Small Farms and Family Businesses

Lord Taylor of Holbeach Excerpts

Thursday 12th December 2024 Lords Chamber

[Lord Taylor of Holbeach (Con)]

My Lords, it is a real privilege to follow my noble friend Lady Cumberlege. She has been a remarkable Member of this House and we are very lucky to have had a speech which was so characteristic of her. My noble friend was in this House 16 years before I came here, and I came 18 years ago. So she has been here an awfully long time and has done so much.

The House listens to her in a way that it does not listen to others. When she rises, whether at Question Time or in debate, the House gives way to her, because Members know she is an interesting contributor to whatever is being discussed. She has done so much. She is really well known. She was known in my household when my wife was involved with social services in Lincolnshire. She has been involved in all these reports on community nursing and maternity services and the emancipation of women through medical care and home care. My noble friend was also a Minister in the Department of Health when my noble friend Lord Waldegrave was the Secretary of State. He and I share offices and I know he pays tribute to her as well.

Hers has been a dedicated life, lived for others, and she has achieved so much. She is quietly spoken but, as her former Chief Whip, I can say that she is steely of purpose. I think her vocation came from her early education. She described being taught to care for others and, by caring for others, she herself has taught us that we can help, wherever we sit in this place, by caring for other people.

I turn now to the subject of the debate. My interest in this debate is twofold. People will know that I am a farmer and grower. In fact, I am retired from my family business; like others, I have moved on. I moved here House instead. It is a very important business in its sector.

I believe that this particular debate gives us a chance to show the impact this will have on businesses such as my own family’s. Fortunately, it has not affected my generation but it will successive generations. I have a grandson at Newcastle University—the right reverend Prelate the Bishop of Newcastle will be following me later—who wants to go into the family business. Our customers are small businesses in the main: garden centres and retailers. We all face the imposition of a tax on death that is a total disincentive to what really matters.

I believe in the Government’s growth agenda and I want it to succeed; I want this Government to provide this country with economic growth because that will furnish us with everything that we plan for ourselves and our colleagues, in terms of care, education, training, job opportunities and everything else. I believe they have made a great mistake with this tax, because they have destroyed the concept of investment and that is what is needed for people to make progress in business. If investment is going to be taxed on death, it is a discouragement from making that sort of investment.

We need to achieve food security in a global world that needs food and be efficient in the way we produce it. Our farmers need to feel that they are doing the right thing by investing in the future of their business, and they will be discouraged by the concept that they may well be taxed on the benefits that they are giving through their life’s work within such a business. It is a global task, and the farming industry needs investment just like any other.

I asked the Minister about this, and he replied to my Written Question on Monday about the consequences of this tax. There is no impact assessment; there is no concept in Government of what the impact of this tax will be. I think we have all gathered what it may well be from this debate, but there is no impact assessment. Instead, I got a scenario about how the tax will be levied.

I am president of the Institute of Agricultural Management. I believe in investment, in progressive agriculture and that we can do better than we do now. We are doing well now but we can do better, but only if farmers are encouraged to invest. As was pointed out by my noble friend Lord Leicester in moving this debate, investment will actually increase tax yields and give the Government more money. I cannot, for the life of me, think why they chose to take this path. I regret it very much and feel that it is a great mistake.