Rural communities across England are set to benefit from up to £38 million of new government funding aimed at enhancing local infrastructure, services, and economic growth, the Department for Environment, Food & Rural Affairs (Defra) announced on March 5.

Up to £33 million of this funding will be channelled through the Rural England Prosperity Fund (REPF), which supports projects designed to improve infrastructure and essential services that directly benefit rural communities. This funding is expected to help rural businesses expand, generate jobs, and stimulate local economies.

Included in funding

The REPF will support a diverse range of community-led initiatives, including:

  • Establishing rural business hubs to provide shared workspace and facilitate networking opportunities for local businesses.
  • Developing new products and facilities or converting existing buildings to help rural enterprises diversify beyond traditional agricultural activities.
  • Creating community gardens and green spaces to enhance local environments.
  • Building new footpaths and developing local visitor trails to attract tourism and improve accessibility.
  • Upgrading kitchens in community hubs and improving facilities used by volunteer groups, youth charities, and carers organisations.

An additional £5 million is earmarked for ongoing services critical to rural areas. A portion of this will fund the Rural Community Assets Fund, supporting the refurbishment and development of community-owned properties, such as village halls and community centres.

This funding aligns with the government’s broader Plan for Change initiative, focused on promoting equitable economic growth throughout the country, including rural regions. Final allocations from the REPF to individual local authorities will follow the established distribution methodology, with detailed figures set to be confirmed and published shortly.

Daniel Zeichner MP, contributing to the announcement, highlighted the importance of the funding in strengthening rural economies and communities. He stated, “This investment reflects our ongoing commitment to supporting rural areas, ensuring they have the infrastructure, facilities, and services required for sustainable growth and vibrant community life.”

Further details on allocations and project eligibility criteria will be published by Defra in due course.