The UK must urgently adopt a “strategic” approach to rural policymaking, the chairman of the Parliamentary Environment Committee warns of growing frustration among agricultural and fishing communities across the country. I stated.
Alistair Carmichael said his cross-party group “provides a bit more consistency in rural community policies and helps shape a better future for agriculture amid criticism from the sector of workers’ inheritance tax reform,” Financial He told the Times.
“At the official level, there is no strategic plan for what the government wants to achieve,” says Carmichael, a liberal Democrat in Orkney and Shetland. Without a strategy, “that frustration and what we see in rural communities in general, but farmers in particular only continue and worsen.”
Comments by Carmichael came as farmers headed to London on Monday to stage the latest in a series of protests against reforms to inheritance taxes set out by Prime Minister Rachel Reeves in the fall budget.
Farmers are upset by the planned changes and warn that many have to sell their farms to pay previously exempt collections.
Reforms means that from April 2026, landowners will be subject to 20% collection of farmland above the £1.3 million to £3 million threshold, depending on whether they are married or not.
Carmichael, who was appointed chairman of the House Environmental Environment, Food and Rural Affairs Committee in September, said the change in IHT was “a catalyst that really sparked anger.” . . In fact, there was a long-standing misfortune in the agricultural community. ”
In addition to the large tax bill outlook, the sector could see additional costs of climate change, real cuts in subsidies, high inflation, too thin margins, and increased competition as the UK attacks post-Brexit trade transactions I’m fighting to absorb sex.
Farmers are planning another London demonstration of inheritance tax reform © Charlie Bibby/ft
Environment Secretary Steve Reed faces hostile receptions from farmers with many official appearances since the budget announcement, including a line of tractors trying to block exits from the Oxford Agricultural Conference last month. I’m doing it.
The fiscal watchdog, the office for budget responsibility, estimated that the IHT policy would raise £500 million per year between 2027 and 2029, in line with government estimates.
Carmichael, whose northeast coast constituency in Scotland’s northeast coast, is home to remote agriculture and fishing communities, says the government spends a lot of political capital on policies that “will ultimately not bring much money to the Treasury.” He said.
“My concern is that they (the government) are a bit bothered,” he added, “a cluttered, cluttered, with the Ministry of Environment, Food and Rural Affairs, made up of multiple arm-length bodies and regulators. “The scenery” explains.
“It’s hard to get Steve Reed anywhere in the country right now without people getting mad and driving a tractor.”
In the budget, the government also announced it would accelerate the wind-blowing period of old EU farm subsidies, cutting support for up to 79% of farmers this year.
The environmental land management scheme introduced by the Conservative government to replace EU subsidies is rewarded by farmers for participating in green initiatives such as tree planting and regenerative agriculture, but food security has been criticized for erosion.
“At this point, there is an agricultural policy that actually drives people out of food production,” Carmichael said, adding that the committee has decided to establish a proper definition of food security. “Does that mean greater dependence on domestically produced food? I think we should.”
Carmichael said the government should ease its approach and consider policy exemptions.
“All of these are possible, but when the whole discussion is presented as a binary choice, it just becomes productive.”
The government states that “our commitment to farmers and rural communities remains immovable.”
It added that “we will invest £5 billion in agriculture over the next two years” and that its policy means that farmers will pay a 20% reduction in the succession tax rate, not the standard 40% of other companies. It can spread for 10 years without interest.”
