𝓤𝓷𝓲𝓽𝓮𝓭 𝓝𝓮𝔀𝓼

Owners of a 328-year-old family-run business have criticised Labour’s “short-sightedness” amid its tax raid on firms.

Britain’s oldest wine and spirits merchant, Berry Bros & Rudd, has survived the Great Depression, world wars and the Covid-19 pandemic.

But the firm’s chairwoman, Lizzy Rudd, 60, has said the company is now forced to survive under the policies of the Labour Government, which have led to redundancies.

Ms Rudd said: “We’re 328 years old. We’ve weathered a lot of storms before over the years. Our trajectory is always about thinking long term, making sure we’re resilient.

“Our ethos is we want to be a business that’s a force for good. We want to employ people. We want to do the right thing for society. We want to invest for the long term.

“We think about future generations, not just the shareholders, but future generations of all stakeholders and the environment and that’s a lot to think about.

“This Government has really made that much harder for businesses like us.”

A major challenge for the firm, which has supplied the Royal Family since the reign of King George IV in the 19th century, was Rachel Reeves’s inheritance tax raid.

In the 2024 autumn Budget, Ms Reeves announced 100% relief for combined agricultural and business property was initially set to be restricted to £1million per individual, dropping to a 50% relief rate thereafter from April 2026.

Following an outcry and intense campaigning by the Daily Express, the allowance was increased to £2.5million per estate, with unused allowance transferable between spouses and civil partners.

But Ms Rudd called for BPR and APR to be reinstated at 100%.

She added: “Or at least for those of us who are trying to do the right thing, do a carrot and stick approach. So, give relief to the people thinking longer term and trying to do the right thing for the planet and society, and tax the people that aren’t.

“It’s perhaps not a one-size-fits-all. How can they incentivise the people wanting to do the right thing and disincentivise those who are damaging society and the planet as they go about business?”

The mother of three added: “We’re not a high-margin business. We’re not just about profit. And to tax us on our assets is all wrong. We’re very happy to pay tax, but tax us on the profit, on the cash that we generate. Not on the assets that we’re using to make the business work.”

The green-minded firm, which has recently expanded into the US, could look to sell assets if it means protecting its future.

Ms Rudd told how the cost of doing business “has risen enormously” in recent years.

She blamed a number of challenges on the tricky business environment in Britain, including tax increases, rising inflation and energy costs.

The businesswoman also said the wine and spirits market is “tough” globally, with a shift in the amount of alcohol being drunk by young people.

Ms Rudd urged the government to lower taxes in a bid to inject stimuli for growth to boost investment.

When asked about the Labour government’s approach so far, Ms Rudd said: “It’s really frustrating. Short-sighted. We want them to think longer-term to create the changes we’re trying to create as a tiny microcosm. Think longer term.

“The other thing that we talk a lot about is that we really need to be bold. I know the electorate are saying this a lot. We want major change. We all need to make major changes. We’re trying to do that in our own very small way as a small family business because it’s the right thing to do.

“We’re prepared to take difficult decisions because that’s what the world needs. We’re prepared to stick our necks out and be bold and challenge the status quo and take difficult decisions because we have to. We do it for the sake of our children and our grandchildren, because we can look ahead and we see the risk and we can see what’s coming.

“I wish our governments would do the same.”

The Government has been contacted for comment.