Agricultural Property Relief

Steve Witherden Excerpts

Tuesday 28th January 2025 Westminster Hall

[Steve Witherden (Montgomeryshire and Glyndŵr) (Lab)]

It is a pleasure to serve under your chairship, Mr Stringer. I congratulate the hon. Member for Caerfyrddin (Ann Davies) on securing this important debate about a topic of major concern for many of my constituents.

Farming is at the heart of Wales’s social fabric, playing a vital role in our economy, food security and stewardship of the beautiful Welsh countryside. On Saturday, I met representatives of the FUW in Llansilin and NFU Cymru at a farm in Llanerfyl to discuss the ongoing challenges that farmers face. Farming is currently the least profitable sector of our economy, and changes to APR are having a significant impact on family-run farms.

A lifelong farmer in my constituency raised her children on her 220-acre farm. Although considered small, the farm is valued at more than £1 million. Her 48-year-old son, who has farmed alongside her since the age of 18, had hoped to take over the farm. His young daughters now share his passion. Sadly, they now face the prospect of losing the farm they have worked so hard for.

Let me be clear. I support progressive taxation to ensure that the wealthiest pay their fair share towards the upkeep of our society. In the 21st century, we see individual plutocrats and super-wealthy multinationals buying agricultural land to avoid paying inheritance tax, with no intention of using it for farming. That reduces our farmed land—something we can ill afford, given our fast-growing population in an unstable world.

The proposed changes to APR for farmers come on the back of this and more, and feel like the straw that broke the camel’s back, or as we would say in Wales: “Yr hoelen olaf yn yr arch.—[Translation: The final nail in the coffin.]”—if the hon. Member for Caerfyrddin can forgive my north-east Wales accent. The changes risk having a deeply detrimental effect on working family farms. What is at stake here? Food security. I have repeatedly spoken in the Chamber about my heartbreaking experiences with hungry children and food banks. In recent years, we have seen something that many never thought they would witness: food scarcity, empty shelves in the supermarkets and astronomical food price inflation. It cannot be overstated how that period of food inflation has affected the poorest in our country.

I will not say more about the proposed APR policy as a whole. Prior to my election in July, I attended 10 hustings —we do like our hustings in mid-Wales; my thoughts on this topic are well-known and on the record. However, I will speak about mitigations. First, I respectfully request that the Minister considers raising the threshold. If this policy is to target those who buy farmland solely to dodge inheritance tax, then let us make it so: raise the threshold and actually increase the rate for people like that, so that no family farm is affected.

Secondly, I implore the Minister to look at an exemption for farmers who—I risk sounding macabre, but I want to make myself clear—are too late in life to plan for this proposed change. I hope the Minister and you, Mr Stringer, can forgive my emotion. When you sit with an elderly farmer and his wife, both fighting back the tears, and they say, “If only I could die now, if only there was some kind of pill I could take now, so that my children don’t have to worry about this,” that has a profound effect. Diolch.