There will be more trees, meadows and wetlands - and fewer sheep and cows as controversial EU farm subsidies are phased out.
Ministers say it represents the most fundamental shift in farming policy for 50 years.
Under the outgoing EU system, farmers got taxpayers' money based on the amount of land they farm.
So in many cases, that has meant the richer the farmers, the bigger the grant they get.
This scheme will be replaced in the UK when the post-Brexit transition period ends on 31 December.
The new system, named Environmental Land Management (ELM), will pay farmers if they prevent floods, plant woods and help wildlife.
Environment Secretary George Eustice told BBC Breakfast the changes would not happen overnight, and that prices for food "will remain broadly stable".
"This will be an evolution not a revolution," he said, although farmers warned of a chaotic future with supermarkets engaged in a price war, and uncertainty over new trading rules after Brexit.
A document published on Monday confirms that the old area-based subsidies will be halved by 2024 - and abolished by 2028. The cash saved will be transferred into the new environmental ELM system.
Ministers say the EU policy was morally wrong, because it paid the biggest government subsidies to the richest farmers. A billionaire Saudi was even subsidised to breed racehorses.
Farmers will get grants for
Protecting 'heritage' farm buildings and stone walls
Expanding hedges
Capturing carbon in soils and cutting pesticides
Natural flood management including restoring river bends
Landscape recovery, restoring peatland and planting new woods
Reducing antibiotics
Improving animal health and welfare
2px presentational grey line
The changeover will mean upheaval for farmers, and some may be unwilling or unable to adjust. Ministers have confirmed a lump-sum payment for those who decide they want to retire "with dignity".
This should increase the UK’s low levels of farm productivity, because experts say younger farmers are typically more willing to try new methods.
The total being transferred from area-based payments to environmental payments is £1.8bn a year for England.
Ministers say the changes will lead to a “renewed” agricultural sector producing healthy food for consumption at home and abroad, and to environmental improvements across the country.
