The Forestry Commission has announced the reopening of its Tree Production Capital Grant, which aims to accelerate investment in domestic tree production.

The second round of the grant is open until May 31, 2023, and will provide up to £1.76 million in funding during 2023/2023 and £3.43 million during 2024/2025.

Successful projects will be awarded up to £175,000 in grant funding to cover up to 50% of projecosts, with money coming from the Tree Production Capital Grant as part of the government’s £750 million Nature for Climate Fund. 

In comparison to the 2022 application process, the minimum grant value which can be applied for has reduced from £10,000 to £5,000 with the aim of enhancing accessibility for smaller projects. 

Examples of eligible projects include:

  • Investments in seed trays;
  • Developments in machinery such as transplanting systems and grading machines;
  • Improved polytunnel infrastructure and irrigation systems;
  • Biosecurity through improved water treatment and refrigeration equipment.

Forestry Minister Trudy Harrison said: “This government is committed to bolstering domestic tree production and fostering a robust forestry industry – actions that are necessary to realise our long-term tree- planting goals.  

“Not only does the Tree Production Capital Grant allow us to modernise and enhance the sector, but it also helps to create new green jobs and to tackle climate change, amongst myriad other benefits.”  

Forestry Commission Chief Executive Richard Stanford said: “Funding projects that enhance our woodlands and treescapes is fundamental to achieving government’s tree planting ambitions and building an innovative and robust forestry sector. 

“Through the Tree Production Capital Grant we have been able to support existing tree and seed suppliers of all sizes, and also provide funding to those wishing to make a start in the sector.

“With the application window now open, I encourage those with relevant projects to apply.”  

Applications are encouraged from tree seed and sapling suppliers of all sizes and sectors, as well as new entrants looking to diversify into the area, the government said.

Applicants can apply for projects up to two-years long, ending in March 2025. The Forestry Commission will be hosting a webinar on the grant application process on Friday, April 28.