Suffolk County Council opposes ‘family farm tax’

Suffolk County Council has become the latest to formally oppose the Labour government’s plans to impose 20% inheritance tax (IHT) on farm assets of above £1m.

The motion was proposed by council leader Matthew Hicks and read: “The council believes that these changes create a ‘family farm tax’, which fundamentally undermines the viability of Suffolk’s farming sector and threatens our nation’s food security.”

It also noted analysis by the NFU which shows that about 75% of working farms could be affected by the tax at time of succession.

See also: Town hall rebellion grows against ‘family farm tax’

The council voted 56 votes in favour to four against, and resolved to write to chancellor Rachel Reeves to set out its opposition and demand a rethink.

Cllr Hicks said: “We believe the changes to agricultural property relief represent a direct threat to our farming community.

“We must do everything we can to protect local farmers and their communities, who play an essential role in sustaining our rural economy and food security.”

Growing list

Suffolk County Council joins a growing list of councils formally opposed to the government’s IHT plans.

In recent weeks, Cornwall, Buckingham, North Northampton, Staffordshire Moorlands, Norfolk, Northamptonshire and Devon have passed similar motions.

A vote was also held by the London Assembly on 5 December, but was defeated by 10 votes to nine, with the Greens and Labour standing firm.

Cheshire West was also due to consider a motion against the IHT plans on Thursday 12 December, but the Labour leader of the council blocked the vote from taking place.

This week’s decision by Suffolk has been applauded by Mo Metcalf-Fisher, director of external affairs at the Countryside Alliance.

“It is also encouraging that many of these motions are getting cross-party support,” he said, noting that the Suffolk motion was supported by the Conservatives, Lib Dems, Reform, Greens and independents.

“The town hall rebellion appears to be sweeping across England quickly and we thank all those councils who have made a stand already,” he said.

“If the chancellor will not listen and work with the farming community to find a way forward, her battle with the countryside will simply become a long-running sore.”