Farmers propose clawback alternative to IHT tax changes

Farmers are still trying to reverse the inheritance tax changes which will begin in April 2026, but ministers ‘bluntly refused any suggestion of a compromise’ at a meeting this week

The group of farmers’ representatives asked for the meeting with Treasury and Defra ministers to discuss their proposals about how to ensure a more affordable, fair way to implement the changes to inheritance tax which will see the reduction in agricultural property relief to £1m from the current tax free status for farms.

James Murray, Exchequer secretary to the Treasury, and food security minister Daniel Zeichner met with representatives from the National Farmers Union, Tenants Farmers Association, Country Land and Business Association and the Central Association of Agricultural Valuers, but refused to budge on the chancellor’s plans announced in the October Budget.

National Farmers Union president, Tom Bradshaw said: ‘We went into this meeting fully understanding the fiscal hole this government must plug, and we went into this meeting to offer a solution. Disappointed doesn’t cover how I feel.

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