No10 refuses to apologise to farmers despite Starmer’s U-turn on tax | Politics | News


Downing Street has refused to apologise to farmers despite last weekโ€™s climbdown on inheritance tax.

Labourโ€™s watered-down plans will see the relief threshold for farmers raised from ยฃ1 million to ยฃ2.5 million.

This comes after months of protests and warnings over farmers contemplating suicide to avoid the taxes as they pass their businesses from generation to generation.

But the Prime Ministerโ€™s spokesman on Monday declined to say โ€œsorryโ€ to food growers.

When asked whether Sir Keir Starmer was sorry, the PMโ€™s spokesman said: โ€œOn the point about farmers taking their own lives, this is clearly a highly sensitive issue. Our thoughts are with any family affected and it would be inappropriate to discuss individual cases but, of course, the Government takes mental health support for farmers extremely seriously.โ€

When pressed on whether Sir Keir would apologise for the anguish caused, he added: โ€œI think Iโ€™ve just said on the particularly sensitive issues our thoughts are with any family affected but we have listened to the community. These changes strike the right balance between supporting rural communities and maintaining fiscal responsibility.โ€

It was put to him one last time on whether the PM would apologise but none was offered.

Jonathan Charlesworth, who found his father John Philip Charlesworth dead in a barn on their farm in Silkstone, Barnsley, welcomed the U-turn last week but warned it โ€œwonโ€™t bring back the lives lost over the last year or so due to the anxiety caused, but will hopefully prevent a flood of suicides running up to the commencement in April.โ€

No10 also denied trying to bury the U-turn by changing inheritance tax policy during the Christmas week, and said the move came after โ€œopen dialogueโ€ with the farming sector.

Asked whether the December 23 announcement was chosen to quash news of a climbdown, the Prime Ministerโ€™s official spokesman said: โ€œThis decision was taken after careful consideration and engagement with the farming community and family businesses.

โ€œAnd listening and responding to concerns is a sign of good government, not weakness.โ€
He later added: โ€œWeโ€™re confident weโ€™ve struck the right balance between supporting rural communities and maintaining fiscal responsibility.โ€

The higher inheritance tax threshold, which will take effect in April, will allow spouses or civil partners to pass on up to ยฃ5 million in qualifying agricultural or business assets between them before paying inheritance tax โ€“ on top of existing allowances, the Department for Environment, Food and Rural Affairs (Defra) said.

Above that allowance, farmers will get 50% relief on qualifying assets and will pay a reduced effective rate of up to 20%, rather than the standard 40%.

Farmers currently do not pay inheritance tax on agricultural and business assets which they pass on.

Under Labourโ€™s initial proposal, the full 100% relief was to be restricted to the first ยฃ1 million of property.

The Daily Express had campaigned for a U-turn through the Save Britainโ€™s Family Farms crusade.

Emma Mosey, chair of the Farm Retail Association, said: โ€œThe revisions announced by the government are a positive step in the right direction and provide a much-needed lifeline for the family farms that underpin our industry.

โ€œHowever, it is a great shame that it has taken 14 months for the government to listen to the experts and the people on the ground.

โ€œThis period of uncertainty has caused significant anxiety for our members and has undoubtedly hindered the growth and succession planning of many rural

businesses.

โ€œWhile we are relieved that common sense has finally prevailed, this move will not fully heal the damage done to the trust between the government and the farming community over the last year.โ€

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