Tractors and tanks have descended on Westminster as farmers demand the Labour government rethinks its inheritance tax plan.
Hundreds have arrived from the countryside for a protest rally over plans to introduce a 20 per cent inheritance tax rate on farms worth more than £1m.
The event, organised by Save British Farming, is the third time farmers have rallied in the capital since chancellor Rachel Reeves announced the measure last year.
The farmers have parked up their tractors along Whitehall, with the stretch of vehicles going back as far as Trafalgar Square. Four tanks have also been spotted at the protest.
Protesters can be seen holding Union Jack flags and displaying banners in support of British farming.
So far, Labour has insisted it will not U-turn on its plans - but protest organiser Liz Webster told The Independent she hoped the action would bring ministers to the negotiation table.
She accused the government of “marching into a food crisis”.
The rally comes as MPs debate an e-petition with more than 148,000 signatures calling to keep the current inheritance tax exemptions for working farms.
Earlier, Nigel Farage called for an end to “death taxes” in his address to British farmers on their way to the protest. Ms Webster said the Reform UK leader was not invited to the event, accusing him of “jumping on the bandwagon”.
Key Points
- Farmers vow to ‘haunt’ government until change enacted
- Reform UK leader calls for end of 'death taxes'
- Pictured: Farmers and their tractors in north London
- What are the changes to farm tax?
Watch: Farmers bring protest to London as they urge government to end 'death taxes'
19:59 , Athena StavrouLabour backbenchers call for ‘meaningful tweaks’ to farm inheritance tax plan
19:23 , Athena StavrouChancellor Rachel Reeves has faced calls for “meaningful tweaks” to planned inheritance tax on farmland from Labour backbenchers.
Sam Rushworth said that farmers who work a £5 million estate are “not millionaires”, while Julia Buckley said sector businesses currently face a choice to “go big or go bust”.
Conservative former Scottish secretary David Mundell warned that under plans to impose inheritance tax on agricultural property worth more than £1 million, farmers’ children will sell their land to private equity firms to cover the bill, and estates would instead be used for solar panels or industrial tree planting.
They made their comments during a debate about a House of Commons petition which called on Treasury ministers to carry on with a 100% relief from inheritance tax covering agricultural property.
The Labour constituencies most unhappy about the ‘tractor tax’
18:58 , Athena StavrouThe pressure is building on several Labour MPs to revolt against government plans to change rules on inheritance tax for farmers, analysis by The Independent can reveal.
On Monday, hundreds of protesting farmers blocked Whitehall before MPs entered Parliament to debate a petition calling for a U-turn on Rachel Reeves’ controversial proposal.
Analysis of the signatories of a petition, called ‘Don’t change inheritance tax relief for working farms’ and signed by 150,000 people, shows the Labour-held seats with the highest number of constituents signing it.
It comes as Save British Farming and the Countryside Alliance urge MPs to act on the issue or face losing their seat at the next election.
Read the full story:
These Labour constituencies are the most unhappy about the ‘tractor tax’
Why do farmers say the changes are a problem?
18:27 , Athena StavrouAccording to the NFU, while farms may have a high nominal asset value – the value of their land and business assets – the returns from farming are often very low, so farming families may not have the reserves to pay for inheritance tax liabilities without selling off assets.
The NFU’s president Tom Bradshaw said the change had left elderly farmers in the “cruellest predicament”, as they may not live for another seven years to take advantage of exemptions for gifting assets, or to hand over assets in a way that qualifies for the gifting exemption.
He has also warned the changes could undermine investment as farmers will be wary of increasing the balance sheet as they will be liable to pay inheritance tax on it.
There are also concerns that it could affect tenant farmers if landowners no longer benefit from having a tax exemption for farmed land.
Mr Bradshaw said there was a feeling among farmers that the Government did not understand food production.
Read the full story: ‘If the farmers continue, they’ll win’
18:00 , Holly EvansLarge convoys of tractors and tanks filled the streets of Westminster in the latest protest against new inheritance tax rules for farmers.
Monday’s rally, organised by Save British Farming, comes as MPs debate an e-petition with more than 148,000 signatures calling to keep the current inheritance tax exemptions for working farms.
Politicians including former home secretary James Cleverly and Reform MP Richard Tice were among those present while Nigel Farage attended an earlier event and called for an end to “death taxes”.
Read the full article here:
Hundreds of tractors descend on Westminster in latest tax protest
Farmer says policy has 'decimated confidence' in the industry
17:30 , Holly EvansSpeaking to the Daily Mail, Chris Green, 58, who owns a farm in North Yorkshire, said: “We are here to preserve our industry. It has been torn to shreds and the policy hasn’t even come into force yet.
“I was in disbelief when Labour announced it. It took us all by shock.
“It is short-sighted and has decimated confidence in the agriculture business.
“It didn’t need any help to be undermined. This has been the final nail in the coffin.”
What did Nigel Farage say about inheritance tax?
17:15 , Holly EvansAsked if he thought inheritance tax should be scrapped completely, Mr Farage said: “Yes, I do actually. You’re basically taxing money that’s been taxed already as a death tax, and it’s horrible.
“People living in semi-detached houses in London are now dragged into inheritance tax. And yes, of course, you can do seven-year planning and all the rest of it, but unlikely things happen. I honestly believe just getting rid of inheritance tax as a whole would be a good thing.”
Why do farmers say the changes are a problem?
17:00 , Holly EvansAccording to the NFU, while farms may have a high nominal asset value – the value of their land and business assets – the returns from farming are often very low, so farming families may not have the reserves to pay for inheritance tax liabilities without selling off assets.
The NFU’s president Tom Bradshaw said the change had left elderly farmers in the “cruellest predicament”, as they may not live for another seven years to take advantage of exemptions for gifting assets, or to hand over assets in a way that qualifies for the gifting exemption.
He has also warned the changes could undermine investment as farmers will be wary of increasing the balance sheet as they will be liable to pay inheritance tax on it.
There are also concerns that it could affect tenant farmers if landowners no longer benefit from having a tax exemption for farmed land.
Mr Bradshaw said there was a feeling among farmers that the Government did not understand food production.
Labour warned UK is facing ‘humanitarian crisis’ in farming
16:51 , Athena StavrouRachel Reeves has been warned she faces a “humanitarian crisis” in farming if she continues to stand firm on plans to change inheritance tax rules - as thousands march on London for a fresh protest in Westminster on Monday.
The tractor rally, organised by Save British Farming, comes as MPs debate an e-petition with almost 150,000 signatures calling to keep the current tax exemptions for working farms.
Read the full story here:
Labour facing ‘humanitarian crisis’ in farming as thousands march on London
Best pictures from today's rally
16:51 , Holly Evans
What are the changes to farm tax?
16:31 , Athena StavrouPreviously, farming businesses qualified for 100 per cent relief on inheritance tax on agricultural property and business property.
But now the tax is being imposed on farms worth more than £1 million, with an effective tax rate of 20 per cent on assets above the threshold, rather than the normal 40 per cent rate for inheritance tax.
The Government says that the actual threshold before paying inheritance tax could be as much as £3 million, once exemptions for each partner in a couple and for the farm property are taken into account.
Watch: Young protesters support farmers protest
16:30 , Holly EvansProtest organiser says 'this is a marathon not a sprint'
16:17 , Holly EvansProtest organiser Liz Webster, founder of Save British Farming, told protesters: “We brought tractors to London and every time we come back we get bigger. And we are not going to go away.
“We must be determined that this is a marathon and not a sprint. We are probably not going to get a fast result from Mr Starmer or Ms Reeves... But we are winning.”
'Farmers are all not rich,' says protester
16:07 , Holly EvansSpeaking on Sky News, one protester stressed that the vast majority of farmers are not wealthy, and are required to work lengthy hours for little pay.
She said: “We have to protect our farmers because they produce the food we eat.
“For some reason what arrives in the press and in the news is based on ideology and lies. Farmers are not all rich. They work incredibly hard.
“We believe without them we don’t have a future.”
Picture reveals scale of tractor protest
15:55 , Holly Evans
Watch: Angry farmers bring protest to London
15:37 , Holly EvansCountryside Alliance say proposals 'hurts the whole country'
15:17 , Holly EvansMo Metcalf-Fisher, external affairs director for the Countryside Alliance said: “It is difficult to find a Government policy that has prompted such wide-spread concern than that of Rachel Reeves’s disastrous family farm tax.
“Farmers want to get on with producing food for us to eat while maintaining the countryside we all know and love.
“Instead they are having to fight to save their livelihoods.
“The total breakdown between Whitehall and the countryside hurts the whole country. We are in London today to urge Rachel Reeves to see sense and rethink her ruinous proposals before it’s too late”.
'Write to your MP' - the aim of today's protest in the words of an organiser
14:56 , Alex RossToday’s tractor rally has been organised by Save British Farming and has seen hundreds of farmers arrive in Whitehall.
They want the Labour government to reverse its plan for changes in inheritance tax rules for farms.
We spoke to Liz Webster, founder of Save British Farming, a little earlier.
When we asked what the aim of today’s action was, she said: “Engage with the public and get them to contact their MPs and get them to put pressure on them for the government to change their mind on the aggressive anti-farming policies in the Budget, but also to make the right choices and get repair our relationship with Europe as 90 per cent of our agriculture exports go to the EU.”
She said she hoped to see a rethink of the inheritance tax policy in the Spring Budget.
Protest in pictures so far
14:48 , Alex Ross
'The farmers will win'
14:33 , Alex RossReporter Barney Davis is speaking to some of those who have lined up their tractors along Whitehall for today’s protest.
One man, dressed in a fur hat and leather jacket, says the Labour government doesn’t care about anybody, particularly poor people.
He says policies introduced lack investment and create poverty.
Asked for his message today, he says: “If the farmers continue, they’ll win. They need the resolve to continue in the same manner, and they will win.”
Earlier, we heard from event organiser Liz Webster who said she hoped the continued action would bring ministers to the negotiation table on the policy to change inheritance tax rules.
Labour warned UK is facing ‘humanitarian crisis’
14:24 , Alex RossAs protesters march on London, we’ve been hearing from the event organiser, Liz Webster, who founded Save British Farming.
She has said some strong words on the impact of the change to inheritance rules, warning of a “humanitarian crisis”.
She said the policy would lead to the risk of farmer suicides. The community has the highest suicide rate of any sector.
Ms Webster: “We are really scared that we are going to see a humanitarian crisis....elderly farmers now know if they die before April next year there will not be a bill for their farm which is unaffordable, the farm would have to be sold or part of it.
“Many of them will think “I don’t want to leave my family burdened with an unaffordable debt, they [my family] will lose their home, their livelihood.”
Read more here:
Labour facing ‘humanitarian crisis’ in farming as thousands march on London
'Policy based on really, really flaky maths' - James Cleverly
14:12 , Alex RossWe’ve come across James Cleverly, former home secretary under the last Tory government, at the march.
He tells journalists that if the changes in inheritance tax go ahead in April next year, some farms will close.
He says: “It’s a policy based on really, really flaky maths and a whole load of prejudice.
“If it goes through farms will go under and if that happens, everyone will suffer.”
Reform UK deputy leader Richard Tice joins demonstration
13:39 , Holly Evans
Watch: Nigel Farage calls for end to ‘death taxes’ in his address to British farmers
13:25 , Holly EvansIn pictures: Tractors take over Whitehall
13:13 , Holly Evans
Tanks and tractors outside Parliament
13:10 , Barney DavisThings are really stepping up now.
Tractors as far as the eye can see are lining up by Downing Street.
Farmers claim as many as 2,000 will take up Whitehall. They have unfurled UK flags and signs saying ‘We need food not politicians’
'Run your country like a successful business', protester tells Starmer
12:58 , Holly EvansNick Mead drove his Abbot self propelled gun for seven hours to get to central London and support the farmers.
Speaking from his surprisingly ULEZ exempt 70 tonnes of rolling thunder, he told Sir Keir: “Run your country like a successful business. Don’t just tax everything that is successful. You will drive it out of existence.”
He said: “The movement is getting stronger. I heard there were 2,000 tractors coming down. They are stifling business and taking money out of the country there is no investment.”
Why are Britain’s farmers protesting?
12:44 , Holly EvansThousands of farmers are expected to join a rally in Whitehall as they protest against the Labour government’s extension of inheritance tax to agricultural property.
Industry leaders say the plan, put forward by chancellor Rachel Reeves during her first Budget last October, is “marching the UK into a food crisis”.
Below, we look at why exactly the farmers are on strike.
Read the full article here:
Military tanks join convoy in central London
12:29 , Holly EvansA Met police officer gestures towards farmers supporters driving a military tank as they arrive in central London to take part in a farmer demonstration.
Tractors blast out popular pop songs ahead of rally
12:19 , Barney DavisA number of tractors have stereos playing out music as they make their way to rally, with one blasting out Beastie Boys’ classic Fight For Your Right To Party.
Another has its horn altered to play Darude’s club classic Sandstorm.
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First farmers begin to descend on Westminster
12:06 , Barney DavisFarmers woke up at the crack of dawn to get their tractors to central London on time for another protest.
A convoy of farming vehicles beep their horns as they clog up traffic in the shadow of Big Ben. The tractors strike a bizarre sight amongst the usual red double deckers and open top tourist buses.
Protesters down early shared jokes with police officers as they jovially spoke about logistics of the march with a stage still to be assembled speeches due to begin.
One officer tells a farmer: “Don’t worry we do this for a living. Protest wise we have seen it all. Imagine I was standing in your field for a day it would cause some disruption. But it will all be fine.”
One angry farming supplier who sold his Welsh farm for £1.4million last year after taking it over aged 15 when his father died, demanded Sir Keir is put on trial as a traitor over the inheritance tax.
Another supporter called on the protesters to follow radical French methods. The 74-year-old said: “I feel a revolution coming on.”
'Labour do not want farmers,' says demonstrator
11:53 , Holly EvansAlan Hughes, a farmer in the Hereford-Shropshire border region, said he had to run farm diversifications “just to stay afloat and pay the bills”.
Addressing the crowd at the Farmers To Action campaign event at Belmont Farm, Mr Hughes, 36, added: “My fear, like many here, is that I will be the last generation to farm our land.
“Labour do not want farmers. They want large corporations to produce food, because they know those that control the food we eat, control the nation.”
Aiming his remarks at the Government, Mr Hughes added: “You need to abolish inheritance tax for all. You need to stop taxing us to the hilt while sending our money abroad and sort out our national infrastructure and food security.”
Nearly 150,000 sign petition to maintain current farmers tax
11:44 , Holly EvansMonday’s tractor rally, organised by Save British Farming, comes as MPs debate an e-petition with more than 148,000 signatures calling to keep the current inheritance tax exemptions for working farms.
The petition has warned that the changes could “devastate farms nationwide, forcing families to sell land and assets just to stay on their property”.
Labour has insisted it will not make a U-turn on its plans to introduce a 20% inheritance tax rate on farms worth more than £1 million.
Parliament is due to debate the petition on Monday.
In pictures: Nigel Farage attends farmers demonstration
11:31 , HollyReform UK leader Nigel Farage and Derek Chisora attend a farmers demonstration against proposed changes to inheritance tax rules for inherited farming assets.
Nigel is 'jumping on the bandwagon' - protest organiser claims.
11:22 , Holly EvansNigel Farage is not invited to today's protest, organised by Save British Farming.
Instead, the Reform leader is addressing farmers making a pit stop on their way to London this morning.
Asked if Mr Farage was welcome, Liz Webster, founder of Save British Farming, told The Independent his support for Donald Trump and an American trade deal undermined British farmers.
Farmers fear a trade deal would allow in chlorinated chicken and other products that would undercut them.
Ms Webster: "Nigel likes to be seen as part of the farming community, but you can't have your cake and eat it. Nigel is in awe of Donald Trump, he is the first person to want an American trade deal, if you have the American trade deal that destroys British farming, so you can't have both.
"If Nigel really did support farming he wouldn't be supporting a trade deal with America and Donald Trump.
"Getting rid of our food security to bend a knee for Donald Trump leaves us in a very precarious position. How do we have sovereignty if we do that?"
She added: "I think everyone can see he is jumping on the bandwagon, he's not been invited to speak at any of these events and he just comes along. He wants to be seen as the man of the countryside, if he is then he needs to drop his love of Donald Trump."
First tractors arrive in Whitehall
11:16 , Holly EvansThe first few tractors have started to arrive in Whitehall ahead of this afternoon’s rally.
Our reporter Barney Davis is at the scene and will be bringing all the latest updates.
Analysis: Farage in the spotlight is bad news for Badenoch
11:02 , Archie MitchellMonday’s protests against Labour’s tax raid on family farmers have once again seen Nigel Farage take centre stage - and it is bad news for Kemi Badenoch.
With growing frustration among voters at Labour’s first eight months in office, the official opposition should be taking the chance to rebuild ties with the public and taking the fight to Sir Keir Starmer and Rachel Reeves.
Instead, all eyes are on Mr Farage and his Reform UK MPs. Headlines over the weekend were dominated by the party, and whether it will enter into a pact with Ms Badenoch’s Tories before the next general election.
Even the government’s current media strategy - to flex its muscles over illegal migration - is aimed squarely at Mr Farage and his pals.
It means Ms Badenoch, already a relatively unknown figure compared with Mr Farage, is squandering valuable opportunities to capitalise on Labour’s more unpopular policies and rebuild the Tory brand.
The next general election is increasingly shaping up as a battle between Sir Keir and Mr Farage, while Ms Badenoch risks sliding into irrelevance.
Why have the changes been brought in?
10:52 , Holly EvansThe Government has said “difficult decisions” had to be made to fill a £22 billion fiscal hole it inherited from the Conservatives, and it is targeting the agricultural inheritance tax relief to make it fairer.
It said figures showed that 7 per cent of the wealthiest estates account for 40 per cent of the total value of agricultural property relief, costing the Treasury £219 million.
Reform UK will not do a pact with the Conservatives
10:41 , Holly EvansReform UK leader Nigel Farage said his party will not do a pact with the Conservatives because they do not consider them to be “honourable”.
Asked if he stood by Reform UK chairman Zia Yusuf’s comments that the party would not do a pact with the Tories or Boris Johnson, Mr Farage told the PA news agency: “To do a pact with people, you’ve got to think, I’m going to shake your hand and you’re an honourable person.
“After the betrayal post the 2019 election, we do not believe them to be honourable. Simple as that, so the answer is no.”
Speaking at a Farmers To Action event in north London, Mr Farage added: “I think we’re the ones providing the challenge. We’re the ones out doing stuff every day. We may only have five MPs, but boy, they’re certainly being felt in Westminster, and the Labour Party doesn’t know what it is anymore.
“And frankly, today’s the 100th day of Kemi Badenoch’s leadership – it doesn’t stand for anything.”
Farage calls on farmers to put pressure on rural Labour MPs
10:19 , Holly EvansReform UK leader Nigel Farage said a campaign by farmers against changes to inheritance tax rules can be successful if it is “persistent and peaceful”.
Speaking at a Farmers To Action campaign event in north London before a tractor rally in Westminster, Mr Farage told the PA news agency: “I’m pleased to see the campaign is ramping up. It’s growing right across the country.
“The message I’ve been putting to them, I think they’re listening too, which is 100 Labour MPs now represent rural seats – if they see local communities getting behind these families, they’re going to start getting scared, and they’re going to start putting pressure on No 10, and let’s face it, they’re in pretty big trouble already.
“So I think if this campaign is persistent and peaceful, they can get change.”
Asked if he thought inheritance tax should be scrapped completely, Mr Farage said: “Yes, I do actually. You’re basically taxing money that’s been taxed already as a death tax, and it’s horrible.
“People living in semi-detached houses in London are now dragged into inheritance tax. And yes, of course, you can do seven-year planning and all the rest of it, but unlikely things happen. I honestly believe just getting rid of inheritance tax as a whole would be a good thing.”
How many farmers will be affected by the changes?
10:00 , Holly EvansAccording to the Treasury, some 27 per cent of estates claiming agricultural property relief (APR) were above the £1 million threshold in 2021/2022, suggesting that nearly three-quarters of farms would not fall within the scope of the charges.
The Treasury says around 500 estates a year are expected to pay inheritance tax under the changes.
However, the National Farmers’ Union (NFU) says farm businesses have also qualified separately for business property relief, which can cover things such as harvested grain and livestock, machinery and diversified businesses such as camping on a farmer’s field.
Now the two are combined, with a single £1 million allowance before inheritance tax is levied, which could mean more farms are in scope.
The NFU points to figures from the Environment Department (Defra) showing that 66 per cent of farm businesses in England have a net value of more than £1 million.
But the Government has countered that analysis, saying that looking at asset value alone does not necessarily mean the farm will be affected, as it depends on individual circumstances.
NFU supports members taking part
09:36 , Holly EvansThe National Farmers Union, which has organised previous protests, said it supported any of its members taking part.
NFU President Tom Bradshaw said: “The strength of feeling around the proposed family farm tax is still incredibly high.
“We support any members who want to take part in other respectful and lawful demonstrations which work towards our aim to stop the family farm tax.”
Reform UK leader calls for end of 'death taxes'
09:17 , Holly EvansSpeaking at Belmont Farm in North West London, Nigel Farage has called for the end of “death taxes”.
The Reform UK leader has been a vocal opponent to the inheritance tax rate on farms since it was announced in the October Budget.
On stage at a gathering of the group Farmers to Action, he said: “No to death taxes full stop. End death taxes. They are wrong. They are immoral at every level.”
Why do farmers say the changes are a problem?
09:00 , Tom WatlingAccording to the National Farmers Union, while farms may have a high nominal asset value – the value of their land and business assets – the returns from farming are often very low, so farming families may not have the reserves to pay for inheritance tax liabilities without selling off assets.
The NFU’s president Tom Bradshaw said the change had left elderly farmers in the “cruellest predicament”, as they may not live for another seven years to take advantage of exemptions for gifting assets, or to hand over assets in a way that qualifies for the gifting exemption.
He has also warned the changes could undermine investment as farmers will be wary of increasing the balance sheet as they will be liable to pay inheritance tax on it.
There are also concerns that it could affect tenant farmers if landowners no longer benefit from having a tax exemption for farmed land.
Mr Bradshaw said there was a feeling among farmers that the Government did not understand food production.
Nigel Farage seen at farmer's rally
08:44 , Holly EvansReform UK leader Nigel Farage joins farmers and their tractors at Belmont Farm in north London.
The rally in Westminster over the changes to inheritance tax (IHT) rules in the budget is set to take place later today.
Every major supermarket turns on Starmer over tractor tax
08:29 , Holly EvansEvery major British supermarket has turned on Sir Keir Starmer over his tax-hiking Budget, warning the raid on family farmers will put food supply chains at risk.
Tesco, Sainsbury’s, Morrisons and Asda are among the supermarket giants signed up to a damning letter warning over “the long-term stability of the nation's food resilience”.
Lidl, Aldi, Co-op and Marks & Spencer have also signed the letter calling for the “abhorrent” tax raid, to be dropped.
Read the full article here:
What are the changes to farm tax?
08:14 , Tom WatlingPreviously, farming businesses qualified for 100 per cent relief on inheritance tax on agricultural property and business property.
But now the tax is being imposed on farms worth more than £1 million, with an effective tax rate of 20 per cent on assets above the threshold, rather than the normal 40 per cent rate for inheritance tax.
The Government says that the actual threshold before paying inheritance tax could be as much as £3 million, once exemptions for each partner in a couple and for the farm property are taken into account.
Pictured: Farmers and their tractors in north London
08:05 , Holly EvansFarmers and their tractors at Belmont Farm in north London, ahead of a rally in Westminster over the changes to inheritance tax (IHT) rules in the budget which introduced new taxes on farms worth more than £1 million.
Farmers vow to ‘haunt’ government until change enacted
07:45 , Tom WatlingFarming groups have vowed to “haunt” the Labour government until they reverse plans to extend inheritance tax to agricultural property.
Country Land and Business Association (CLA) deputy president Gavin Lane, who will be among the speakers taking to the stage on Whitehall for today’s protests, said: “The government is hoping we’d move on, but these are our livelihoods we are defending.
“This issue will haunt them until they see sense. The case against these tax reforms is only growing stronger, and we are working to bring the whole of British industry together for the common good.
“We are delighted to be supporting the rally on Monday and thank everyone involved, and the public, for their backing.”
