MPs are advocating for a one-year delay in implementing changes to farm inheritance tax, citing concerns over insufficient consultation prior to the policy’s introduction. The Environment, Food and Rural Affairs Committee has expressed that the policy could adversely affect the most vulnerable farmers. They are calling for a postponement until April 2027 to allow farmers more time to seek professional advice.
Concerns from the National Farmers’ Union
The National Farmers’ Union (NFU) has raised alarms regarding the impact of these changes on older farmers who may find it challenging to navigate the new regulations. Tom Bradshaw, president of NFU, stated:
"A delay does not take the pressure off older farmers who may struggle with the new rules."
Potential Impact on Farms
Estimates from both the NFU and the Country Land and Business Association indicate that up to 70,000 farms could be affected by these changes, a figure significantly higher than the 500 farms claimed by ministers.
Additional Issues Raised
The Efra committee has also highlighted concerns regarding the abrupt closure of the sustainable farming incentive environmental payments scheme in March of this year. This closure has left many farmers vulnerable due to a lack of funding for essential projects, such as:
- Tree planting
- Wildlife habitat creation
Conclusion
MPs believe that delaying the farm inheritance tax changes will provide essential relief for vulnerable farmers who are currently facing financial uncertainty due to government policies that directly impact their livelihoods.
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