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Economic Development

Farmers tell council they'll be 'forced to sell land' due to 'brutal' inheritance tax

Farming families in Cheshire have slammed the Government's move, with one farmer saying the move will cause 'food shortages'

Farmers and their tractors protest in Whitehall, London, in February over the changes to inheritance tax (IHT) rules(Image: Gareth Fuller/PA Wire)

Family farms are at risk of closure due to the government's inheritance tax, leading to a reliance on lower quality imported food in an unstable global environment, one Cheshire farmer has warned. Rob Brunt, along with another farmer, urged Cheshire East council's economy and growth committee to oppose the government's proposed new inheritance tax.

At this week's meeting, Mr Brunt stated: "In a volatile world, it makes no sense to be reliant on imported food with much higher environmental costs and a higher carbon footprint."

He highlighted the significant contribution farming makes to the rural economy, and said: "Looking at our own business in the month of February, for example, we received income from five businesses, whereas we paid out money to more than 35 different suppliers," said Mr Brunt.

"The largest landowners, such as the National Trust and water companies will never pay inheritance tax.

"The burden of the government's new inheritance tax is not being shared equally, but is targeting family farms and will put many of us out of business.

"This is devastating for British agriculture, and will lead to food shortages."

Richard Yarwood, whose family has farmed in Brereton for 100 years, added: "Farmers are motivated by their ambition to pass on the farm to the next generation, better than they started.

"But the imposition of 20 per cent inheritance above the threshold destroys all that when the average returns on assets are hardly one per cent."