UK Government must act on farm tax concerns, says Muir.

Alliance DAERA Minister Andrew Muir has reiterated his support for farmers in Northern Ireland opposing the UK Government’s planned reductions to Agricultural Property Relief.

Andrew Muir daera

Minister Muir was commenting ahead of seven tractor rallies organised by the Ulster Farmers’ Union (UFU) on Saturday (25 Jan) to protest against the changes which would see farm businesses subject to increased rates of Inheritance Tax.

                                                                

From April next year, the 100% rate of relief will be cut by half with full relief limited to the first £1m, potentially impacting half of all farms and the vast majority of farmed land in Northern Ireland, according to DAERA analysis.

 

Minister Muir has said: “Family farms are at the heart of our rural communities in Northern Ireland and are key to a thriving and resilient agri-food industry. We can be in no doubt that the UK Government’s tax on farms will have a disproportionate and detrimental impact in Northern Ireland, as evidence from my Department demonstrates.

"Given this analysis and OBR’s recent assessment that it’s highly uncertain forecast revenue will indeed be collected, it is time for the Chancellor to go back to the drawing board on this policy and properly engage with both farming unions and devolved administrations.
"I have been vocal and consistent with the UK Government in my opposition to the planned changes, raising the matter again this week with DEFRA Minister Baroness Hayman. Many of the main supermarkets have also come out this week, adding to the case for action, backing calls for changes to be paused and full consultation undertaken.

 

“Next week, I will continue to raise the matter when I meet with my counterparts in the UK, Scottish and Welsh governments, and again later in the week when meeting the UFU and NIAPA alongside the Finance Minister to discuss further ways to make the case to the UK Government for action.”