Young farmers warning over future if tax isn’t overturned
The next generation of farmers and growers producing food for the country will give a stark warning about their future in the industry and the survival of family farms, following the inheritance tax changes announced at the Budget.
A number of young farmers will voice concerns with MPs at a drop in event ahead of a Westminster Hall debate on the family farm tax petition.
They were acting on the same day 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.
George Cowper from Warwickshire, said: “I farm alongside my two brothers and parents, it’s a proper family affair. 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.”
NFU President Tom Bradshaw said: “From the stories we’re hearing, it is clear the impact of this tax hike will be felt not just today for but for generations to come."
"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.
“On the back of the report from the National Preparedness Commission last week, raising serious concerns about the country’s food security, there has never been a more important time to unlock the potential of the farming industry, to invest for the future of food production and deliver the growth our economy desperately needs.
"Instead, we have a policy that is inhumane, will stifle investment and hits the hard-working family farms that produce this country’s food.
“The figures that Treasury is using to create this policy have been disputed by almost everyone. That includes previously supportive tax experts and the government’s own levy board AHDB saying that 75% farms will be impacted. Even the Office for Budget Responsibility (OBR), used by Treasury as a reliable fiscal barometer, has said it is highly uncertain whether the measures will raise the £500m the Treasury – which it did not consult with anyone on before launching the changes – claims it will raise. The OBR also said, ‘it is likely to be more difficult for some older individuals to quickly restructure their affairs in response to the measure’.
“When the multiple strands of evidence look this stark, simply digging in and holding a position can’t be the right option. Dialogue and solutions have to be the way forward for everyone and I remain committed to finding those constructive solutions with the Chancellor.”
