Member

The Secretary of State met National Farmers’ Union president Tom Bradshaw this morning. We absolutely understand farmers’ anxieties about the changes, but rural communities need a better NHS, affordable housing and public transport, and we can provide that if we make the system fairer. The reforms to agricultural property relief mean that farmers can access 100% relief for the first £1 million and 50% relief thereafter—an effective 20% tax rate. That means that an individual can pass up to £2 million, and a couple up to £3 million between them, to a direct descendant inheritance tax-free. Currently, 73% of agricultural property relief claims are for less than £1 million. The vast majority of farmers will not be affected. They will be able to pass the family farm down to their children just as previous generations have always done. It is a fair and balanced approach that protects family farms while fixing the public services that those same families rely on. It is part of a Budget that will restore economic stability and begin a decade of national renewal”.