Animal Health and Welfare Pathway payment increases

Tuesday, 3 February 2026

Farmers are experiencing the most rapid period of change in 50 years. To remain profitable, farm businesses need to adapt. In England, policy changes – including the removal of Direct Payments and the roll‑out of the Agricultural Transition Plan – will increasingly use public money to deliver public goods.

Update to reflect payment increases effective 22 January 2026.

Funding through the Animal Health and Welfare Pathway (AHWP) aims to improve animal health and welfare, boost productivity, strengthen food security, protect public health, uphold UK trade, and support environmental goals.

The Pathway is a long‑term partnership co‑designed with industry and government, covering cattle (beef and dairy), sheep, pigs and poultry. The first of four steps were launched in February 2023 offering a fully funded vet visit.

Step 1: The annual health and welfare review

Since February 2023, eligible farmers have been able to receive a fully funded, annual on‑farm vet visit, now available to all farmers in England who have:

  • 11+ beef cattle
  • 11+ dairy cattle
  • 21+ sheep
  • 51+ pigs

The Review will fulfil the requirements for obtaining a Vet Attestation Number (VAN), should your abattoir or processor exports products of animal to the EU and require this. The VAN process replaces the previous temporary farmer declaration.

Learn more about Veterinary Attestation Numbers

Payment rates from 22 January 2026

Defra announced an average 16% increase in payments across all species to reflect inflation and ensure vets can deliver a high‑quality, thorough service.

Table 1. Annual health and welfare review payment rates

Species Previous payment 2026 payment Included testing Priority disease
Sheep £436 £574 Anthelmintic resistance and health package Multiple conditions
Beef cattle £552 £647 Bovine viral diarrhoea (BVD) BVD
Dairy cattle £372 £447 Bovine viral diarrhoea (BVD) BVD
Pigs £557* £648 Porcine reproductive and respiratory syndrome (PRRS) (*oral fluid sampling) PRRS

*From 19 June 2024, and in response to feedback, the PRRS disease testing component of the Annual Health and Welfare Review for pigs was changed from blood sampling to oral sampling.

This provides better pig welfare, is easier for vets and farmers to carry out, and is more cost effective.

Future developments

Future changes may include allowing more than one review per year for farms with:

  • Multiple species
  • Multiple herds or flocks of the same species
  • The Government has already begun expanding access to multi‑herd and multi‑flock options under AHWP

Useful resources

How to apply for an annual health and welfare review of livestock

Video: how to complete an application form and submit a claim

Video: what will happen during your Annual Health and Welfare Review?

Step 2: Capital Grants

Since March 2023, farmers have been able to apply for capital grants supporting AHWP priorities. Farmers work with their vet to select investments that deliver greatest health and welfare benefit.

Two grant types:

  • Small grants – equipment and technology
  • Large grants – new housing, upgrades and pasture improvements

Further details are available on the Government Farming Investment Fund webpages, with updates provided through Defra’s farming blog.

Step 3: Disease eradication and control programmes (endemic disease follow up)

Since 19 June 2024, farmers who have completed an Annual Review can access additional funding for endemic disease control.

Table 2. Updated follow‑up payment rates from 22 January 2026

Species Previous payment 2026 payment Testing provided
Sheep £639 £658 Choose a targeted health package with your vet
Beef cattle – where BVD is not present in the herd £215 £258 PI identification for BVD free herds
Beef cattle – where BVD is present in the herd £837 £954 PI identification and disease control
Dairy cattle To be announced
Pigs £923 £1,087 Advanced diagnostic PRRS testing

You may complete up to three Annual Reviews and three follow ups if you meet the following conditions:

  • Follow‑up completed within 10 months of the Review
  • 10 months between follow‑ups
  • Review claim must be approved before claiming the follow up

Step 4: Payment-by-results

Payment-by-results will reward farmers who demonstrate high health and welfare outcomes in herds and flocks.

Cattle vet Jonathan Statham, who has worked with the team developing the Pathway said:

“The Pathway is all about the farmer’s own vet working with the farmer on an individual farm basis. So, if you are sheep, cattle, pigs or mixed, if you are farm assured, if you are non-farm assured, we will have a format that covers your farm’s needs.”

The Animal Health and Welfare Pathway forms part of the Sustainable Farming Incentive (SFI) supporting:

  • Sustainable food production founded on high welfare
  • Disease prevention
  • Antimicrobial resistance
  • Reduced GHG emissions

Find out more about the Sustainable Farming Incentive and further funding opportunities

Explore the Government’s Animal Health and Welfare Pathway Programme

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