Farmers descend on London to fight the farm tax

Thousands of farmers from all corners of Wales arrived at the gates of Downing Street to oppose the Labour Party’s catastrophic budget decisions. Despite inclement weather, farmers and those indirectly involved in farming from all over the UK made their way to London yesterday, joining in one of the largest rallies Westminster has seen for a while. They sent a direct message to the Treasury that the proposed inheritance tax (IHT) on farms needs to be at least re-thought and at best abolished.

Farming unions are refuting the Government’s claims that IHT changes will affect only a small number of farms. Judging by the sheer number of farmers in Westminster yesterday, it is clearly a much bigger issue than the Government is claiming it to be.

Our countryside is more than just landscapes. It contributes hugely towards the nation’s food supply, economy and wellbeing, but the budget proposals threaten the very fabric of rural life by putting family farms and hardworking communities at risk.

Curtailing Agricultural Property Relief could deal a devastating blow to family farms. With young farmers already struggling, a potential 20% inheritance tax bill could make it impossible to stay in business. The move risks stripping rural Britain of its lifeblood: the small, family-run farms that sustain our rural communities and food security. Defra’s figures show that these changes will affect two-thirds of farms.

Meanwhile, the new tax reclassification of double-cab pickups, which are essential vehicles for farmers, gamekeepers and builders, means they will be taxed as company cars starting in April 2025. This reclassification could raise taxes on the vehicles by over 200%, making a crucial tool unaffordable for many.

The President of the Countryside Alliance, and Labour Peer, Baroness Ann Mallalieu spoke to the thousands at the protest. She declared her unwavering and steadfast support for farming, as she laid out recently in her piece for the Daily Express.

Holding the line will only leave Labour’s door open to further protest and possibly more direct action. With Senedd election due in 2026, I am quite sure Welsh Labour will be urging the Chancellor at the very least to review her decision, or even to reverse it. Labour is well aware of the potential to lose its poll position in Wales, where it is currently supported in power by a Liberal Democrat member. The Welsh party has its own issues to iron out in its controversial planned Sustainable Farming Scheme. We are expecting an announcement very soon at the Royal Welsh Winter Fair.

For more than a decade the Countryside Alliance has been encouraging Labour to heal its rift with the countryside.