‘You got away with this by the skin of your teeth, Howard. We could not take on the motorist and the farmer at the same time.’ Private words from a senior Labour MP to me this week.
He went on to explain: ‘Two fatal tax increase blows will crucify us. We can’t risk inflation rising from doing both in the Budget. I’m getting it in the ear from farmers now and I have made it clear to Rachel, I will not support any more unthought-out policies.’
Farmers protest in Wales
GETTY
Yet one of the biggest victims of their political deception, Budget 2024, is the very lifeblood of our food production and supply: the Farmer.
Along with pensioners and small business bosses, they are among those most hurt by a succession of unthought-out fiscal policies.
Out of the frying pan and into the fire. It’s time for us all to support our much-maligned and struggling-to-stay solvent farmers.
For far too long, as one astute farmer told me this week, they have been taken for granted as price takers, not price makers. And as Farmer’s Weekly aptly put ‘Bullocks to the Budget, Time for a Ewe-Turn’.
However, a single ray of optimism was certainly not expected in Labour’s long-awaited Budget.
Rachel Reeves surprised us all by announcing that the regressive Fuel Duty levy, which hits working people hardest, will be fixed again until at least 2026.
Our objective, evidence-based, and relentless campaigning at FairFuelUK achieved an unanticipated 15th-year freeze in Fuel Duty in Labour’s first Budget since 2010.
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Rachel Reeves announced a tax raid on farmers during the Budget
PA
The economic and political pressure on the Chancellor when she delivered her maiden statement in the House of Commons was too weighty for the new Chancellor to ignore.
Against all the media pronouncements, I publicly predicted on Talk TV she would succumb a week before the Budget.
Because of strategically targeted media exposure, there was a clear voice to our independent economic evidence, including the 130,000-signature petition to No10, a compelling joint letter from 73 Tory MPs, and the tens of thousands of emails to her office from FairFuelUK supporters, truly made the difference.
These honest campaigning tactics and related department ministers halted the planned and widely leaked 7p per litre increase.
That punitive rise would stunt economic growth, hike inflation, cost jobs, and reduce consumer spending.
Yet, after we were delighted that the Treasury did not add more to the already high tax burden on drivers, the rest of her financial statement was horrendous, particularly for small—to medium-sized firms and, notably, as mentioned, family-based Farming businesses.
Over 6,000 UK Farmers have supported FairFuelUK’s decade-and-a-half-long crusade to help keep their diesel prices as low as possible. As a result, they have now called upon me to help put similar campaigning pressure on the Labour Government to abandon their Inheritance Tax bombshell plan.
So, what is this ruinous policy, and what does it mean to Farmers and you? As of April 2026, Labour has introduced a new inheritance tax of 20 per cent on agricultural assets worth more than £1million, which were previously exempt.
The new Government has betrayed our farmers, specifically family-owned operations, who for too long have been forced to supply high-quality food at way below true market value to ensure supermarkets can sell to us cheaply.
New research shows that average-sized family farms will see their profits plummet following Labour’s decision to slash tax breaks for farmers.
The Country Land and Business Association (CLA) says inheritance tax (IHT) bills will now extinguish profits yearly for 10 years.
Farmers’ groups dispute Labour’s claims that 73 per cent of farms would be unaffected. A typical 200-acre arable farm could be forced to sell off profit-generating productive land. With an expected annual return of £27,000 for example, it would face an IHT liability of £430k. Even when spread over 10 years, farms must allocate 160 per cent of their yearly profit to cover the tax bill or sell off 20 per cent of their land.
Why would the next generation of farmers want to take on that level of debilitating liability?
And who would buy this land? Big business, of course! Greedy corporations eager to take advantage of the lucrative opportunities in building solar panels and wind turbine operations financed by taxpayers to pay for Ed Miliband’s Net Zero bankrupting ideologically ill-informed fantasy!
Keir Starmer’s popularity continues to plunge
PA
As usual, Labour politicians say this is purely a tax on the wealthy; the reality, however, is that ordinary family farms will be hit just as hard. Asking farms to use their income to pay a vast capital tax bill over 10 years, if indeed it is possible, will threaten the future of investment and the viability of the business.
More worryingly, Reeves risks food inflation, the enemy of economic growth.
This Budget bombshell will affect the price of food because these unexpected business-destroying tax repayments must be found somewhere. There is also a risk that food supply security will be impacted. Certain home-grown foodstuffs will disappear to be replaced by expensive imports.
I believe there is a sinister aspect to Labour’s less-than-veiled attack on farmers. John McTernan, who served as Tony Blair’s Political Secretary, sparked fury in a GB News interview, saying: “Family farming is ‘an industry we can do without’.”
And be warned: employer National Insurance contributions are raising the cost of staffing, carbon taxes are set to increase, a 20 per cent move away from meat and dairy products is in the Cop29 pipeline, and Sir Keir Starmer is promising to reduce the country’s emissions by 81 per cent by 2035.
So that is why I am putting FairFuelUK’s campaign in full support of our British Farmers. FairFarmingUK will be protesting on November 19 in Westminster to help get this dishonest new Government to think again. These policies will not support economic growth; they will advance the decline in our proud agricultural and livestock heritage.
