Farmers across the West Country are raising the alarm over government plans to impose a 20% inheritance tax on agricultural estates worth over £1 million. They warn this “death tax” could irrevocably damage the future of family farming and jeopardize the nation’s food security.
At Sedgemoor Market on September 6, members of the Farmers to Action campaign gathered to launch the “Trailer of Truth,” a mobile protest collecting messages from farmers to be delivered at the Labour Party conference in Liverpool later this month.
Starting April next year, proposed reforms to agricultural property relief would levy a 20% tax on large farmland estates. While the government maintains this will impact only a small number of farms and help fund vital public services, farmers insist the policy is unfair and threatens the survival of already struggling family-run operations.
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Charlie Walford, a third-generation farmer near Somerton, Somerset, expressed his frustration: “You cannot tax a population into prosperity. Paying tax on everything and then being taxed when you die is absurd.” Managing 500 cattle and arable land, Charlie revealed he made just over £12,000 in taxable profit last year. “To pay this tax, I’d have to sell half the farm. Who will buy it? Developers or investors looking to build houses or install solar panels.”
He warned the tax would push out older farmers without supporting new entrants. “The government is forcing out the elderly farmers, while withdrawing funding from young farmers. What future does that leave for our industry?”
Duncan Palmer, a fourth-generation farmer from Martock, added: “Many farms labeled ‘small’ by the government’s criteria simply don’t generate enough income to pay these taxes. It’s a poorly conceived policy that threatens the backbone of British agriculture.”
Joe and Victoria Broughton, who run a mixed farm in South Petherton, feel the pressure from every angle. “Whether passing a farm down or trying to keep it running, this government’s policies feel like constant attacks,” Victoria said. “For those working tirelessly, these taxes strip away incentives; funding for young farmers has been cut. We’ve had enough.”
Neil Parish, former MP for Tiverton and Honiton, voiced his support: “Labour doesn’t understand farming. We need more food production, not less. These inheritance tax changes will reduce output and increase stress on farming families.”
The trailer is touring the South West, gathering signatures and messages intended to urge Labour’s front bench to reconsider the reforms before implementation.
A government spokesperson responded: “We remain committed to sustainable farming and food security, having allocated a record £11.8 billion to these goals. Most farms benefiting from Agricultural and Business Property Relief will not be affected by these changes. Data shows that 40% of Agricultural Property Relief — valued at £219 million — went to just 117 estates. Revenues raised will fund essential public services.”
Farmers to Action plan to continue their campaign through the South West before heading to Liverpool, hoping to make a powerful statement against the inheritance tax changes.