UFU president John McLenaghan, on his farm near Garvagh. Picture: Cliff Donaldson
The Ulster Farmers’ Union (UFU) is calling on Prime Minister Andy Burnham to honour his pre-election commitment to “look again” at proposed changes to Agricultural Property Relief (APR) and Business Property Relief (BPR), and to demonstrate he is listening to farm families.
Prior to the Makerfield by-election, Mr Burnham acknowledged the widespread concern surrounding the inheritance tax proposals and pledged to revisit the issue if he became Prime Minister. Further, the Prime Minister’s comments over the weekend acknowledging that Government has more work to do to rebuild trust with farming families and stressing the importance of domestic food production are welcomed.
The UFU now expect his commitment to agriculture to be reflected in Government policy without further delay.
UFU president, John McLenaghan, said, “Before becoming Prime Minister, Andy Burnham recognised the devastating impact that the measures would have on family farms and committed to looking again at Agricultural Property Relief and Business Property Relief. Now it’s time to follow through on that commitment.
“The Prime Minister’s comments over the weekend are encouraging. A full reversal of the APR and BPR changes would be a clear opportunity for the new Government to demonstrate that it is listening to farmers and serious about resetting that relationship.”
Under the current regulations as introduced in April, Agricultural Property Relief applies to the first £2.5 million of qualifying agricultural and business assets that can be transferred between spouses or civil partners, with 50% relief applying thereafter.
“The changes to the damaging policy announced by Government in December and implemented in April were a step in the right direction and have instilled a sense of relief for many farming families, but they do not go far enough and uncertainty remains for some. We need a full policy reversal.”
The UFU will continue to engage constructively with Government ahead of the Budget and will make a detailed pre-Budget submission setting out why proposals should be reconsidered.
“We hope the Prime Minister will honour his commitment to re-look at the proposals and the Government must use the Autumn Budget, or tax measures before, to deliver a policy that protects the future of family farms and gives the next generation confidence to invest in the industry,” added Mr McLenaghan. “A full reversal of the previous Government’s changes is necessary.”
“We continue to ask all political parties at Westminster to ensure a complete policy reversal remains a priority in manifestos ahead of the next election.”
