British farm groups criticise Budget for overlooking agriculture
Several UK farming and rural organisations have criticised the Autumn Budget for offering the sector no extra support. Inheritance tax was left unchanged, while the fuel duty cut was extended.
Leading British farm and rural organisations have criticised the government's Autumn Budget for failing to provide more support for agriculture. Chancellor John Healey delivered the Budget on Wednesday, October 28. It extended the 5p cut to fuel duty for a further six months, but made no changes to inheritance tax.
A day earlier, the government had announced a series of tariff cuts, including one on fertiliser imports running until the end of 2027.
Tenant Farmers Association
The Tenant Farmers Association (TFA) expressed deep disappointment that none of the proposals in its Budget submission were taken forward. Chief executive George Dunn called it a "farm-blind Budget". He said the TFA had asked for protection where the death of a joint agricultural tenant leaves the surviving tenant with a tax liability but no saleable capital asset. He also criticised the continued application of Stamp Duty Land Tax (SDLT) to agricultural tenancies, arguing it penalises longer agreements.
National Sheep Association
The National Sheep Association (NSA) said the Budget does not go far enough on the wider financial pressures facing UK agriculture. Chief executive Phil Stocker said sheep prices are likely to stay strong, but so are costs, and uncertainty is making farmers nervous about investing. He argued that the cuts to fuel duty, red diesel and VAT on household electricity will do nothing for the viability of farming and food production, and noted that the national sheep flock is still shrinking.
Country Land and Business Association
Country Land and Business Association (CLA) president Gavin Lane said rural Britain had been overlooked once again. The CLA welcomed the extension of the red diesel tax cut and the increase in the business rates threshold. However, he noted that 9 out of 10 CLA members are cancelling investment in their businesses, and said it was hard to see what in the Budget would change their minds.
