Ministers have been urged to offer subsidies to British farmers to restore natural habitats on the ‘least productive’ agricultural land.

New analysis suggests that the government must incentivise farmers to keep food yields high on ‘productive land’ while using less fertiliser and pesticides.

Think tank Green Alliance notes that reductions of a quarter are possible without loss of food production.

The authors of the report stress that nature restoration and carbon removal policies should be guided towards areas poorly suited to producing food.

They said: “Expecting every parcel of land to produce food, nature, carbon removal, recreation and flood abatement in equal measure is a recipe for failure.”

A Defra spokesperson told ELN: “The land-based subsidies retained from the EU did nothing for food production or the environment.

“We have always been clear that farming and the environment must go hand in hand. Healthy soils, abundant pollinators and clean water are the foundations of food production, which is why our new schemes will support farmers to adopt sustainable agricultural techniques and make space for nature.

“We have committed to maintain all of the agricultural funding this Parliament and it will be for each farmer to choose what agreement works best for their business.

“We have had significant interest in Landscape Recovery, and most applicants are farmers including tenants. We committed to follow demand for our schemes in a way that supports our outcomes.”