Heterogeneity of preferences for the benefits of Environmental Stewardship: A latent-class approach

Since 2005, Environmental Stewardship (ES) has been the principal agri-environment scheme for England and is the key instrument for the delivery of increased environmental benefits from agricultural landscapes. The main objective of this study is to investigate whether or not individuals' preferences for the environmental benefits associated with ES vary depending on types of landscapes within which these benefits are delivered. A latent class model is applied to data obtained from a choice experiment survey of over 1000 respondents sampled across England. The results suggest that individuals have heterogenous preferences for the benefits of ES, though different segments of the population with more homogenous preferences can be identified. In particular, higher levels of benefit are often associated with the operation of ES in landscapes close to where respondents live. This leads to the suggestion that, in order to maximise the benefits of ES, its implementation could take this result into account by encouraging greater uptake from farmers whose land is closer to large populations.