LOCAL voices have expressed their concern regarding the future of family farming following this week’s budget.
On October 30, Chancellor of the Exchequer, Rachel Reeves, took to the lectern in the House of Commons to announce the newly elected Labour government’s financial plans.
While some will be pleased with the outcome of the budget, which tackled subjects from taxation and pensions, to public transport and NHS spending.
However, a number of local political figures have publicly expressed their concern following announcements surrounding farming.
Ben Maguire, Liberal Democrat MP for North Cornwall has said he fears that this could mark the beginning of the end of family farming.
This comes following changes to Agricultural Property Relief. The changes will see any assets valued at over £1-million are now set to be liable for an effective rate of inheritance tax of 20 per cent from 2026 onwards.
In response to this, Mr Maguire said: “I fear that we will begin to see the end of the family farm in North Cornwall. The Chancellor’s assertion that three quarters of agricultural holding will be unaffected by her changes is naïve at best. A quick glance at any estate agent window will show you how far off the mark this is.
“Farming families are asset rich and cash poor, with incomes that do not even reflect the minimum wage for family members. Six-figure tax sums will fragment farms that have been in families for generations and disincentive the next generation from taking on farm stewardship.
“The Liberal Democrats will be fighting this tooth and nail and there is nowhere that these measures hit harder than North Cornwall.
“I invite the Chancellor to meet with Cornish farmers herself and hear firsthand their worry and anxiety following this announcement.”
As well as Mr Maguire, local farmer and Cornwall Councillor for Altarnun and Stoke Climsland, Adrian Parsons has vocalised his concerns.
He said: “As with all budgets there will be winners and losers, but I know many people are feeling incredibly sore after yesterday’s.
“I think it highlights how out of touch many politicians have become from those in business who in recent times have struggled with red tape, ever increasing in tax rises and little benefit for putting in a hard days work. It is clear Cornwall will be hit harder than most areas, by the nature of its demographic.
Are you a local farmer? What are your thoughts on this week’s budget? How will it affect you? Let us know via: [email protected]