Sir Keir Starmer is facing backlash from farmers after the Budget extended inheritance tax to family farms for the first time in history. This unexpected move has left farms worth more than £1m subject to a 20% inheritance tax, leading to concerns and frustrations within the farming community.
Many farmers feel deceived by Starmer, who had previously promised to build a new relationship with them, providing certainty and support. The decision to implement the “tractor tax” has been met with criticism as farmers are already grappling with the aftermath of Brexit, the end of the Common Agricultural Policy, and new UK subsidy policies that are not effectively supporting them.
The increase in minimum wage and employer national insurance contributions only adds to the financial burden on farmers, who are struggling to make ends meet. The lack of consultation and impact assessment on the inheritance tax decision has further fueled the discontent among farmers, who feel that their livelihoods are at risk.
Farmers like Gareth Wyn Jones, whose family has owned their farm for 375 years, fear that they may be the last generation to farm the land. The new tax poses a significant threat to family farms, as the majority of them will now be subject to additional financial pressures that they cannot absorb.
The National Farmers Union (NFU) has expressed deep concerns about the impact of the Budget on farm confidence, with NFU president Tom Bradshaw describing the new tax as disastrous. The uncertainty and financial strain imposed by the Budget have left farmers feeling vulnerable and worried about the future of farming in the UK.
Various public figures and organizations, including the Countryside Alliance and Liberal Democrats leader Sir Ed Davey, have criticized the government’s decision to implement the inheritance tax on family farms. They have highlighted the importance of supporting rural communities and ensuring the sustainability of British farms for future generations.
As farmers continue to voice their concerns and frustrations, it is clear that the unexpected Budget “tractor tax” has sparked a heated debate about the future of farming in the UK. The government’s decision has left many farmers feeling betrayed and uncertain about what lies ahead for their livelihoods and the agricultural industry as a whole.
