Scottish Government Small Producers Pilot Fund – Capital Grants

The Scottish Government Small Producers Pilot Fund is providing £500,000 in capital funding in 2025/26 to support small producers sectors in Scotland, empowering them to play a key role in delivering our Vision for Agriculture.

The Minister for Agriculture said:

“Small producers matter – they play a vital role in delivering for nature, climate, thriving communities, and sustainable food production. It is right that we support and invest in them not only because they are small producers, but because of the unique benefits that only they bring.

That’s why we are making £500,000 of capital funding available for Scottish small producers, continuing to back our crofters and small businesses in ways that enable their unique role in delivering the Vision especially in building thriving rural communities.

I am very grateful to South of Scotland Enterprise and Highlands and Islands Enterprise for their support and partnership with the Scottish Government in making this delivery happen for Scotland’s small producers!

We remain firmly committed to supporting small producers and empowering them to play a key role in making our Vision for Agriculture a reality.”

The fund is being delivered by South of Scotland Enterprise (SOSE) and Highlands and Islands Enterprise (HIE) on behalf of Scottish Ministers and it will cover the whole of Scotland, including the Scottish Enterprise region. You can find out which region you are in by looking at the map below.

Funding is targeted towards projects which will achieve one or more of the following outcomes:

• Increased levels of innovation and productivity
• Sustainable local food and drink production
• Improved collaboration
• Increased energy efficiency
• Strengthened and/or shortened supply chains
• Sustained jobs in rural communities
• Strengthened local economy

There is £175,000 available for the HIE region and £325,000 for the SOSE region, including the Scottish Enterprise area, which is managed on their behalf by SOSE. Please note funding must be spent by March 2026. For full information and details on how to submit your Expression of Interest visit South of Scotland Enterprise or Highlands and Islands Enterprise.

Who is eligible

Availability of funding will depend on the enterprise area. To view the full terms & conditions, and eligibility criteria, please visit South of Scotland Enterprise or Highlands and Islands Enterprise.

For individuals:

• Be a sole trader, partnership, limited company, charity, or social enterprise located in Scotland
• Have fewer than 10 employees (excluding apprentices or volunteers)
• Have a turnover of less than £2 million
• Operate on a holding of 30 hectares or less (excluding common grazing), or directly support those that do
• Have a Business Reference Number (BRN) or provide details of the businesses they support

For organisations:

• Businesses/Enterprises or collaborative groups who directly support small producers and the local supply chain and can demonstrate this connection.

How do I to apply

Applications must be submitted via the South of Scotland Enterprise or Highlands and Islands Enterprise websites, depending on the applicant’s region, by the deadline set by the relevant delivery agency.

HIE and SOSE areas

The areas covered by Highlands and Islands Enterprise are shown in colour below. All other areas will be managed by South of Scotland Enterprise. A map PDF is also available for download.

FAQs

Download the FAQ pdf for more information.