Budget: Implications for Farming Communities Debate
Full Debate: Read Full DebateDepartment: Department for Environment, Food and Rural Affairs
Lord Roborough
Main Page: Lord Roborough (Conservative - Excepted Hereditary)Department Debates - View all Lord Roborough's debates with the Department for Environment, Food and Rural Affairs
Budget: Implications for Farming Communities
Lord Roborough Excerpts(2 days, 5 hours ago)
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Lord Roborough (Con)
My Lords, I refer the House to my interests as set out in the register, including as a farmer. The removal of half of inheritance tax relief over £1 million under agricultural property relief and business property relief is an attack on all family-owned businesses. Working family farmers are the least able to afford this tax due to high asset values and low incomes. How can the Minister defend this tax to the family farming community and all family businesses, where investment, entrepreneurship and aspiration are now undermined?
The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Baroness Hayman of Ullock) (Lab)
My Lords, we understand farmers’ anxiety at changes to agricultural property relief. However, the vast majority of those claiming relief will not be affected by the changes. The latest data available shows that the top 7% of claims for agricultural property relief in 2021-22 accounted for 40% of the cost of the tax relief, with the top 2% accounting for 22% of the cost. Most families will be able to pass the family farm down to their children, just as previous generations have always done.