Jeremy Clarkson and Kirstie Allsopp lead fury as farmers 'shafted' with inheritance tax raid
31 October 2024, 13:25 | Updated: 31 October 2024, 13:49
Jeremy Clarkson and Kirstie Allsopp have hit out at Rachel Reeves for "shafting" farmers in her Budget.
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Ms Reeves announced on Wednesday that while there would continue to be no inheritance tax on combined business and agricultural assets worth less than £1m, above that there would be a 50% relief, at an effective rate of 20%, from April 2026.
The move has sparked fury among farmers, with campaigners hitting out at the government for breaking "clear promises" to protect the industry.
TV presenter Kirstie Allsopp accused the Chancellor of "destroying" the chance for farmers to pass down their farms to their children.
Read more: Chancellor admits Budget will hit workers’ pay - as ‘Brits to be left around £300 worse off’
She said: "Rachel Reeves had f***ed all farmers, she has destroyed their ability to pass farms on to their children, and broken the future of all our great estates, it is an appalling decision which shows the government has ZERO understanding of the what matters to rural voters."
Jeremy Clarkson accused the government of "shafting" farmers with the changes.
"Farmers. I know that you have been shafted today," he said. "But please don’t despair. Just look after yourselves for five short years and this shower will be gone."
The head of the British Farming Union, Steve Ridsdale said that the changes will "decimate the industry".
Tory MP Neil O'Brien said: "She has gone way, way too low with the threshold for agricultural property – this is the end of the family farm."
James O'Brien debates inheritance tax with a farmer
Speaking to LBC's Nick Ferrari at Breakfast, Ms Reeves said that the majority of landowners will not be affected by the changes.
"What I would say is that 73% of farms and agricultural property will not be affected at all by these changes," she said.
"They will pay no more inheritance tax. So this does protect farms.
"So 27% will be affected, but with a discount on inheritance tax of 20% compared to 40% that others pay."
Henry Ward, a farmer in Lincolnshire, told Nick that he is "filled with worry and dread" over the Chancellor's decision.
"I farm in partnership with my grandfather, who is 85 years old. He owns the majority of the land that we farm," Mr Ward said.
"If he dies at the wrong time under this Labour government, we'll be faced with a tax bill of around a million pounds. That could finish us and it's a huge concern."
Tax rises of £40billion were announced as part of the Budget on Wednesday, with further increases not being ruled out for the future.
It comes in a bid from the government to fill a black hole in public finances.
