Agricultural Property Relief and Business Property Relief Impact on Farming 2025-09-09
2025-09-09
TAGS
Response quality
Questions & Answers
Q1
Partial Answer
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Context
The question stems from concerns raised about the impact of recent tax reforms on family farms. At a local event, young farmers expressed distress over potential tax rises affecting them more than large banks.
Why are the Government targeting family farms for tax rises rather than going after the big banks, which are closing branches right across my constituency? Why should young farmers have to pay for the mess left behind by the Conservatives?
The hon. Gentleman talks about good causes. I assume he would agree that the NHS is a good cause, that public services are a good cause, and that a stable economy that encourages investment in our country is a good cause to pursue. As hon. Members have said many times already, the Opposition parties, including the hon. Gentleman’s, are very happy to reap the rewards of spending and investment, but are totally incapable of taking any of the difficult decisions to raise the revenue necessary to support them.
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Assessment & feedback
The answer does not address why family farms are being targeted for tax rises instead of large corporations. It shifts focus to broader policy questions without addressing the specific issue.
Shifts Focus
Response accuracy
Q2
Partial Answer
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Context
Polling data indicates that four fifths of farmers have postponed or delayed investment since the Budget, raising concerns about economic impact.
Given the Prime Minister’s clear commitment to growth that benefits every community in every corner of the UK, his Ministers will no doubt be disturbed at polling showing that four fifths of farmers have postponed or delayed investment since the Budget. Is it not time for a rethink of this policy—if not on grounds of fairness, then on grounds of investment, productivity and economic growth?
I have been involved in many debates in this House that the right hon. Gentleman has been a part of as well, and we have set out how the decisions we have taken mean the system coming in from April next year will maintain generous tax reliefs within the agricultural property relief and business property relief system, while also raising revenue in a fair way to support the public finances. That money for the public finances, as I and my right hon. and hon. Friends have said many times today, is crucial to have economic stability and to get our public services back on their feet.
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Assessment & feedback
The answer does not directly address whether a rethinking of the policy is needed based on investment postponement; it instead restates government objectives without new evidence or action proposed.
Restates Position
Response accuracy
Q3
Partial Answer
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Context
Local farmers have expressed distress over potential tax changes, with a report suggesting that these changes are unfair and unbalanced.
The Chancellor elicited much public sympathy with her recent tearful appearance on these Benches, but over the summer I have had Dumfries and Galloway farmers in tears at the loss of the next generation of farming. A new Centre for the Analysis of Taxation report says that HMRC’s own figures indicate that these changes to taxes are unfair and unbalanced. Will the Minister please think again?
The hon. Gentleman is wrong. The CenTax report he refers to is independent analysis demonstrating that, in its opinion, the reforms improve on the current position and are expected largely to meet the Government’s objective. In fact, the report validates the Government’s position.
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Assessment & feedback
The answer does not address farmers' distress; it instead challenges the credibility of the report without addressing local concerns directly.
Challenges Credibility
Shifts Focus
Response accuracy
Q4
Partial Answer
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Context
The Liberal Democrats have proposed a family farm test to address tax loopholes without penalizing family farms.
We Liberal Democrats oppose the family farm tax, but in the spirit of constructive opposition, last November I recommended and requested that Ministers look at the idea of a family farm test, such as the ones used in France and Ireland. Such a test would ensure that they could close the loophole on big equity companies exploiting land, but it would not cover family farms in the process. Since I raised that suggestion last November, have Treasury Ministers asked officials to look at it?
As is the normal process in developing any policy, we consider a range of options, but we have decided that this gets the balance right: raising revenue in a fair way while offering generous reliefs within the agricultural property relief and business property relief system. Let me just say that, when I heard the hon. Lady stand up and begin a sentence with, “We Liberal Democrats oppose”, I was hardly surprised.
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Assessment & feedback
The answer does not confirm whether a family farm test has been examined; it instead comments on political opposition without addressing specific policy development inquiries.
Comments On Political Stance
Shifts Focus
Response accuracy