Changes to APR and BPR Number of Farms Affected 2025-03-12

2025-03-12

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Questions & Answers

Q1 Partial Answer
John Cooper Con
Dumfries and Galloway
Context
John Cooper is concerned about changes to agricultural property relief (APR) and business property relief (BPR) in Wales, citing a series of agricultural roundtables conducted by the Scotland Office which suggest that the number of affected farms may be higher than estimated.
Farmers across the UK have already been rocked by the changes to APR and BPR, and yesterday we had shock news that the Department for Environment, Food and Rural Affairs will take no new sustainable farming incentive applications in England. What reassurances can the Minister give farmers in Wales that the sustainable farming scheme will be delivered in full and on time on 1 January next year?
As the hon. Gentleman knows, my good friend the Deputy First Minister of Wales has spent a lot of time talking to farmers. We have absolutely protected the budget for farmers, as have the Welsh Government, so the full £337 million will go directly to farmers, despite his colleagues in the Senedd trying to block it last week.
Assessment & feedback
The Minister did not provide specific reassurances regarding the sustainable farming scheme's implementation timeline or delivery details.
Response accuracy
Q2 Partial Answer
Charlie Dewhirst Con
Bridlington and The Wolds
Context
Charlie Dewhirst questions the estimate of farms affected by changes to APR and BPR in Wales, referencing concerns about food security raised by farmer Stella Owen.
The Government have said that they are concerned, as we all are, about our future security, so why is food security expendable in Wales and beyond? That is the message from farmer Stella Owen of the National Farmers Union Cymru, who has said that the Government’s actions are “destructive” and threaten the future of family farms across Wales. How many of those family farms is the Minister prepared to see go under before she and the Secretary of State step up and act in the interests of that key sector by helping the men and women who are livid, worried and fearing for their livelihoods?
As I am sure the shadow Secretary of State has been reminded many times, difficult decisions had to be made to fund our public services, but the changes still leave a significant amount of relief in place. Farming parents will typically be able to pass on up to £3 million to their children without paying any inheritance tax at all, and above that amount inheritance tax will be paid at a reduced effective rate of up to 20%, rather than the standard 40%. Estates have up to 10 years to pay any tax due, and it will be interest-free. Those terms are not available to others.
Assessment & feedback
The Minister did not address how many farms might fail as a result of the changes.
Response accuracy