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Policy Paper Published 16 Jul 2026 Department for Environment, Food & Rural Affairs ↗ View on GOV.UK

Habitat creation and restoration Environment Act target delivery plan

▤ Verbatim text from source document

Statutory Environment Act targets 

  • restore or create in excess of 500,000 hectares (ha) of a range of wildlife-rich habitats outside of protected sites by 2042 

Restoring and creating habitat will also support 3 other statutory Environment Act targets: 

  • halt the decline in species abundance by 2030 

  • increase species abundance so that by 2042 it is greater than in 2022 and at least 10% greater than in 2030 

  • improve the Red List Index for England for species extinction by 2042 compared to 2022 levels 

Creating and restoring wildlife-rich habitat at scale is essential for improving species abundance and reducing the risk of extinction. Wildlife needs high-quality, connected habitats to thrive. Creating and restoring wildlife-rich habitat helps reduce fragmentation and strengthen ecosystem resilience, supporting long-term species recovery. 

Guidance on what counts towards the statutory habitat target is available in the Environment Act habitat target definitions and descriptions paper (TIN219). This document explains how the interim and statutory habitat targets are defined and measured. 

Habitat creation and restoration will support our international commitment to protect 30% of land for nature by 2030. It will also support other Environmental Improvement Plan (EIP) goals, such as water (Goal 3) and climate change (Goal 7). Delivery across the EIP is interdependent, for example, wetland restoration can support both water quality and wildlife habitat, while improving water quality can reduce pressure on freshwater ecosystems. 

Other Environment Act targets also support the habitat targets. For example, 100,000ha of the statutory tree canopy and woodland cover target is expected to contribute to the statutory wildlife-rich habitat target (see tree canopy and woodland cover target delivery plan). 

Interim target 

  • restore or create 250,000ha of a range of wildlife-rich habitats outside of protected sites by December 2030 

Rationale for the interim target: why and how it will progress delivery of the Environment Act target 

The statutory habitat target will deliver habitat creation and restoration at scale, which is one of the key actions we know is needed to achieve nature’s recovery. This work will help build a better network of naturally functioning and climate resilient habitats where wildlife can move and thrive. 

The interim habitat target contributes towards the statutory habitat target, which supports the species abundance and extinction targets. 

It takes time to create habitats, and some species can take time to respond to habitat improvements. By front-loading habitat creation and restoration we increase the chances of meeting our statutory species targets. The interim target will drive early progress whilst remaining achievable. 

Meeting the species abundance and extinction targets will require a variety of habitats to benefit a wide range of species. There are no sub-targets for specific habitats as the statutory habitat target includes delivering a range of wildlife-rich habitats, some that deliver benefits quickly (such as scrub), and others that take longer (such as woodland). We will monitor the split of habitats delivered to ensure they work together to support species recovery. 

The interim target is cumulative and gross; it is the sum of all habitat created or restored since January 2023. It does not take account of losses, degradation or reversion. Habitat created to replace known direct losses will not count towards the interim target, in line with the approach taken for the statutory target. 

The Land Use Framework sets out a vision for how we should best use our land. It shows that England has enough land to achieve its priorities if we make better decisions about how land is used. It explains why we will need to spatially target habitat creation to deliver outcomes for biodiversity, water and emissions reductions. It includes land use principles that are key to achieving more efficient land use. They will inform the spatial targeting of Environmental Land Management Schemes (ELMS) from 2027, guide regional and local plans, and influence actions of individual landowners and managers.

Local Nature Recovery Strategies will provide the spatial framework to prioritise nature recovery action.

Together, these frameworks will help land managers to target habitat creation and restoration in the right places to support multiple outcomes, for example protecting our homes from flooding through creating wildlife-rich wetlands to reduce flood risk. 

Protected Landscapes are key areas for nature recovery because they already contain significant areas of wildlife-rich habitat and benefit from legal protection and dedicated management bodies. To meet national environmental targets, we must go further and faster in these areas. The Protected Landscapes Targets and Outcomes Framework sets out that 50% of the statutory habitat target should be delivered in Protected Landscapes.

Delivery measures 

We expect to meet the interim and statutory habitat targets through a mix of delivery measures which are summarised in Table 1. Many of these will rely on voluntary action from landowners, farmers, environmental non-governmental organisations, businesses, and the public. 

The largest share of delivery is expected through Environmental Land Management schemes, particularly Countryside Stewardship Higher Tier and Landscape Recovery. 

Private finance and emerging green finance mechanisms (for example nature markets and biodiversity credits) are also expected to grow in importance over time. 

Table 1: Summary of delivery measures for the interim habitats target 

Delivery measure Description Estimated contribution to the interim targets Evidence of impact Responsible Status
Agri-environment schemes - Landscape Recovery (AES) Landscape Recovery supports large-scale, long-term projects that restore nature, improve biodiversity and deliver environmental benefits across whole landscapes in England. High Projects will continue to move into delivery. Defra In delivery
AES - Countryside Stewardship and Sustainable Farming Incentive Schemes fund farmers and land managers to create and restore wildlife-rich habitat using appropriate agri-environment options [see Table 2]. Medium high 62,782ha of wildlife-rich habitat has been delivered since January 2023 through AES actions. Defra In delivery
Trees programme - woodland creation Creation of woodland through the England Woodland Creation Offer, Community Forests, Forestry England tree planting and Woodland Creation Partnerships. Medium low 5,340ha of wildlife-rich woodland habitat has been delivered since January 2023 through the Trees Programme. Defra, Forestry Commission, Forestry England In delivery
Big Nature Impact Fund

Biodiversity Net Gain (BNG)

Farming in Protected Landscapes

Flood and Coastal Erosion Risk Management Programme (FCERM)

Forestry England public forest activity

Local Investment in Natural Capital (LINC) programme

National Education Nature Park

Natural Environment Investment Readiness Fund (NEIRF)

Nature for Climate Peatland Grant Scheme (NCPGS)

Nature Recovery Projects

Nature Returns

Other external partner delivery

Projects for Nature

Species Recovery Programme (SRP)

Species Survival Fund (SSF)

The National Lottery Heritage Fund projects

Water Environment Improvement Fund (WEIF)

Water Industry National Environment Programme (WINEP)

Water Restoration Fund
Collectively, these programmes contribute a mix of targeted habitat creation, restoration, and species recovery. Low Some (such as NCPGS) report quantifiable hectares, while others (such as BNG, NEIRF, Nature Markets) are still developing evaluation frameworks.

Notable contributions include:

•1,078ha of Plantations on Ancient Woodland Sites on public forest land showing restoration progress since January 2023.

•4,928ha of peatland restoration which counts towards the habitat target delivered through the NCPGS since January 2023.
Defra, EA, NE, Forestry England, National Lottery Heritage Fund, DfE, water industry, businesses Various - in delivery and development

AES options from Countryside Stewardship and the Sustainable Farming Incentive that count towards the habitat target will be reviewed as schemes change and new evidence becomes available. Annex A shows the options that count towards the habitat targets as of October 2025.

Enablers 

Table 2: Enabling measures

The enabling measures are not quantified, as they support delivery indirectly, rather than through measurable contributions.

Enabling measure Description Evidence of impact Responsible Status
Developing skills and partnerships Establishing strong partnerships is essential for coordinated delivery at a landscape scale.

We are working with established forums including the National Estate for Nature and the Government Estate for Nature Plan (GENP).
Evaluative evidence shows that partnership approaches have brought several benefits to delivery of integrated, landscape-scale conservation. Defra, Natural England, other government departments, Protected Landscapes organisations and landowners In delivery
Spatial targeting Spatial targeting of delivery will help maximise species outcomes and wider benefits such as reduced flood risk. Responsible Authorities are preparing Local Nature Recovery Strategies. The Land Use Framework establishes Defra’s intention to evolve ELM schemes over the next 5 to 10 years, including through spatial targeting. There is evidence [Note 1] that action is more likely to be unsuccessful in establishing wildlife-rich habitat where there is insufficient spatial targeting.

Evaluation of Biodiversity 2020 found inability to target uptake to priority areas was likely to hinder overall progress.
LNRS Responsible Authorities, Defra In development
Advice and standards Advice and standards, including as part of the ELM offer, are critical to ensure high integrity delivery.

The British Standards Institute Nature Investment Standards are designed to bring greater confidence and consistency to UK nature markets.
Evaluation of Biodiversity 2020 found that provision of guidance and advice is important for correct targeting and implementation of actions. Defra, Natural England, British Standards Institute In delivery
Evidence generation Evidence underpins sound decision-making, enables progress to be measured and adjusted over time, and provides confidence that actions taken are effective and contribute meaningfully to statutory targets.

We will continue to develop the evidence base through our biodiversity targets modelling programme and monitoring and evaluation programme.
The evaluation of Biodiversity 2020 found that the lack of monitoring and evaluation capacity hindered progress assessment and progress itself. Defra, NE, EA, FC In delivery
Access to and care for nature Increasing access to nature helps inspire care for nature and creates public support to facilitate behaviour change, nature-positive land management uptake, and long-term stewardship.

We will ensure inclusive access to nature and protect nature’s beauty and heritage (see EIP Goal 10).
The evaluation of Biodiversity 2020 found that several barriers inhibit people and organisations from better taking account of the environment in their decision making and daily lives. Defra, Protected Landscapes organisations, Natural England, National Trust, National Lottery Heritage Fund, FC, local authorities, MHCLG, FE, DfE, DCMS In delivery
Private investment Delivery funded by private finance and emerging green finance mechanisms is expected to grow over time.

We will develop Nature Positive Pathways for key sectors of the economy.
Evaluation of Biodiversity 2020 found that organisations are becoming increasingly aware of green market opportunities, but this is not translating into take-up. Defra, Green Finance Institute, UKCEH, Worldwide Fund for Nature (WWF) In development

Note 1 includes the following sources: 

Key milestones 

Key milestones for 2026 include: 

  • Projects for Nature launched 24 February 2026 after a successful pilot phase. The funding platform aims to direct private philanthropic funding towards government-screened nature recovery projects  
  • launched the first year of the £10 million Wildlife-Rich Habitat Fund in May 2026, delivered alongside £30 million funding for Farming in Protected Landscapes, to accelerate habitat target delivery in Protected Landscapes  
  • publication of the Government Estate Nature Plan (GENP)  
  • implementation underway for successful Round 1 Landscape Recovery Projects 
  • implementation underway for successful Round 2 Landscape Recovery Projects 
  • Sustainable Farming Incentive open for applications in 2 windows in June and September 2026 
  • develop an innovation fund with National Parks Partnerships and the National Landscapes Association to unlock investment opportunities and diversify funding sources for Protected Landscapes to deliver habitat creation and restoration
  • from November 2026, mandatory BNG will also apply to major infrastructure projects including transport, energy and water developments

Key milestones for 2027 include: 

  • 5 more National Nature Reserves declared  

  • delivery of the further years of the £10 million Wildlife-rich Habitat Fund alongside Farming in Protected Landscapes Programme  
  • completion of Water Restoration Fund development projects

Illustrative trajectory 

To meet the interim habitat target, an average 31,250ha a year is needed. This represents a front-loading of habitat creation and restoration to support the statutory species abundance target (a linear trajectory to the habitat target would require 25,000ha a year to be delivered). If the 2030 interim target is achieved, an average of approximately 20,800ha a year would then be needed to meet the statutory habitat target by 2042. This required trajectory is shown in Figure 1. 

While the trajectory outlines average annual targets, we do not expect delivery to be consistent year on year. Some years are likely to see higher levels of delivery as larger projects, such as those in the Landscape Recovery scheme, begin to deliver. 

Figure 1. Required trajectory for the interim habitat targets. Source: Defra

 

Monitoring and evaluation summary 

The metric we will use for monitoring the interim target is the gross number of hectares of habitat created or restored since January 2023. The metric will be updated annually, subject to data availability. The latest progress update was published in May 2026 in Environment Act Habitat Target - Evidence Report 2026 (JP075).  

The metric produced following analysis in March 2026 indicates that, since 30 January 2023, there are 77,638 hectares where action has been or is being taken towards the Habitat Target. Some delivery mechanisms have well-established monitoring while others are developing or have gaps in reporting. We are improving consistency and coverage of monitoring data across delivery partners and programmes. 

Detailed guidance on the type, format, and quality of data needed to support robust reporting is provided in Environment Act habitat target reporting data model and standard (TIN223)

As habitat creation and restoration should contribute to the Lawton principles of bigger, better, more and joined up sites for nature, data will also be analysed to see if delivery is supporting this ambition by increasing the size and connectivity of habitat patches.

Annex A – Countryside Stewardship and Sustainable Farming Incentive actions that count towards the Habitat Target as of October 2025

Option codes help refer to the different actions that can be done as part of an agri-environment scheme agreement. You can find the options codes using the Find funding for land or farms tool on GOV.UK.

Option Code Action description Reporting considerations
AB8 Flower-rich margins and plots Total Arable Field Margins cap at 40kha above January 2023 baseline
CAB18 Flower-rich grass margins, blocks, or in-field strips (on arable land or permanent crops) Total Arable Field Margins cap at 40kha above January 2023 baseline
CIPM2 Flower-rich grass margins, blocks or in-field strips Total Arable Field Margins cap at 40kha above January 2023 baseline
CWT2 Buffer in-field ponds and ditches on arable land  
IPM2 Flower-rich grass margins, blocks, or in-field strips Total Arable Field Margins cap at 40kha above January 2023 baseline
CCT2 Make space for new coastal habitat  
CCT4 Create intertidal and saline habitat on arable land  
CCT5 Create intertidal and saline habitat by non-intervention  
CCT7 Create intertidal and saline habitat on intensive grassland  
CT2 Creation of coastal sand dunes and vegetated shingle on arable land and improved grassland  
CT4 Creation of inter-tidal and saline habitat on arable land  
CT5 Creation of inter-tidal and saline habitats by non-intervention  
CT7 Creation of inter-tidal and saline habitat on intensive grassland  
CGS22 Manage priority habitat species-rich grassland Only when in combination with GR3
GRH6 Manage priority habitat species-rich grassland (endorsed) (available shortly) Only when in combination with GR3
GR3 Floristically enhanced seed mix for grassland habitat  
GS7 Restoration towards species-rich grassland  
GS8 Creation of species-rich grassland  
CLH2 Restore lowland heathland  
CLH3 Create lowland heathland  
LH2 Restoration of forestry and woodland to lowland heathland  
LH3 Creation of heathland from arable or improved grassland  
BN11 Planting new hedges  
BN7 Hedgerow gapping-up  
WN7 Restoration of large water bodies  
BE5 Creation of traditional orchards  
CBE5 Create traditional orchards  
WN12 Create or restore ponds  
WN5 Pond Management (first 100 sqm)  
WN6 Pond Management (areas greater than 100 sqm)  
BFS2 Buffer in-field ponds on arable land Counting any amounts above the baseline amount from January 2023 only, to distinguish restoration versus management.
BFS3 Buffer in-field ponds on improved grassland Counting any amounts above the baseline amount from January 2023 only, to distinguish restoration versus management.
BFS6 6 to 12 metres of habitat strip next to watercourses Counting any amounts above the baseline amount from January 2023 only, to distinguish restoration versus management.
CWT1 Buffer in-field ponds and ditches on improved grassland Counting any amounts above the baseline amount from January 2023 only, to distinguish restoration versus management.
SW11 Riparian management strip Counting any amounts above the baseline amount from January 2023 only, to distinguish restoration versus management.
WT1 Buffering in-field ponds and ditches in improved grassland Counting any amounts above the baseline amount from January 2023 only, to distinguish restoration versus management.
WT2 Buffering in-field ponds and ditches on arable land Counting any amounts above the baseline amount from Jan 2023 only, to distinguish restoration versus management.
CSW12 Make room for the river to move Counting any amounts above the baseline amount from January 2023 only, to distinguish restoration versus management.
CSW22 Connect river and floodplain habitats Counting any amounts above the baseline amount from January 2023 only, to distinguish restoration versus management.
SW12 Making space for water Counting any amounts above the baseline amount from January 2023 only, to distinguish restoration versus management.
CWD8 Create scrub and open habitat mosaics  
SCR1 Create scrub and open habitat mosaics  
WD8 Creation of successional areas and scrub  
CSP2 Rewetting supplement Only when done with WN1
CWT10 Manage lowland raised bog Only when done with WN1
CWT14 Create fen, reedbed or wetland mosaics  
FM2 Major preparatory work for Priority Habitats (creation and restoration) and Priority Species Only when done with UP5
SP2 Raised water level supplement Only when done with FM2
UP5 Moorland re-wetting supplement Only when done with SP2 and WN1, or FM2
WN1 Blocking Grips or Drainage Channels Only when done with SP2 and UP5, or CWT10, or WT10, or FM2
WT10 Management of lowland raised bog Only when done with WN1
WT7 Creation of reedbed  
WT9 Creation of fen  
CWD20 Create wood pasture  
WD12 Creation of upland wood pasture  
WD6 Creation of wood pasture  
CWS2 Manage and restore plantations on ancient woodland sites (PAWS) supplement Only parcels that were majority ‘conifer’ or ‘mixed mainly conifer’ according to the 2022 National Forest Inventory (NFI) can count.
WS2 Plantations on Ancient Woodland Sites (PAWS) - restoration and maintenance Only parcels that were majority ‘conifer’ or ‘mixed mainly conifer’ according to the 2022 National Forest Inventory (NFI) can count.