we want to retain community support for the scheme.
• Projects will be prioritised by value for money, worked out by a set benefit to cost ratio.

This means that there is potential for our scheme to receive more government funding than under the existing formula. However, there will be many projects across the country applying for money. We await full guidance for how the new policy will be implemented and how schemes will be prioritised.

For more detail about the new funding policy please visit:

Flood and coastal erosion risk management funding policy - GOV.UK