Shropshire Farming Talk: Spring Statement - missed opportunity for farmers

As head of the agricultural and rural services team at FBC Manby Bowdler, I've spent the past months speaking with farmers and landowners who have been deeply concerned about the inheritance tax changes announced last October. To see these issues completely unaddressed in the Spring Statement is profoundly disappointing.

The farming community had reasonable expectations that the government would use this opportunity to acknowledge the anxiety and practical challenges caused by these tax changes. These aren't minor technical adjustments - they represent fundamental shifts that threaten the very fabric of family farming and its sustainability across generations.

In my daily work with clients, I've witnessed firsthand the distress these changes have caused. Many farming families have carefully structured their operations over decades with the understanding that agricultural property relief would help preserve the continuity of their businesses. The sudden shift has left many farm succession plans in disarray, requiring urgent review and restructuring.

What makes this particularly challenging is the timing. These tax changes come when the farming sector is already navigating significant transition. Farmers in England who previously received £30,000 in direct payments have seen this dramatically reduced, forcing many to explore diversification and alternative business models. Adding inheritance tax concerns on top of this creates a perfect storm of financial pressure.

The Spring Statement presented a valuable chance for the government to restore some confidence in its approach to rural communities and demonstrate understanding of agriculture's unique challenges. Unfortunately, there was little in the Statement that offers any comfort to those working in our countryside.

I would strongly encourage all farmers and landowners to review their succession planning in light of these unchanged tax policies. While the Spring Statement may have been a disappointment, proactive planning remains essential to protect what you've built for the next generation.

Sarah Baugh heads up the Agricultural & Rural Services Team at FBC Manby Bowdler and can be contacted via email sarah.baugh@fbcmb.co.uk or call 01743 266287.