Senior Welsh Labour MP criticised over proposed changes to farm tax

Emily Price

A Senior Welsh Labour MP has been criticised over the UK Government’s proposed changes to inheritance tax for farmers.

In a cutting opinion column published by the Abergavenny Chronicle, leader of the Monmouthshire Conservatives, Richard John, accused the MP for the area, Catherine Fookes, of “betraying” farmers.

Over Christmas, UK ministers announced they would raise the inheritance tax relief threshold for farmers from £1 million to £2.5 million in a climbdown following months of protest.

The change to the reforms initially unveiled at Labour’s first Budget last year came following an “open dialogue” with the farming sector, the Department for Environment, Food and Rural Affairs said.

The original Treasury plans to raise money as farmers pass their businesses from generation to generation triggered protests with tractors outside Parliament and criticism from some Labour MPs in rural seats.

In his opinion article, Tory Councillor Richard John warned that the partial U-turn would still make the UK more dependent on imported food and cause massive environmental damage, “harming the guardians of our rural county”.

He wrote: “Families who have farmed for centuries will be forced to sell land to meet these punitive tax bills.

“That means breaking up family farms, the loss of local jobs and a countryside increasingly vulnerable to speculative development.

“It is not just a blow to farmers — but to every resident who values the green landscapes and local food security that these farms provide.”

‘Unrivalled’

Lashing out at Catherine Fookes, John said that in her role as Parliamentary Private Secretary, she had “unrivalled access” to 10 Downing Street but had provided no evidence of lobbying colleagues.

He wrote: “What farmers have found particularly hurtful is the betrayal of our local MP, Catherine Fookes, who ahead of the general election said rural communities were safe in Labour’s hands.

“She claims to have ‘lobbied for changes’ to the inheritance tax plans, but has been unable to produce any evidence of lobbying senior colleagues.

“When faced with the choice, she voted for this policy.”

A source close to Fookes said the proof John was calling for involved “sensitive constituent casework” that could not be shared publicly for legal reasons.

Engagement

Markus Campbell-Savours, who represents the rural Cumbrian seat of Penrith and Solway, was the only Labour MP to vote against Westminister’s farm tax plans.

He lost the party whip earlier in December and remains expelled, with Labour saying it will review his suspension in due course.

Last week, Fookes welcomed Sir Keir Starmer’s announcement that the inheritance tax threshold for agricultural property would be increased.

A recent press release issued by the Monmouthshire MP stated that the change followed “months of engagement” with farmers across Monmouthshire, including meetings with local farmers, the NFU and FUW, and a farmer support surgery held earlier this year at Monmouth Livestock Centre.

Fookes said that during this time she raised farmers’ concerns and figures “directly with the Treasury” highlighting the “potential impact” the original proposals could have had on family farms.

She said: “I warmly welcome the announcement that the inheritance tax threshold for agricultural property has been increased, allowing a maximum of £5 million to be passed on tax-free, protecting small family farms in Monmouthshire.

“Over recent months, I have raised this on behalf of Monmouthshire’s farmers as well as on behalf of the NFU and FUW with the Treasury and with DEFRA and written numerous letters on behalf of constituents too.

“I also hosted a farmer support surgery at Monmouth Livestock Centre earlier in the year and spoken up in debates in Parliament about this issue.

“I have consistently conveyed how anxious many farmers and rural families have been about the original proposals and I’m very glad the Government have listened to those concerns and made this change which means small family farms will be protected.

“I will continue to work with our fantastic farmers to make sure their views are heard at the very highest levels.”