Commons Sense

House of Commons · Ministers' Questions

Agricultural and Business Property Relief: Impact on Farmers

Tuesday 4 November 2025 · 3 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

  • Ministerial Questions took place on 2025-11-04 regarding Agricultural and Business Property Relief and its impact on farmers.
  • David Smith from North Northumberland inquired about the CenTax minimum share rule proposal for farm estates.
  • Sarah Dyke from Glastonbury and Somerton inquired about a Treasury review of the family farm tax and its implications for farmers.

Topics (select to filter)

Questions & Answers

Q1 David Smith Lab North Northumberland
Taxation Agriculture & Rural Affairs
Context

CenTax published a report titled “The Impact of Changes to Inheritance Tax on Farm Estates” which assessed potential implications for farmers. The report suggested reforms that would reduce the risk of family farms being broken up.

Question

I am proud to support a Government who believe in progressive taxation, as I am sure the Minister does—that those with the broadest shoulders should bear the greatest burden. Under the CenTax minimum share rule proposal, farm estates where at least 60% of the estate is used for farming would receive relief of up to £5 million per person. This would reduce the risk of family farms being broken up, place a greater burden on very large estates and those gaming the system, and double the forecast tax take. Will the Minister direct Treasury officials to take another look at the CenTax proposals on APR prior to the Budget?

Answer from Dan Tomlinson

I thank my hon. Friend for his question—he is a strong advocate in this place for his constituency and for farming communities. Just last week, he made the point to me that our farmers and farming communities are crucial to economic and social and cultural life. Along with other Labour colleagues from rural constituencies, he has been working hard to raise the points that matter to farmers, and this Government are doing all we can to support our farming industry. On the specific point about CenTax’s proposals on minimum share, I do not need to direct officials to look at them, because I have read the proposals. It is worth noting that the number of losers from the proposed policy would be more than double the number of people affected by the changes that this Government are making. Over 1,000 estates would be affected by the proposals put forward by CenTax.

Partly answered

Not addressed: Did not commit to directing Treasury officials to review CenTax's proposals before the Budget

How: Did Not Need To Direct Officials As He Has Read The Proposals

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Q2 Sarah Dyke Lib Dem Glastonbury and Somerton
Agriculture & Rural Affairs
Context

Liberal Democrats have requested a review of the family farm tax, revealing plans by the Treasury to discuss the issue. Farmers are concerned about the impact of changes to agricultural property relief and business property relief.

Question

A Liberal Democrat freedom of information request revealed that the Treasury recently had plans to review the family farm tax. Farmers across the country are fed up with bickering and infighting from a Government who just do not understand them, but there is still time to act and end months of confusion and misery. Will the Chancellor and her Ministers meet farmers from Glastonbury and Somerton, and me, to provide some clarity and reveal the full extent of the Government’s discussions on revoking this damaging family farm tax?

Answer from Dan Tomlinson

Just a few weeks ago, I met farmers to discuss this and other important issues. The Government believe that even though this tax is a difficult change—I do not shy away from that fact—it is the right change to make, because it is a method of raising revenue in a fair way that helps contribute to restoring the public finances.

Partly answered

Not addressed: Did not commit to meeting Sarah Dyke and other farmers for clarity on discussions

How: Did Not Shy Away From The Fact That It Is A Difficult Change But Insisted It Was Fair

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Q3 Ben Maguire Lib Dem Cornwall
Taxation Agriculture & Rural Affairs Mental Health
Context

Farmers have requested alternative proposals such as a clawback scheme or increasing the threshold to £5 million, which would raise more revenue than current plans while addressing concerns about mental health toll on farmers.

Question

I kindly ask the Chancellor to please respond to my joint letter on Cornwall’s future funding, sent last week, which asks her to meet all Cornish MPs without delay. Alternative proposals to this damaging family farm tax—such as a clawback scheme, as proposed by the NFU, or increasing the threshold to £5 million—would raise more in revenue than the Government’s current plans. In contrast to her speech this morning, the Chancellor now has the opportunity to do both the right thing and the popular thing. The mental health toll on farmers is becoming completely unsustainable, so please, Chancellor, rethink this damaging policy.

Answer from Dan Tomlinson

I would be happy to meet the hon. Member and Members from across Cornwall to discuss the issues raised in the letter to the Chancellor.

Partly answered

Not addressed: Did not commit to reconsidering the family farm tax policy

How: Agreed To Meet Cornish Mps Without Addressing Specific Concerns

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