Proof that Rachel Reeves is reconsidering hated Family Farms Tax | Politics | News
Liberal Democrats say they have evidence the Treasury is reviewing Rachel Reeves’ hated Family Farms Tax, despite the insistence of ministers. In a Freedom of Information request asking what analysis the Treasury had made on how the new tax would affect the economy, employment and businesses, the ministry appeared to insist that “the legislation has not yet been finalized” and “the provisions are under review”.
The admission stands in stark contrast to newly appointed agriculture minister Angela Eagle’s insistence that there is “no possibility” of a change in policy in next November’s Budget. Last month Ms Eagle told the BBC: “I rescind that claim [the rumours]. We had discussions. “The Treasury has made its statement, they will not move,” he said. His intervention followed reports that the Government was looking at ways to ease the impact of the hated tax on small estates and family farms.
Reacting to the FOI discovery, the Liberal Democrats’ economic spokeswoman Daisy Cooper told the Express the mixed messages “only made the wound worse”.
“The family farm tax was a failed idea from the start, failing to strengthen genuine British family farms while closing the tax loopholes exploited by private equity firms.
“Too many family farms and other family businesses hang in the balance, but now they are discovering that the left hand in the corridors of power does not know what the right hand is doing.
“Just a few days ago the Minister for Food Security said changes to the family farm tax were out of the question. But it appears the Treasury is telling a different story and is ready to make the sensible choice to abolish the tax.”
“With less than a month until the next budget, the Chancellor must finally meet family farmers face to face and commit to removing this damaging and inefficient tax.”
Mo Metcalf-Fisher of the Rural Alliance added: “The family farm tax is causing absolute misery in the countryside and damaging the government’s relationship with rural communities. Given all the dire warnings and the extent of opposition to this policy, they must urgently review it before it is too late.”
Farmers have announced new plans to protest the tax ahead of Ms Reeves’ second Budget, with a nationwide demonstration on November 24.
Slowing convoys will take over the streets in a “Day of Unity” and a spokesman said they wanted to “raise awareness of the devastating impact the family farm tax will have on farm businesses and the wider rural economy. We want the protests to be peaceful and similar to tractor charity campaigns”.
Farmer Gareth Wyn Jones said it was not too late for Sir Keir Starmer to make a U-turn, adding: “I think it’s very, very disappointing for every farmer in the UK to see what he’s done. The government has come after us with inheritance tax in an industry that’s already struggling. “We’re getting a one per cent return on our businesses.
“The money raised will be minuscule compared to the impact on the rural economy and food security, which is something we need to worry about.”
