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Farmers protest tax changes ahead of budget

Alex MeakinSouth of England
News imageBBC Dan stands in the middle of the frame looking off to the right. He is wearing a worn John Deere branded baseball cap with a florescent vest over a brown coat. In the back ground is a red tractor and parked in a row behind him are three more tractors that are green. BBC
Protestor organiser Dan Willis said the tax increase meant famers "can't invest in the future"

Farmers have gathered in Berkshire to protest changes to inheritance tax.

After initially proposing that a 20% tax would be paid on inherited agricultural assets worth more than £1m from April, the government announced in December that the threshold would go up to £2.5m.

Despite the changes, the protesting farmers want to see the tax changes introduced in April axed entirely.

A government spokesperson said it valued "hardworking farmers" and the raised threshold would "protect small family farms and businesses while ensuring the largest estates make a fair contribution".

Around 90 farmers gathered on a field near Newbury showground for the protest on Tuesday afternoon.

The Autumn Budget will be announced by the Chancellor John Healey on 28 October.

News imageBerkshire Farm Girl The image shows more than 80 tractors to spell out AXE THE TAX. The tractors are a mix of colours including green, yellow, red, blue and pink. The image has been captured with a drone giving a birds eye view. Berkshire Farm Girl
The farmers used more than 80 tractors to spell out "AXE THE TAX"

Since April this year there has been 100% relief on the first £2.5m of combined agricultural and business property, with a 50% relief on value above that cap.

Previously this tax relief had been 100%.

Dan Willis, who runs Rookery Farms near Newbury, organised the protest and said: "We can't invest in the future. We are facing such difficult problems with the geopolitical landscape that going forward at the moment is impossible.

"We are legitimately trying to run a business but at the moment there's better odds in Las Vegas.

"I don't want to have to take all these tractors back to London on budget day, but if we're not listened to they're going to come back to London."

When asked about the watering down of the tax changes he said: "It's not enough. You're taking people's livelihoods away.

"These farms have been farmed for generation after generation. I'm the fifth generation. Unfortunately, this type of tax is what can wipe it out."

A government spokesperson said "We value our hardworking farmers.

"We listened to farmers and raised the relief threshold to £2.5 million to protect small family farms and businesses, while ensuring the largest estates make a fair contribution so we can deliver support for families and businesses, including cutting the cost of living.

"We have boosted funding by £65m to help farmers manage drought pressures, protect crops and strengthen resilience for the future."

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