UK farmers block Parliament streets with tractors in protest against inheritance tax

Hundreds of UK farmers with tractors blocked streets around parliament Monday hoping to force the Labour government to reverse a planned farm tax they insist will cost them dearly.

“War on farmers” read the message on one of several Union Jack flags flapping in the wind as opposition politicians joined in the latest demonstration against the levy, due to start next year.

Prime Minister Keir Starmer’s administration recently announced that to find vital new revenue, some farms would no longer be exempt from inheritance tax, a long-standing measure designed to facilitate the family handover of farms.

“We’d have to sell the farm, we’re not making enough money to continue and pay succession tax,” Toby Cawston, aged 21, said of his 2,200-acre (890-hectare) farm in Suffolk, eastern England, should the government stand firm.

“It’s unlikely that they listen to us, unfortunately,” he told AFP.

From April 2026, the exemption will be capped at £1 million ($1.2 million). Beyond that, a 20 percent tax will apply, half the normal rate.

The government insists the tax will affect only the 500 largest properties and opportunists who have bought land to avoid taxes.

“This government’s commitment to farmers is steadfast,” Starmer’s spokesman said Monday, noting it recently committed £5 billion to support “their vital role in delivering food security to people around the UK”.

Farmers feel let down, however, and on Monday Nigel Farage, leader of the hard-right Reform UK party, voiced confidence the protests would force the government to U-turn.

“I’m pleased to see the campaign is ramping up, it’s growing right across the country,” he said, ahead of joining the demonstration that saw tractors drive past parliament and close to Starmer’s Downing Street residence.

Farage insisted peaceful protests would help farmers “get change”.

A total 17 percent of UK farms made no profit in 2023 and only 41 percent made more than £50,000, according to government figures.

However, it is the value of the land together with other agricultural assets that matters regarding the planned tax.

“My brother has three kids and they only aspire at being farmers, they don’t want to be millionaires but they want to keep the (family) farm,” said Vanessa Hartley, attending Monday’s rally.

She argued that “millionaires” with no interest in producing food would end up buying the farms.

As in many countries, rising energy costs, environmental constraints and pressure on prices from the food industry and large retailers are hitting UK farmers hard.

Britain’s departure from the European Union has also complicated agricultural exports and the recruitment of seasonal workers, while new bilateral trade agreements post Brexit have led to unfair competition, according to farmers.