Farmers in the UK gathered in London on Tuesday to protest against the Labour government's new agricultural policy, which includes changes to inheritance tax rules for land ownership. These changes, according to the farmers, could dismantle the agricultural sector and negatively impact food production.
Previously, farming businesses were eligible for 100-percent relief on inheritance tax for agricultural and business property, significantly reducing the tax burden when farmland was passed on after a death. However, starting from April 6, 2026, total exemption from death duties will only apply to the first £1 million ($1.27 million) of combined agricultural and business property.
The centre-left Labour government has faced significant backlash from farmers since the announcement by finance minister Rachel Reeves last month. Even tech billionaire Elon Musk weighed in on the controversy, claiming on his X social media platform that 'Britain is going full Stalin,' in a reference to Soviet leader Joseph Stalin's forced collectivisation of privately owned farms in the 1920s and 1930s.
The National Farmers Union (NFU), representing over 45,000 members in England and Wales, organized a 'mass lobby' of parliament to highlight the impact of the policy change on farms and food supply. The NFU expects around 1,800 members to participate in the protest, with several tractors driving through the streets before a rally near government buildings, despite adverse weather conditions.
NFU president Tom Bradshaw expressed defiance, stating that the protests would continue until the government addresses their concerns. Bradshaw met with Environment Secretary Steve Reed, who showed a 'level of understanding' over the farmers' complaints, but both sides seem prepared for a prolonged battle.
In contrast, Prime Minister Keir Starmer claimed that 'the vast majority of farms' will not be affected by the tax changes. The government argues that the actual threshold before paying inheritance tax could be as high as £3 million ($3.8 million), considering exemptions for each partner in a couple and for farm property. However, the NFU insists that more farms could be affected when land, property, and equipment are taken into account.
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