A number of young farmers and growers have voiced their concerns to MPs today at a drop-in event ahead of a Westminster Hall debate on the family farm tax petition.
The event was an opportunity for MPs to hear from 14 young farmers and growers about how the family farm tax will impact them. Representatives from the south, north, midlands, east and Wales attended.
The removal of vital reliefs means that they will be the generation burdened with unaffordable tax bills. This could force them out of the industry and will reduce their ability to invest in their own future, leading to the potential contraction of UK food production.
This is on the same day as hundreds of tractors descended on Whitehall – the third time since the Budget that the farming industry has come en masse to show the strength of feeling against the family farm tax.
What did young farmers have to say?
‘We won’t be able to invest’
Photograph: Mike Wilkins
Mike Wilkins from Wiltshire attend the drop-in session. He said: “Farming is an incredible job and I feel so lucky to be able to spend my days trying to produce the most sustainable food possible for the country, but that has now all been cast into doubt.
“On my family’s farm, my dad is still the primary owner as this was the best tax advice given ahead of the Budget. Now, my sister and I face a possibly crippling tax bill that we just don’t have the funds to cover and could impact our ability to produce food for the nation.
“It also means we won’t be able to invest in our agriculture systems to meet our climate ambitions.”
‘Our land is everything’
Photograph: Amanda Watson
Beef and sheep farmer from North Yorkshire Amanda Watson said “our land is everything – it’s not just an asset on paper, it’s the foundation of our entire business”.
Amanda said if her family are made to pay the tax they won’t be able to continue farming. “Selling off parts of our land isn’t an option without destroying the farm,” she explained.
“The government’s inheritance tax policy fails to protect family farms like ours, ones that produce food, care for the environment and maintain biodiversity.
“It shows a complete disconnect from the realities of British farming. For the sake of families like mine, who are custodians of the land, looking after it for future generations to come, the government must listen to our concerns.”
‘My parents spent years building the business’
Photograph: George Cowper
Warwickshire farmer George Cowper said his farm is “a proper family affair”, as he farms alongside his two brothers and parents.
“We produce high welfare, nutritious poultry meat for the country as well as arable crops and some lambs. My parents spent years building the business and I feel terrible that it may be lost.
“We recently built a new state-of-the-art poultry shed to improve welfare and production, and we had scope to build another, but with the tax bill we face we can no longer take on the risk of investing money into the business.
“We’re not alone, there are many other businesses in the same boat.”
‘It is morally wrong’
NFU President Tom Bradshaw said it is clear from hearing these stories that the impact of the tax hike will be felt “not just today but for generations to come”.
He added: “This badly constructed policy affects so many people.
“It is morally wrong the elderly feel targeted, and we face turning away the next generation, who are excited to drive forward the sustainable production of the country’s food, because the family farm they have worked on could be wiped out by huge inheritance tax bills.”
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Tom said that it has never been more important to unlock the potential of the UK farming industry following the recent National Preparedness Commission report, which raised concerns about the UK’s food security.
He highlighted that “the figures the Treasury is using to create this policy have been disputed by almost everyone”, including previously supportive tax experts and the government’s own levy board AHDB.
New supplementary forecasting from the OBR (Office for Budget Responsibility) analysis also said that is ‘highly uncertain’ whether the measures will raise the £500m the Treasury claims it will.
The report goes on to say ‘it is likely to be more difficult for some older individuals to quickly restructure their affairs in response to the measure’.
Dialogue and solutions
“When the multiple strands of evidence look this stark, simply digging in and holding a position can’t be the right option,” Tom continued. “Dialogue and solutions have to be the way forward for everyone and I remain committed to finding those constructive solutions with the Chancellor.”
Tom and NFU North Riding and Durham representatives also met with local MPs Luke Akehurst and Sam Rushworth today during a roundtable meeting to discuss the challenges facing family farms in the area.
Tom later spoke at the farmer rally in Whitehall to stand with farmers and show we are not giving up the fight to stop the family farm tax.