The main National Park Grant is determined under a three year funding settlement until the end of financial year 2010/11. In 2008/09, central government funding for National Parks in England totalled £47.5 million (via Defra) specifically for the purposes of designation. This includes a Sustainable Development Fund component of £200,000 per National Park, which National Park Authorities administer by giving direct grants to projects in their area.

The Yorkshire Dales National Park Authority received a Defra grant of £5.372 million in 2008/09 which will rise to £5.672 million by 2010/11. The Lake District National Park Authority received a grant of £6.691 million in 2008/09 which will rise to £7.275 million by 2010/11. Funding beyond 2011 will be the subject of the next round of grant negotiations. While the outcome is impossible to predict, the prevailing economic climate at the time will clearly play an important role. It is reasonable to assume that in determining the level of grant, the Government will take account of any increase in size of a National Park or any increase in administrative complexity arising from the addition of local authorities to a National Park.

In addition to direct grant funding, National Parks are also able to use their grants to ‘match’ against other grants. They are also able to raise money from trading activities. For instance, the Lake District National Park Authority raises about a third of its total income from trading activities.

Barbon Fell from near Bullpot Farm © Natural England & Simon Warner