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Farmers dealt brutal blow as Rachel Reeves's inheritance tax raid backed by MPs
Reach Daily Express | December 3, 2025 9:39 AM CST

Rachel Reeves's inheritance tax raid on farmers was backed by MPs in the Commons tonight. MPs voted 327 to 182, majority 145, in support of the Government's plans to slap inheritance tax on farms worth over £1 million.

One rural Labour MP, Markus Campbell-Savours, voted against the changes, while others abstained after being urged to by the National Farming Union (NFU). Shadow Environment Secretary Victoria Atkins said: "I commend the Labour MPs who did not vote for Labour's family farm and family business taxes tonight.

"Shockingly, 314 Labour MPs, including the current Defra Secretary of State and Farming Minister, put their own jobs first and voted for the death tax, more farm closures and higher food prices.

"Trust in this weak government has crumbled as the country realises it cannot afford Benefits Street Labour.

"Only the Conservatives will stand up for rural communities and axe the Family Farm and Family Business Taxes."

The Government has faced an ongoing backlash for restricting the current 100% inheritance tax relief for farms to the first £1 million of combined agricultural and business property in the Chancellor's first Budget.

Mr Campbell-Savours, the Labour MP for Penrith and Solway, warned of the impact of the inheritance tax plans.

He said: "Members across the House have made the case against these changes, changes which leave many, not least elderly farmers, yet to make arrangements to transfer assets, devastated at the impact on their family farms.

"Many farmers feared this was coming. Some transferred in advance. Others contacted Labour candidates who reassured them, based on public commitments from the then shadow secretary of state for Defra, that APR would not be touched.

"I was one of those Labour candidates, and it's for that reason I'll be voting against the Budget resolution enabling these changes."

Mr Campbell-Savours said he wants to be able to walk around his community "knowing I did all I could for them", and could not do so if he broke his word.

Mo Metcalf-Fisher of the Countryside Alliance said: "There are a significant number of Labour MPs with rural seats and their constituents will expect them to stand up and be counted when Government policy threatens to negatively impact the countryside, which the current family farm tax proposals certainly do.

"It is right that a significant number chose not to support the government tonight.

"If the Labour Party are serious about holding on to their rural seats, they are going to need to urgently reset their relationship with the countryside and pursue policies that actually help rural people".

NFU president Tom Bradshaw said: "Without change, the family farm tax will trap the most vulnerable members of our community, the elderly and terminally ill, with no ability to plan. It's inhumane and it's cruel."

Treasury minister James Murray insisted changes the Government made in the Budget are a "fair way forward".

He insisted the Chancellor "took fair choices on tax, that protected investment in our public services and that made our economy more secure".


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