Conservative Group appeal to Newark and Sherwood District Council to write to Labour Chancellor of the Exchequer Rachel Reeves to reconsider additional taxes on British farmers

A council has agreed to write to the government urging a reconsideration of plans to place additional taxes onto British farmers.

In the most recent budget, the Labour government took the decision to introduce a levy inheritance tax on agricultural land — a decision which led to widespread protests by farm owners who worry that the tax will threaten their operations and legacy.

Under the plans, farms valued at over £3m will be taxed 20% on every pound over this threshold when the current owner dies and passes the farm on to a relative.

In an effort to show support for farmers across the Newark area, the Conservative Group tabled a motion asking Newark and Sherwood District Council to write to the Chancellor of the Exchequer Rachel Reeves on behalf of district’s farming community, urging a reconsideration of the plans.

Introducing the motion, Johno Lee said that a large portion of Newark and Sherwood was used for agriculture purposes, and that there was a duty to “protect family-owned farms from excessive tax burdens”,

He argued that there are “immediate and long-term risks” posed to local farmers and multi-generational farming families by the current budget measures.

During the debate which followed, there was disagreement over the purpose and effect of the government’s inheritance tax changes, but universal acknowledgment of the vital role that farmers play in the protecting food security, caring for the environment, and supporting the economy.

Roger Jackson and Sylvia Michael, both with personal experience of running farms, spoke in support of the motion, saying that the measures would also indirectly have an impact on many other small independent businesses within farming communities.

Mr Jackson added: “Farmers are at the heart and soul of this community.

“The only people that can thrive and survive are the same people that Labour was trying to get with this tax.”

It was also argued that the country needed to support farmers as much as possible to ensure food security and to become less reliant on foreign imports.

Others agreed, with Tim Wendels saying he thought the budget decision was “an error of judgment by the government” and Keith Melton believing it was a “significant misstep”.

Council leader, Paul Peacock, acknowledged the difficulties that farmers face but said he wanted to “bring balance” to the debate.

He said that the country faced the “highest tax burden since the second world war” and that this had “not happened in the last six months” since Labour won the General Election.

“1,300 farms a year will be passed over to the next generation — but only 200 will be affected by this tax,” he said.

While explaining that the 20% tax is only applied to anything above £3m, and that families could spread the payments out over ten years, Mr Peacock said the “effect will be minimal.”

He also argued that much of the economic problems facing the country today had been inherited from the previous Conservative administration, with inflation and the effects of Brexit, having a greater impact than inheritance tax.

He was supported by deputy leader Rowan Cozens who said that “farmers are not all the same” and that she wasn’t sure “writing to a woman in Westminster” would be helpful.

Ms Cozens said the approach should instead shift to making farming practices and food production more affordable, and that the topic should not be used at a district level to “politically point score.”

Phil Farmer disagreed, saying: “We’re not playing political games here.

“This is about support people who love their community — maybe not in your area, but certainly in mine.”

Mathew Spoors said that running a farm is incredibly complex and requires a great deal of “love and passion”.

Adding to this, Penny Rainbow said: “Farming is a proud way of life, which they work hard to protect.

“We always hear that small business are the backbone of this country, so we need to start showing them the respect.”

Jack Kellas, leader of the Conservative Group and council opposition, described the inheritance tax as a “disastrous decision”.

He said “the strength of feeling across Newark and Sherwood on this matter is clear” and that he was “pleased that a majority of council colleagues came together” in support of farmers and urged the government to reconsider.

In closing the debate, he added: “I am certain [this motion] will help local farmers to continue farming local land.”

The motion was carried by a recorded vote, 18 votes to 16.

Voting for approval were; Neil Allen, Adrian Amer, Irene Brown, Phil Farmer, Simon Haynes, Roger Jackson, Jack Kellas, Johno Lee, Keith Melton, Sylvia Michael, Emma Oldham, Penny Rainbow, Karen Roberts, Sue Saddington, Matthew Spoors, Tina Thompson, Tim Wendels and Time Wildgust.

Voting against were; Alice Brazier, Lee Brazier, Celia Brooks, Rowan Cozens, Susan Crosby, Simon Forde, Andy Freeman, Jean Hall, David Moore, Paul Peacock, Claire Penny, Mike Pringle, Neil Ross, Maurice Shakeshaft, Paul Taylor, and Linda Tift.

Following the vote, Johno Lee, said: “I’m proud that this council has stood up for our farmers.

“Supporting those who work tirelessly to feed the nation and care for our countryside is vital.

“By backing this motion, we send a clear message that we value their contribution and will fight to protect them from harmful proposals that threaten their livelihoods.”

The council will now write to the Chancellor of the Exchequer, Rachel Reeves.