Commons Sense

House of Commons · Ministers' Questions

Budget: Family Farms

Thursday 19 December 2024 · 5 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 5 Not answered 0

Key points

  • The Government has committed 5 billion to agriculture over two years and is investing 60 million in the farming recovery fund.
  • Concerns about inheritance tax affecting family farms are acknowledged, but over 75% of claimants would not be affected according to the last available data.
  • The Government plans to start improvements at the Weybridge facility with 208 million, with further funding to be considered through the spending review phase.

Topics (select to filter)

Questions & Answers

Q1 John Whittingdale Con Maldon
Agriculture & Rural Affairs
Context

The MP notes concerns about the Autumn Budget's impact on family farms, particularly regarding inheritance tax.

Question

What assessment has been made of the impact of the autumn Budget 2024 on family farms. I am concerned that research shows 75% of commercial farms will exceed the £1 million threshold for inheritance tax and face potential bills up to £1.5 million, jeopardising their future.

Answer from Steve Reed

The Government has committed £5 billion to agriculture over two years and is investing £60 million in the farming recovery fund. Concerns about inheritance tax are acknowledged, but over 75% of claimants would not be affected according to the last available data.

Partly answered

Not addressed: The MP's specific request for reconsideration was not directly addressed with a commitment or timeline.

How: Under Review

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Q2 John Whittingdale Con Maldon
Agriculture & Rural Affairs
Context

The MP highlights the unprofitability of farming due to previous government policies, and welcomes Labour's new deal aiming to improve profitability over 25 years.

Question

Merry Christmas. Our hard-working farmers in Calder Valley want a living wage from farming not land tax avoidance. After 14 years of neglect by the last Government, farmers now face unprofitability issues. I welcome our new Labour deal for farmers and the 25-year roadmap to profitability. Can you assure me that Calder Valley farmers will receive their fair share in this new deal and the improved countryside stewardship higher-tier scheme next year?

Answer from Steve Reed

My hon. Friend, while acknowledging the shadow Secretary's past statements, confirms that farmers need to be profitable businesses and our new deal includes supply chain fairness to ensure profitability for the future.

Partly answered

Not addressed: The specific assurance requested about Calder Valley was not directly addressed with a commitment or timeline.

How: Under Review

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Q3 Josh Fenton-Glynn Lab Calder Valley
Agriculture & Rural Affairs
Context

The MP raises concerns about the biosecurity of family farms with avian influenza, bluetongue, and African swine fever spreading. He mentions the need for a £2.8 billion project to redevelop the Animal and Plant Health Agency's headquarters in Weybridge.

Question

Merry Christmas. The autumn Budget jeopardises family farms and biosecurity. With avian influenza, bluetongue, and African swine fever spreading, central biosecurity is crucial. The Weybridge facility needs £2.8 billion for redevelopment but received only £1.2 billion from the previous Government. Labour has committed £200 million, which falls short. Will you confirm full project completion with the remaining £1.4 billion to protect national security and prevent disease outbreaks?

Answer from Steve Reed

I acknowledge the hon. Gentleman's point, noting Conservative failure in previous commitments. The £208 million will start improvements, and further funding will be considered through the spending review phase.

Partly answered

Not addressed: The specific commitment to complete the remaining £1.4 billion was not directly addressed with a timeline or pledge.

How: Under Review

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Q4 Neil Hudson Con Epping Forest
Agriculture & Rural Affairs
Context

The MP expresses dismay at the Government's family farm tax policy, which he claims will affect many low-income farmers. He also notes a 76% cut in basic payments and criticises policies disincentivising food production.

Question

Merry Christmas to all here and beyond. Farmers are devastated by the Government's family farm tax, affecting those earning less than minimum wage, with cuts up to 76%. The agricultural policy actively disincentives food production despite our country producing only 55% of its needs. This is a threat to national security. What plans do you have to change your policy and support farmers in producing food?

Answer from Steve Reed

The hon. Gentleman raises important points. Changes to agricultural property relief show most claimants will not pay anything based on the last available data. Unlike previous policies, we want farmers to succeed through supply chain fairness and stopping trade deals that undercut them.

Partly answered

Not addressed: The specific request for policy changes was not directly addressed with a commitment or timeline.

How: Under Review

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Q5 Tim Farron Lib Dem Westmorland and Lonsdale
Agriculture & Rural Affairs
Context

The MP raises concerns about the impact of changes to agricultural property relief, noting that a family in his constituency faces an £1.5 million inheritance tax bill, threatening their ability to continue farming.

Question

Has the right hon. Gentleman seen research showing 75% of commercial farms will exceed the £1 million threshold and become liable for inheritance tax? A family in West Hanningfield who have farmed five generations say they face a potential £1.5 million bill, ending their aspirations. I plead with the Government to reconsider.

Answer from Steve Reed

Of course we hear concerns, but over 75% of claimants would not be affected based on last year's data. Farms can do succession planning in the usual way to avoid additional payments.

Partly answered

Not addressed: The specific request for reconsideration was not directly addressed with a commitment or timeline.

How: Under Review

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