Farmers are protesting outside the Northern Farming Conference in Hexham in Northumberland against the Government’s inheritance tax (IHT) plans.
Farmers protest outside the Northern Farming Conference in Hexham in Northumberland (Image: PA)
Angry farmers have launched a mass demo at the Northern Farming Conference in Northumberland this morning.
Organisers said hundreds of people – some in tractors – were planning to attend the event in Hexham.
They are protesting against Labour’s proposed changes to Agricultural Property Relief (APR) and Business Property Relief (BPR).
The Daily Express is campaigning for Chancellor Rachel Reeves to U-turn on her proposal to slap a 20% IHT bill on family farms.
And National Farmers’ Union President Tom Bradshaw has urged his members to fight back against the measures announced in last week’s Budget.
Farmers protest outside the Northern Farming Conference in Hexham (Image: PA)
New Shadow Environment Secretary Victoria Atkins said the “crass decision” to remove some inheritance tax relief for farms has betrayed the Government’s lack of knowledge about the countryside.
She said: “This is a serious mistake that Labour has made in their Budget. Their lack of understanding of the realities of farming was revealed in the crass decision to slash years of careful tax policy to keep family farms intact and protected from inheritance tax.”
She suggested the move would make the UK more reliant on imports, adding: “If farmers have to set aside money for a potential tax raid rather than investing in the farm, it will no doubt impact food production, increase prices and make British farmers less competitive.”
Ms Reeves has defended her proposed reforms to inheritance tax on farms by claiming it is not “affordable” to keep the current system.
The Chancellor used her first Budget to announce a change to APR and BPR from April 2026 in a bid to secure more money for public services.
Budget documents state the Government wants to restrict the “generosity” of APR and BPR for the “wealthiest estates”.
The first £1million of combined business and agricultural assets will continue to attract no inheritance tax.
But for assets over £1million, inheritance tax will apply with 50% relief, at an effective rate of 20%.
The Chancellor said “only a very small number of agricultural properties” will be affected, although the NFU warned the reforms could force farmers to sell their family farms to pay the inheritance tax bill.
Ms Reeves said many “difficult decisions” were needed in the Budget in order to fix public services and place the economy on a firmer footing.
