UK Inheritance Tax Reform Sparks Outcry Among Farmers
UK Inheritance Tax Reform Sparks Outcry Among Farmers

UK Inheritance Tax Reform Sparks Outcry Among Farmers

News summary

In a heated Westminster debate, Labour MP Steve Witherden expressed deep concern over impending inheritance tax changes that could adversely affect farming families, with one couple reportedly wishing for death to spare their children from financial burdens. Starting in April 2026, the proposed changes will cap agricultural property relief at £1 million, introducing a 20% inheritance tax for farms passed on through wills, which critics argue could force families to sell their farms. The Office for Budget Responsibility has warned of significant consequences, particularly for older farmers, emphasizing a lack of proper consultation before implementing such policies. Witherden has called for exemptions for elderly farmers and an increase in the threshold to protect family farms from being broken up due to tax liabilities. Other politicians, including Plaid Cymru's Ann Davies, have echoed the need for fairer tax strategies, urging taxation at the point of sale instead of inheritance. The backlash against the government’s plans has intensified, with calls for a reconsideration of these changes to prevent dire outcomes for farming communities.

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