Rural Affairs
Debate between Daniel Zeichner and Harriet Cross(1 week, 4 days ago)
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Harriet Cross (Gordon and Buchan) (Con)
In my constituency and across the country, family farmers are the custodians of our countryside. For generations, they have contributed to our nation’s food security and land stewardship, provided employment, supported local supply chains, and brought rural communities together. The changes to agricultural property relief—this family farm tax—is the wrong tax aimed at the wrong targets. As we have heard many times, farms, while asset rich, are cash poor. Most farmers do not have hundreds of thousands of pounds of cash available to pay an inheritance tax bill, so they will have to sell the very assets that they use to farm to raise capital.
Harriet Cross
The Minister shakes his head, and he has been shaking his head throughout the debate. The issue is this: the Government are not listening to farmers the length and breadth of the country. They are not listening to the National Farmers Union, and they are not listening to the CLA. People who speak for the farming community, people who represent the farming community, are not being listened to, and that is why they are in this position. It does not matter, it seems, how much we say to the Minister, or how much we say what our constituents are saying. The Government are not listening, and they are not willing to listen.
Last Friday, I met members of NFU Scotland’s north-east region. Perhaps the Minister will not listen to this either, but they told me about some matters that they had been concerned about. One was a farmer whose father, aged 90, still owns the land and still farms it. He said to me, “I will have to sell. I thought I had a lifetime of farming ahead of me, but now it turns out that I only have what is left of my father's lifetime.” He did not sound angry; he just sounded broken. Another put it like this: “It is just a waste. Do they”—the Government—“not understand the resource that we have invested into family farms for generations—the skills, health and safety, teaching about husbandry and agronomy? We invest so much more than just money into farms, and this will all be lost. It is just such a waste.”
In their manifesto the Government said that
“food security is national security.”
They reiterated that last week, adding:
“The Government’s commitment to supporting farmers and rural communities is unwavering.”—[Official Report, 4 November 2024; Vol. 756, c. 23.]
However, in the few months since the election, the Government have done nothing to justify those claims. Granting solar farms on prime land, taxing fertiliser, removing the ringfence from the agricultural budgets for Scotland, Wales and Northern Ireland, and making changes to inheritance tax will impact family farms for generations. The Government have missed a key point: it is not words that impress or satisfy our farming communities; it is action, and so far this Government’s actions have let our farmers down.
Budget: Implications for Farming Communities
Debate between Daniel Zeichner and Harriet Cross(2 weeks, 4 days ago)
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Daniel Zeichner
The hon. Gentleman well knows the financial state of the country that we inherited. Difficult decisions had to be made.
Harriet Cross (Gordon and Buchan) (Con)
The average farm in Aberdeenshire is 490 acres, and average values are about £5,000 an acre for bare land. Once the farmhouse, building machinery and livestock are added, that is suddenly well over the inheritance tax threshold and have a huge IHT bill of hundreds of thousands of pounds coming your way. DEFRA figures show that 19% of farms do not make a profit and 24% make less than £25,000, so does the Minister suggest that farmers sell the land they use to grow the food, sell the machinery they use to harvest the food or sell the buildings they use to store the food, in order to pay this bill?
Daniel Zeichner
The hon. Lady will know that farming policy is different in Scotland, but on the tax issues, which are UK-wide, that is absolutely right, but I would suggest that she gets her farmers to look in detail at these proposals, and what they will find is the vast majority—[Interruption.] When they look at them in detail, they will find that the vast majority will be absolutely fine.