Farmers Rally in London Opposing New Inheritance Tax Proposal – November 19, 2024

Thousands of British farmers protested in London against a proposed inheritance tax on farms valued over one million pounds, announced by the Labour government. With concerns about food security and the future of agricultural businesses, many expressed their frustration outside Downing Street. Despite government claims that most farms would remain unaffected, protesters fear rising property values may impact a significant number of them. The demonstration reflects broader struggles faced by farmers, including labor shortages and funding challenges.

Farmers Rally Against Inheritance Tax in London

On a rainy Tuesday, thousands of British farmers, some arriving in tractors, took to the streets of central London to voice their opposition to a newly proposed inheritance tax on certain farms, announced by the Labour government. The protestors gathered outside Downing Street, expressing their frustration over what they perceive as a government betrayal.

By midday, police estimated the crowd swelled to around 10,000. Many demonstrators carried signs with messages like “No farmers, no food” and “The tax war will destroy farms,” while others displayed boxes filled with fresh produce on the pavement to emphasize their point.

The Impact of Proposed Tax Changes

Olly Harrison, one of the protest organizers, shared his concerns with AFP, stating, “This ridiculous budget will bankrupt us all… it’s too much for us.” Tom Bradshaw, president of the National Farmers Union (NFU), emphasized that the human impact of this policy is unacceptable and warned that it could jeopardize British food security. He noted that the NFU had reached out to the Treasury for discussions but was met with a lack of response from the Minister of Economy, Rachel Reeves.

Historically, British farms benefited from an inheritance tax exemption designed to ease the transfer of agricultural assets. However, the Labour government announced on October 30 that this exemption would no longer apply to farms valued over one million pounds starting in April 2026. These farms will face a 20% tax rate, which is still significantly lower than the usual inheritance tax rate.

While the Treasury claims that three-quarters of farmers will be exempt from this tax, many protesters are skeptical. Graham Langer, a 63-year-old sheep farmer from Herefordshire, voiced his concerns for the future of his daughter, who aspires to take over the family farm. “This tax is a slap in the face for farmers and rural areas,” he lamented.

In response to the protests, Prime Minister Keir Starmer acknowledged the farmers’ concerns and stated that most farms would not be impacted. Environment Minister Steve Reed defended the government’s stance, claiming that the changes would only affect around 500 farms. However, critics argue that the threshold for these inheritance taxes could realistically apply to many more due to rising property values.

Many farmers highlight that 66% of agricultural businesses exceed the one million pound threshold, and the NFU estimates that 75% of commercial farms will face the brunt of these tax changes. Since Brexit, farmers have been grappling with labor shortages and a funding gap, losing support from the European Common Agricultural Policy (CAP) funds.

Claire, sister of farmer Anna, pointed out that the struggles faced by farmers extend beyond this tax issue, stating, “I don’t think people realize how much farmers have been struggling for several years to take care of their land and make a profit.”

Meanwhile, across the Channel, French farmers continued their own protests against the European Union’s free trade agreement with South American nations, further highlighting the challenges faced by the agricultural sector in Europe.

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