The Chancellor’s inheritance tax hike on farmers it is putting food security at risk in the UK, the former Foreign Secretary James Cleverly has warned.
Cleverly told reporters he is fearful that Labour has not even thought of a scenario of “moderate disruption” to British food supplies.
Cleverly said, “I do worry that this Government is really blase about food and farming, because it cannot envisage a circumstance where there is even a moderate disruption of UK accessibility to core foods, particularly carbohydrates.
“If they’re right, well, I’m not sure I still agree with driving farms out of business. If they’re wrong, the stakes are so high it is unconscionable.”
The Department for Environment, Food & Rural Affairs (Defra) report has highlighted how geopolitical tensions have impacted the UK with Russia’s war against Ukraine, leaving Britain paying high food inflation.
A Defra spokesperson said, “Our commitment to farmers remains steadfast.
“This Government are investing £5 billion into farming, the largest budget for sustainable food production in our country’s history.
“Our reform to Agricultural and Business Property Reliefs will mean three quarters of estates will continue to pay no inheritance tax at all, while the remaining quarter will pay half the inheritance tax that most people pay, and payments can be spread over 10 years, interest-free. This is a fair and balanced approach which helps fix the public services we all rely on.”
Farmers are trying to explain to the Chancellor that her inheritance tax hikes on agricultural properties that are worth over £1 million will cause significant problems for food security in the UK.
Cleverly said that the Chancellor and policymakers should treat farmers with respect and Rachel Reeves is “one of the most stupid and counterproductive proposals I have ever seen.”
Cleverly added, “One of the problems we’ve had for a number of decades is we’ve stopped being scared about things that we should be scared of.
“Because we haven’t had food shortages in the UK in living memory, we’ve kind of convinced ourselves that that can never happen.
