'Scrap the family farm tax': MPs raise death duty threat to Northern Ireland agriculture at Westminster

A call to get rid of inheritance taxes held to have plunged farming families into money worries has been made in Westminster.

Unionist MPs brought the issue to the floor of the House of Commons in a recent debate, hoping to shine a light on the burden new death duties have brought upon families across Northern Ireland.

placeholder image — New death duties have plunged farming families across Northern Ireland into money stress, industry bodies have said, leaving them worried they won't be able to afford to inherit the family land. Photo: James Hardisty

Upper Bann’s Carla Lockhart accused Labour of having "very little understanding of how farming actually works”, stating: “There is precious little spare money on many farms and certainly no shortage of bills, yet this government seems to look at a farm valuation and see a pot of money waiting to be taxed.”

For Strangford’s Jim Shannon, the new duties could be “the death knell for family farms” in Ulster, while North Down’s Alex Easton called on the government to “provide support to help farmers manage rising costs”.

The inheritance tax change removed relief on agricultural properties worth more than £2.5m.

The original plan was to impose a £1m threshold, but the level was changed after widespread protests. South Antrim’s Robin Swann argued that merely increasing the allowance doesn’t go far enough, stating: “I have never accepted that that resolves the problem.”

Demanded Ms Lockhart at the end of the debate: “Scrap the family farm tax – let farmers invest, give the next generation a reason to stay.”

But parliamentary under-secretary for rural affairs Stephen Morgan replied that the government had already “listened to concerns and acted”, arguing increasing the tax threshold was “going further to protect more farms and businesses”.

He said: “Farming families will be able to pass the farm down.”