DROITWICH AND EVESHAM MP Nigel Huddleston has repeated his support for the thousands of farmers who returned to Westminster this week to protest about inheritance tax changes.
Mr Huddleston joined hundreds of farmers and tractors as they descended on the capital to share their opposition to the tax changes introduced by Chancellor Rachel Reeves at the Budget last October.
Previously farms and assets could be passed down through generations whilst avoiding tax hits through Agricultural Property Relief (APR).
Now farms and assets will be taxed at 20 per cent on any value of property over £1 million, which is payable over a 10 year period. There is a £3 million threshold for married couples or those in civil partnerships.
Many fear the policy will force families to sell or break up land that has been cultivated for generations in order to cover the increased tax burden.
Others recognise the government’s attempts to clamp down on wealthy individuals who purchase farms to avoid paying inheritance tax, yet statistics argue these individuals are unlikely to be the only ones affected.
The County Land and Business Association (CLA) estimates there are 70,000 farms in the UK valued at £1 million or more. The Treasury, meanwhile, estimate around 500 farm estates will be affected by the changes each year.
However, tax is only paid once a property is inherited.
The tax was the subject of an emergency debate after over 140,000 people signed a petition calling for the cancellation of the measure. However, the tax changes have garnered support from many as they plan to tackle
Nigel Huddleston MP said: “Farmers aren’t just running businesses – they are the backbone of our rural communities and custodians of our landscape. Labour simply doesn’t understand the countryside.
“I will continue to stand with our farmers and fight against this unfair tax. The government must listen to the voices of those who put food on our tables before it’s too late.”
During our previous reporting on this issue in the Standard, the Department for Food, Environment and Rural Affairs (Defra) recognised ‘confidence amongst farmers is at a record low’.
In January this year, Steve Reed, Secretary of State for Environment, Food and Rural Affairs announced plans to set out his vision for the future of farming.
He said: “The primary purpose of farming has – and always will be – to produce the food that feeds the nation.
“Too many policymakers in Whitehall lose sight of that fact.
“This Government is putting food production firmly back on the agenda.”
This Government is planning to work in partnership with the food and farming sectors to deliver improvements.
The secretary of state is expected to announce reforms to back British produce, diversify income streams for farmers, provide a fair supply chain, and protect farmers in trade deals.
The recently announced 25-year farming roadmap, expected later this year, is regarded as the blueprint for this.
