OPINION Johann Tasker Budget changes not enough for our farming future

Planned changes to inheritance tax relief could help landowners and tenant farmers – but the government still lacks a coherent vision for agriculture as a whole.

The proposals would see agricultural property relief from inheritance tax extended to cover land in environmental land management – something which could encourage more growers and livestock producers to join the new farm support scheme.

Midland Farmer is a controlled circulation magazine published monthly for farmers and growers in the Midlands (Derbyshire, Herefordshire, Leicestershire, Lincolnshire, Northamptonshire, Nottinghamshire, Shropshire, Staffordshire, Warwickshire, West Midlands and Worcestershire) or companies supplying goods and services to the sector. To be included on the circulation list, a farmer must have a minimum of 70 acres of land, or 50 dairy/beef stock, or 50 breeding sows/250 growing stock, or 15,000 laying hens/broiler chickens. Intensive horticulture units are required to have a minimum of two hectares.

If you no longer wish to receive this magazine, please email your name, address and postcode as it appears on the wrapper to adam.gunton@micropress.co.uk

© Countrywide Publications 2023

Published by Countrywide Publications, Fountain Way, Reydon Business Park, Reydon Suffolk IP18 6DH

T: 01502 725800

Printed by Micropress

Printers Ltd T: 01502 725800

Analysts say the move will give more farmers greater confidence that changes in land use will not put their tax status at risk – and won't be penalised for helping to tackle the twin challenges of climate change and biodiversity loss.

The Country Land and Business Association and the Tenant Farmers Association have both argued that agricultural property relief should be changed. And both organisations – representing landowners and tenants – have welcomed the proposal.

Chancellor Jeremy Hunt announced the plan in last month's Spring Budget. A public consultation is now under way. But this was not a Budget that will help secure a future for UK agriculture or food production.

Despite global geo-political uncertainty, including the war in Ukraine, there is still no government plan to enhance or protect food security – a key issue highlighted repeatedly by NFU president Minette Batters.

Ag-inflation remains high – and so too do consumer food prices. Despite easing slightly high input costs threaten to render food production unprofitable, with growers in some sectors already curtailing output.

Energy prices are also prohibitive when it comes to ramping up production – with more support and certainty needed for farm businesses struggling to keep people fed affordably during the cost of living crisis.

If the government wants a future for farming, it must take agriculture more seriously – and recognise the importance of domestic food production – not just for the thousands of family farms across the country, but for the benefit of UK consumers too..

Johann Tasker Editor