FARMERS are set to gather in London on Tuesday, protesting against a proposed change to inheritance tax rules on agricultural land.
They are urging the government to reverse a decision that would limit tax exemptions on inherited farmland.
Previously, farming businesses qualified for full inheritance tax relief on agricultural and business property.
This allowed landowners to transfer farmland after a death without paying taxes. However, from 6 April 2026, the full exemption will only apply to the first £1 million of combined agricultural and business property.
The Labour government has faced strong opposition from farmers since finance minister Rachel Reeves announced the change last month.
Criticism has extended beyond the farming community, with tech billionaire Elon Musk commenting on the issue. Musk described the decision as “Britain is going full Stalin” on his X platform, referencing Soviet leader Joseph Stalin's forced collectivisation of farms.
He also shared a Guardian comment piece supporting the tax change, suggesting it could break up farms and allow younger farmers to purchase land.
The National Farmers Union (NFU), which represents over 45,000 members in England and Wales, has organised a “mass lobby” of parliament to highlight the potential impact of the new policy on farming and food supply.
Around 1,800 members are expected to participate in discussions, with thousands more joining a rally in Whitehall.
“This awful family farm tax has to be overturned,” NFU president Tom Bradshaw said in a video to members. He criticised the policy, stating, “The evidence that this decision is based on is weak. Even the government can’t agree between Defra and the Treasury whether the figures are accurate.”
Keir Starmer claimed on Monday that “the vast majority of farms” would not be affected.
The government has argued that inheritance tax thresholds could reach £3 million when including exemptions for couples and farm properties, leaving nearly three-quarters of farms exempt from death duties.
The NFU, however, disputes this, citing Defra figures that show 66 per cent of farm businesses in England have a net value exceeding £1 million, including land, property, and equipment.
(With inputs from AFP)
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