Commons Sense

House of Commons · Ministers' Questions

Budget: Impact on Farming Communities

Thursday 14 November 2024 · 4 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 0 Partly answered 3 Not answered 0

Key points

  • The Labour Government committed 5 billion to the agricultural budget over the next two years.
  • The National Farmers Union of Scotland criticized the new UK Government's first budget for negatively impacting family farms.
  • The Minister stated that fewer than 500 farmers would be significantly impacted by the agricultural property relief changes.

Topics (select to filter)

Questions & Answers

Q1 John Lamont Con Berwickshire, Roxburgh and Selkirk
Agriculture & Rural Affairs
Context

No specific incident or statistic mentioned. General concern about the budget's impact.

Question

What assessment has been made of the potential impact of the autumn Budget 2024 on farming communities?

Answer from Daniel Zeichner

The Labour Government have committed £5 billion to the agricultural budget over the next two years—the biggest budget for sustainable food production and nature recovery in our history. It is good for British farming, it is good for the country, and it should be welcomed by the Opposition.

Partly answered

Not addressed: Did not address the specific impacts on farming communities as requested.

How: We Are Committed To Sustainable Food Production, It Is Good For British Farming

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Q2 John Lamont Con Berwickshire, Roxburgh and Selkirk
Taxation Agriculture & Rural Affairs
Context

The National Farmers Union of Scotland criticized the new UK Government's first budget as hammering hard-working family farms with crippling tax bills.

Question

This week, the president of the National Farmers Union of Scotland, Martin Kennedy, said: 'The new UK Government's first budget…hammered hard-working family farms and crofts with crippling tax bills'. The Minister has accused the Conservatives of scaremongering about Labour's family farm tax. Is the National Farmers Union of Scotland also scaremongering?

Answer from Daniel Zeichner

I talk regularly to the National Farmers Union of Scotland. I respect it fully, but I genuinely say, as I have said on many occasions, that we need to look closely at the figures and look at the detail. We will find that the vast majority of farmers in this country will be fine.

Partly answered

Not addressed: Did not directly address whether NFUS is scaremongering.

How: We Need To Look Closely At The Figures, Respect Fully But Disagree

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Q3 Robbie Moore Con Keighley and Ilkley
Agriculture & Rural Affairs
Context

The Department and the Treasury disagree on how many farms will be impacted by as much as 40%. The figures being used consider only past claims for agricultural property relief, not those combined with business property relief.

Question

The Minister's response to my hon. Friend's question highlights his arrogance on this issue. He constantly keeps saying that we need to look at the detail, yet his Department and the Treasury disagree on how many farms will be impacted by as much as 40%. In fact, as he knows, the figures being repeatedly regurgitated by the Government consider only past claims for agricultural property relief, not those combined with business property relief, which is just as important. Why? Because the Treasury does not have the data. We need comprehensive detail on this policy to properly understand the impacts of his family farm tax. I ask this for a third time in this House: will he release a full impact assessment—yes or no?

Answer from Daniel Zeichner

We seem to be discussing this endlessly. The figures on agricultural property relief are absolutely clear. I have kept asking people to look at the detail, because what they will find—listen to the tax experts and the people who have actually looked at the policy in detail—is that fewer than 500 farms will be affected. That is the reassuring message that the Conservatives should be conveying to British farmers.

Partly answered

Not addressed: Did not directly answer whether a full impact assessment would be released.

How: The Figures Are Absolutely Clear, Fewer Than 500 Farms Will Be Affected

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Q4 Tim Farron Lib Dem Westmorland and Lonsdale
Agriculture & Rural Affairs
Context

Cumbria alone some 1,400 family farmers will be hit by this tax. The more immediate threat to farming is the Government's decision to cut the basic payment by 76% next year.

Question

Britain's farmers, who feed us and care for our environment, deserve better than the betrayal they received under the last Conservative Government, and better than the attacks in this Government's recent Budget. In Cumbria alone some 1,400 family farmers, many of whom live on less than the minimum wage, will be hit by this tax, but the more immediate threat to farming is the Government's rash decision to cut the basic payment by 76% next year. That will hit livestock farmers, upland farmers and dairy farmers, and destabilise the whole industry. Will the Minister think again?

Answer from Daniel Zeichner

The changes we have made this year are the biggest boost to sustainable farming that this country has seen—that is the agricultural transition. The Liberal Democrats have always been flaky on this issue, and they have never been able to make up their minds what they think about it. We are determined to tackle the extreme climate crisis globally; they seem to think it is not happening.

Not addressed: Did not address the specific impacts of basic payment cuts or tax changes on farmers.

How: Largest Boost To Sustainable Farming, Liberal Democrats Flaky And Indecisive

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