Councillor Samuel to move:
This Council notes with concern the proposed changes to inheritance tax announced by the Labour Government in the recent Autumn budget, which would scrap Agricultural Property Relief (APR). APR has been instrumental in allowing British family farms to remain intact across generations, supporting food security, sustaining rural communities, and aiding environmental stewardship.
This tax is estimated to impact over 70,000(1) family farms, leaving the average farming family with a tax bill of at least £240,000(2), which will force many to sell portions of their land or close entirely, paving the way for corporate ownership over family ownership.
The Council believes that this tax will have severe impacts:
1. Food Security: Selling off land or closing farms will put our national food independence at risk, at a time when global stability is already fragile. British family farms are critical to ensuring a steady supply of homegrown food.
2. Rural Community Stability: Family farms are the foundation of rural Britain, contributing to local jobs, schools, and essential services. Labour’s proposed tax risks destabilising communities, eroding the rural way of life, and causing a negative ripple effect across the countryside.
3. Environmental Stewardship: Farms cover 70% of the UK’s land, with family farms playing a leading role in nature recovery, biodiversity, and sustainable land management. The sale and fragmentation of these lands would hinder conservation efforts and undermine environmental initiatives.
This Council therefore resolves to:
• Oppose the Labour Government’s changes to inheritance tax affecting family farms.
• Advocate for the exemption of family farms to preserve the UK's food security, rural communities, environmental initiatives
This Council urges all Councillors to stand with Britain’s family farms, to support our rural communities, and to protect the environment by formally rejecting this proposed “family farm tax” and asks for a cross party letter from Group Leaders of this Council to write to the Chancellor expressing the concerns about the inheritance tax policy on farm land over £1m (which will come into effect in 2026), outlining the detrimental effect on the future of farming in Devon, food security, environmental stewardship and the need to sustain rural communities.
References
1. CLA 2024 October https://www.cla.org.uk/news/help-the-cla-save-your-family-business/
2. AHDB 2024 October https://ahdb.org.uk/news/ahdb-response-to-budget-2024
Decision:
The Motion (incorporating the amendment as outlined below) was then put to the vote and declared CARRIED.
Devon County Council is proud that it has maintained a County Farms Estate of 3,873 hectares (9,570 acres) which currently comprises 65 fully equipped residential dairy and mixed livestock farms categorised into starter and progression units ranging from 37 to 301 acres. The Farms Estate aims to provide people with their first opportunity to farm but with a view that within a reasonable time frame, they secure an independent livelihood from agriculture.
The Government’s proposed Inheritance Tax change is estimated to impact over 70,000 (1) family farms, leaving the average farming family with a tax bill of at least £24,000 (2), which will force many to sell portions of their land or close entirely, paving the way for corporate ownership over family ownership.
The Council believes that this tax will have severe impacts:
1. Food Security: Selling off land or closing farms will put our national food independence at risk, at a time when global stability is already fragile. British family farms are critical to ensuring a steady supply of homegrown food.
2. Rural Community Stability: Family farms are the foundation of rural Britain, contributing to local jobs, schools, and essential services. Labour’s proposed tax risks destabilising communities, eroding the rural way of life, and causing a negative ripple effect across the countryside.
3. Environmental Stewardship: Farms cover 70% of the UK’s land, with family farms playing a leading role in nature recovery, biodiversity, and sustainable land management. The sale and fragmentation of these lands would hinder conservation efforts and undermine environmental initiatives.
This Council therefore resolves to:
Ø Oppose the Government’s changes to inheritance tax affecting family farms
Ø Advocate for the exemption of family farms to preserve the UK’s food security, rural communities, environmental initiatives.
Ø Commit to maintaining the County Council Farms Estate at the current acreage as a minimum.
Ø Where possible, Devon County Council will increase the acreage and number of County Farms, so offering more people a supported route into farming and agriculture.
This Council urges all Councillors to stand with Britain’s family farms, to support our rural communities, and to protect the environment by formally rejecting this proposed “family farm tax” and asks for a cross party letter from Group Leaders of this council to write to the Chancellor expressing the concerns about the inheritance tax policy on farm land over £1m (which will come into effect in 2026), outlining the detrimental effect on the future of farming in Devon, food security, environmental stewardship and the need to sustain rural communities.
Minutes:
The Chair had previously agreed to exercise his discretion and vary the order of business to take agenda items 19 and 20, prior to agenda item 18.
(The Director of Legal and Democratic Services reminded Members that the general dispensation relating to being a land, business, property owner or leesee in the administrative County of Devon covered them in the debate on this matter).
(Councillor Wrigley had publicly registered his vote on this matter in the House of Commons, thereby being predetermined and left the Chamber during the debate and vote)
Councillor Samuel MOVED and Councillor Gilbert SECONDED that in accordance with Standing Order 6(6), the Notice of Motion submitted by Councillor Samuel be considered at this meeting.
The Motion was put to the vote and declared CARRIED.
Councillor Samuel then MOVED and Councillor Gilbert SECONDED
This Council notes with concern the proposed changes to inheritance tax announced by the Labour Government in the recent Autumn budget, which would scrap Agricultural Property Relief (APR). APR has been instrumental in allowing British family farms to remain intact across generations, supporting food security, sustaining rural communities, and aiding environmental stewardship.
This tax is estimated to impact over 70,000(1) family farms, leaving the average farming family with a tax bill of at least £240,000(2), which will force many to sell portions of their land or close entirely, paving the way for corporate ownership over family ownership.
The Council believes that this tax will have severe impacts:
1. Food Security: Selling off land or closing farms will put our national food independence at risk, at a time when global stability is already fragile. British family farms are critical to ensuring a steady supply of homegrown food.
2. Rural Community Stability: Family farms are the foundation of rural Britain, contributing to local jobs, schools, and essential services. Labour’s proposed tax risks destabilising communities, eroding the rural way of life, and causing a negative ripple effect across the countryside.
3. Environmental Stewardship: Farms cover 70% of the UK’s land, with family farms playing a leading role in nature recovery, biodiversity, and sustainable land management. The sale and fragmentation of these lands would hinder conservation efforts and undermine environmental initiatives.
This Council therefore resolves to:
• Oppose the Labour Government’s changes to inheritance tax affecting family farms.
• Advocate for the exemption of family farms to preserve the UK's food security, rural communities, environmental initiatives
This Council urges all Councillors to stand with Britain’s family farms, to support our rural communities, and to protect the environment by formally rejecting this proposed “family farm tax” and asks for a cross party letter from Group Leaders of this Council to write to the Chancellor expressing the concerns about the inheritance tax policy on farm land over £1m (which will come into effect in 2026), outlining the detrimental effect on the future of farming in Devon, food security, environmental stewardship and the need to sustain rural communities.
References
1. CLA 2024 October https://www.cla.org.uk/news/help-the-cla-save-your-family-business/
2. AHDB 2024 October https://ahdb.org.uk/news/ahdb-response-to-budget-2024
Councillor Connett MOVED and Councillor Brazil SECONDED that the motion be amended as follows, with additional text shown in red.
Devon County Council is proud that it has maintained a County Farms Estate of 3,873 hectares (9,570 acres) which currently comprises 65 fully equipped residential dairy and mixed livestock farms categorised into starter and progression units ranging from 37 to 301 acres. The Farms Estate aims to provide people with their first opportunity to farm but with a view that within a reasonable time frame, they secure an independent livelihood from agriculture.
The Government’s proposed Inheritance Tax change is estimated to impact over 70,000 (1) family farms, leaving the average farming family with a tax bill of at least £24,000 (2), which will force many to sell portions of their land or close entirely, paving the way for corporate ownership over family ownership.
The Council believes that this tax will have severe impacts:
1. Food Security: Selling off land or closing farms will put our national food independence at risk, at a time when global stability is already fragile. British family farms are critical to ensuring a steady supply of homegrown food.
2. Rural Community Stability: Family farms are the foundation of rural Britain, contributing to local jobs, schools, and essential services. Labour’s proposed tax risks destabilising communities, eroding the rural way of life, and causing a negative ripple effect across the countryside.
3. Environmental Stewardship: Farms cover 70% of the UK’s land, with family farms playing a leading role in nature recovery, biodiversity, and sustainable land management. The sale and fragmentation of these lands would hinder conservation efforts and undermine environmental initiatives.
This Council therefore resolves to:
Ø Oppose the Government’s changes to inheritance tax affecting family farms
Ø Advocate for the exemption of family farms to preserve the UK’s food security, rural communities, environmental initiatives.
Ø Commit to maintaining the County Council Farms Estate at the current acreage as a minimum.
Ø Where possible, Devon County Council will increase the acreage and number of County Farms, so offering more people a supported route into farming and agriculture.
This Council urges all Councillors to stand with Britain’s family farms, to support our rural communities, and to protect the environment by formally rejecting this proposed “family farm tax” and asks for a cross party letter from Group Leaders of this council to write to the Chancellor expressing the concerns about the inheritance tax policy on farm land over £1m (which will come into effect in 2026), outlining the detrimental effect on the future of farming in Devon, food security, environmental stewardship and the need to sustain rural communities.
The Chair of the Council MOVED and it was duly SECONDED that in accordance with Standing Order 30, Standing Order 14(4) be suspended to permit the motion and amendment to be debated at the same time.
The Motion was put to the vote and declared CARRIED.
Following the debate, Councillor Samuel agreed to accept the amendment and incorporate it into the motion.
The Motion (incorporating the amendment) was then put to the vote and declared CARRIED.
(In accordance with Standing Order 32(4) Councillors Brazil, Connett, Cox, and Dewhirst asked that their vote in favour of the motion, as amended, be recorded).