Possibility of food shortages ruled out by government as farmers urged to ‘take a calm look’ at inheritance tax plans

The government has dismissed fears of food shortages against which farmers are expected to take action. change in inheritance taxSaying that food safety is a “priority”.

Transport Minister Louise Haigh said: If farmers increase their protestsEmergencies will be in place to prevent famine.

It comes after a campaign group suggested farmers should stop supplying food to supermarkets until the inheritance tax decision announced in last month’s budget is revoked.

It is unclear how much support the farming community would give to such a move. The National Farmers Union distanced itself from the call, saying it wasn’t something it supported.

Chancellor Rachel Reeves announced changes that mean farms worth over £1 million, previously exempt from inheritance tax, will now have to pay 20% tax.

The move has sparked outrage and protests from farmers, and a mass demonstration will take place in London on Tuesday.

However, the government is sticking to this policy for now; agriculture minister Daniel Zeichner is urging farmers to “take a calm look” at the government’s plans and insists “the vast majority will be fine”.

He told the BBC’s Politics East programme: “People should look at the real facts rather than the slightly off-the-wall predictions that have been made.”

What are the changes and why are farmers unhappy?

In her first budget as chancellor, Rachel Reeves announced changes to inheritance tax rules that mean estates worth over £1 million, previously exempt from inheritance tax, will now have to pay this tax at an effective rate of 20%.

Many people say the changes will mean family-owned farms will have to be sold, leaving farmers more financially stressed than ever.

On Sunday, NFU president Tom Bradshaw said the government was “pulling the rug out” from the farming industry at a time of “global insecurity”.

Speaking to Sky News’ Trevor Phillips on Sunday Morning, he said the changes had left farmers feeling “betrayed”: “They say 73% of farms won’t be affected, but when you look at the farms that produce the nation’s food, Defra’s own figures show a significant number of those farms “It shows that 66% are above the million pound threshold and these are the farms that produce the nation’s food.”

He added: “We have a government that says food safety is a critical part of national security, but they have ripped the rug out of the industry that will be investing in food safety in the future. There has to be a better way.” They’re doing this.”

Why might this lead to food shortages?

Farmers are planning a major protest on November 19 but a campaign group – Enough is Enough – has called for a national strike, suggesting farmers should stop supplying food to supermarkets until the changes are reversed.

Speaking on Sunday, NFU president Tom Bradshaw said he “does not for a moment condone” such a move, saying: “We have seen during the Covid crisis that those who cannot afford their food are often either the most vulnerable or those in difficult situations. They are working long hours in hospitals and nurses.”

“This is something we don’t want to see again, but it’s within the government’s control, they can sit down, talk to us and find a way around it.”

He added: “This is not an NFU tactic, we do not support emptying supermarket shelves, but I completely understand the strength of the feeling that exists among farmers, they feel helpless today and are trying to think of what they can do to try to show what this means to them.

“Look, I understand the strength of their feelings, but we do not support this action.”

Asked on the same programme whether she was concerned about food shortages, Transport Secretary Louise Haigh said: “No, we really think we are making food security a priority and we will work with farmers and the supply chain to ensure that is achieved.”

He said contingency plans would be in place and added: “The Department for Environment, Food and Rural Affairs will prepare plans for the winter and, as usual, will prepare contingency plans and ensure that food security is considered the priority it deserves.”

What did the Prime Minister say?

Sir Keir Starmer traveled to Wales on Saturday to address the Welsh Labor Conference, where he was greeted by a crowd of protesting farmers.

But he did not speak to them and did not mention inheritance tax in his speech, instead saying he would defend his government’s “difficult decisions” on the budget “all day long”.

Asked about Starmer’s lack of comment on protesting farmers, Haigh said on Sunday: “None of us got into politics to impose taxes on the farming community, but we have faced a very difficult financial legacy.

“My colleagues have met with representatives of the farming community and we understand the concerns.”

What’s likely to happen next?

A mass protest will be organized by the NFU in London on Tuesday (November 19) and it is stated that this is “just the beginning of the fight”.

On the same day, there was news that a disintegration incident might occur in the capital. Some farmers are also reportedly considering extreme measures, including ‘slowing down’ the tractor.

Asked about threats of protests, the Conservative Party’s shadow home secretary, Chris Philp, said on Sunday: “If they are going to stage a protest and come to central London to protest, as many groups and many groups have done over the years, then that is legal and that is reasonable.” .

“What Just Stop Oil was doing was deliberately blocking roads over and over again, not as part of a protest, but just to disrupt the public, and that’s different, that’s illegal.”

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