A Salford farmer has called for more support, calling the government’s family farm tax the ‘nail in the coffin’ to the industry.
Janine McMahon, owner of Moss Lane Farm in Eccles, expressed concerns for the farming industry following the changes to inheritance tax for farms announced in the Budget, saying that she may have to rethink her future plans.
The changes, being implemented from April 2026, state that inherited agricultural assets worth more than £1m will be liable to the tax at 20%.
Agricultural property relief (APR), which was first introduced in 1984, has allowed exemptions on all land used for crops or rearing animals – as well as farm buildings and homes.
Janine owns the organic Eccles farm, which uses agroecology farming methods to produce fresh fruit and vegetables. The farm is also home to rear bread sheep, hens, pigs and honey bees.
“‘Anybody who works for the land has really been hit hard, and this kind of inheritance tax was probably the nail in the coffin, because coming out of Brexit, has led to change from a cultural perspective,” she said.
The 44-year-old, who has four boys aged 16, nine, eight and five, who she planned to pass the farm onto says that her plans will now have to change.
“”I have four kids, and although it’s only starting off at 20% now, it’s more than likely going to increase by the time my boys get to an age of the farm being passed down to them,” she added. “This gives me a new outlook on what’s the best idea for the future.
“We are moving across to more of a community owned farm, which then obviously gets to stay within the hands of the community. I think overall, it is going to be a huge shift, and I hope it’s going to mean people can still access the land.”
The Treasury has estimated that around 500 farms per year will be affected by the new inheritance tax.
Farmers have experienced many challenges over the last few years with Brexit leading to a loss of subsidies and fiercer competition from cheaper imports.
Many are also being forced to move towards a more environmentally friendly way of farming.
Janine added: “You’ve got farmers who have really been penalised. It’s really unfair, they’ve obviously been blamed for climate change, they’ve been told what to grow for 50 years, now they’ve been told they can’t grow that anymore, and now they’ve been told that they can’t pass the land down to the family.
“So it’s real, real tough. In fact, it’s unfair and inhumane, really, considering we need the land, to grow the food, to keep society eating well and healthy. We need support not only farmers and growers now, but also to support future generations.
“We really do need some kind of strong, fundamental support from local authorities to get people back working on the land. There needs to be a food network and some green apprenticeships so that people have the opportunity to get involved.”
Recent Comments