FARMERS across the state will continue to benefit from the free, independent planning and support provided by the Rural Financial Counselling Service (RFCS) following an announcement of $5 million to be spent over the next three years.

The funding matches an allocation provided by the Federal Government and brings NSW back on board in supporting the service after the co-funding arrangement stalled in mid 2021.

"Overall this is a very positive result," said David Galloway, Executive Officer of the RFCS NSW.

"Last year NSW was the only state not to co-fund the service and we've been working closely with them to have this decision reversed."

"It's a real positive for the service that the government has decided to continue funding so we can continue to provide this great service to farmers."

Mr Galloway says that the detail behind the announcement is yet to be confirmed however the funding is essentially a reinstatement of the previous funding and also an increase.

He says it has come just in time to enable staff to be retained, and more counsellors recruited, when resources had looked to have reached their limit.

"Both organisations who are funded to deliver the service in NSW had made a commitment to farmers to try to maintain staffing levels," Mr Galloway said.

"We are only small not for profits but we were able to maintain some roles throughout the year but as staff left we were unable to replace them.

"We had to look at decreasing staff from the end of June," he said.

About 50 counsellors currently service the state, including positions in Coonamble, Walgett, Mendooran, Nyngan, Bourke and Condobolin.

The Dubbo office currently has no rural financial counsellor following a recent resignation, however, the state government's contribution will allow recruitment to proceed.

Despite the end of the drought and the return of good seasons, Mr Galloway says the Rural Financial Counselling Program still has an important role to play in supporting agriculture in regional areas.

"People do link us to tough times but the best time to review is when things are not too bad, when you're under less financial pressure and less personal stress," he said.

"Now is a good time to plan for the next drought, the next mouse plague or flood.

"Our role really ramps up during this time as a lot of people are looking to focus on the resilience of their business."

Although the RFCS works closely with the new Resilience NSW department, the overlap anticipated by the state government has not eventuated.

"The government has invested in the Farm Business Resilience Program but to take advantage of that program you and your business really need to be in the right space and we've provided a lot of that support over the past 12 months to get people ready to participate in that program," Mr Galloway said.

"Our service isn't a hand out, it's a hand up and I think the government has seen the benefit of that."

In March and April the RFCS also assisted around 1500 farmers impacted by the floods, helping them to access the special disaster relief grants set up by the government and to plan for their ongoing recovery.

The RFCS are continuing to actively support around 550 farm-based clients across the state.

“These counsellors provide a crucial service, giving financial advice and helping with successional planning, farm debit mediation and guidance on what government assistance is out there for our primary producers who have endured an onslaught of natural disasters in recent years,” said Minister for Agriculture Dugald Saunders when announcing the new funding.

"The RFCS has assisted farmers, fishers, forestry growers and harvesters experiencing, or at risk of, financial hardship for 30 years."