Sir Keir Starmer has reiterated his claim that the majority of farms and farmers will not be impacted by the changes to inheritance tax introduced in the Budget, despite growing concerns and protests. The controversial tax hike, set to take effect in April 2026, will require farmers to pay 20% on inherited agricultural assets valued over £1 million.
Critics argue that this tax increase could have detrimental effects on family farms, which form a significant portion of Britain’s agricultural sector. In response to the mounting opposition, Prime Minister Starmer has defended the government’s decision by highlighting the substantial financial support allocated to farming in the Budget, emphasizing that the majority of farms will not be affected by the inheritance tax changes.
As farmers prepare to stage a major protest in London and the National Farmers’ Union plans to lobby MPs, tensions surrounding the issue continue to escalate. The protest, initially estimated to draw 5,000 to 10,000 participants, has been relocated to Westminster due to overwhelming interest.
The demonstration will feature farmers’ children leading the march on toy tractors to symbolize the impact of the Budget on the future of farming and rural areas. Notable figures such as Jeremy Clarkson and NFU president Tom Bradshaw are expected to address the crowd, expressing their dissatisfaction with the government’s decision.
Despite Treasury data suggesting that the majority of farmers will not be subject to inheritance tax under the new regulations, discrepancies in figures and concerns over unintended consequences persist. Labour peer Baroness Mallalieu has criticized the changes, citing discrepancies in data and a lack of thorough impact assessment.
In a show of protest, farmer Gareth Wyn Jones has announced his decision not to sell lamb or beef in response to the tax hike, warning of potential food shortages and price increases. He emphasized the importance of affordable and nutritious food production, cautioning that additional taxes could disproportionately impact vulnerable communities.
The ongoing debate surrounding the inheritance tax changes underscores the deep-seated concerns within the farming community and the broader implications for the agricultural sector. As farmers and supporters mobilize to voice their opposition, the government faces mounting pressure to reconsider its stance on the issue and address the underlying challenges facing the farming industry.
