We’re with you’: Supermarket giant Morrisons backs farmers’ protests against Labour’s inheritance tax raid in fresh blow for Rachel Reeves_Nhy
Supermarket giant Morrisons has given its backing to farmers protesting against Labour’s inheritance tax raid in a fresh blow to Chancellor Rachel Reeves.
In a video posted on social media, the grocery chain told Britain’s farmers it shared their concerns about the impact of Labour’s action, adding: ‘We’re with you.’
Campaigners hailed Morrisons’ intervention as a ‘major development’ in the fight against Ms Reeves’ Budget measures.
Under changes announced in October, farmers will pay a 20 per cent rate of inheritance tax on land and property they inherit worth more than £1million.
Ministers have insisted their action – dubbed the ‘family farm tax’ – will only affect the wealthiest quarter of landowners.
But the National Farmers’ Union (NFU) and others say the impact of Ms Reeves’ measures will be much more widespread.
Critics claim the move could wipe out family-run farms with tight margins, as they will be forced to sell up in order to pay death duties.
Farmers have been staging a series of protests across the UK in the wake of the Budget, including at Westminster.
Sophie Throup, head of agriculture for Morrisons, used a social media video to tell farmers: ‘We’re with you.’
Campaigners hailed Morrisons’ intervention as a ‘major development’ in the fight against Rachel Reeves’ inheritance tax raid
Farmers have been staging a series of protests across the UK in the wake of the Chancellor’s Budget, including at Westminster
Sophie Throup, head of agriculture for Morrisons, said in the social media video: ‘We want to send a message of support today for the whole of the farming community.
‘We understand your anger and your frustrations at the inheritance tax, and we’re with you.
‘We share your concerns about the long-term future the inheritance tax is going to have on farms, particularly smaller family farms.
‘And we know that you want something done about it.
‘We’ve been raising these concerns at the highest levels of Government since November last year, and we will continue to do so. We know it’s important.
‘We are with you. We’re here to help you. If you want to talk to me, please message me. We are here to help.’
Tory shadow farming minister Robbie Moore thanked Ms Throup for her intervention.
‘As a Yorkshire farmer and head of agriculture at Morrisons, I know you get just how damaging this Government’s changes announced in the Budget are for our farming community,’ he said.
‘Huge well done to Morrisons for showing support.’
Mo Metcalf-Fisher, external affairs director at the Countryside Alliance, said: ‘This is a major development in the ongoing fight to get Keir Starmer and Rachel Reeves to see sense.
‘Their hated tax hike threatens the future of small family farms, the very people these supermarkets depend on to do business.
‘We hope more supermarket chains stand with farmers and use their might to help force a Government rethink before it’s too late’.
Speaking at the Oxford Farming Conference this week, Cabinet minister Steve Reed offered an apology for Labour having ‘shocked’ farmers with the Budget measures.
The Environment Secretary blamed the tax raid on a £22billion ‘black hole’ in the public finances left by the previous Tory government.
‘It meant we had to take immediate tough decisions across the economy to balance the books, including on agricultural property relief,’ he said.
‘We were shocked by the size of the black hole we were left to fill. I’m sorry if some of the action we took shocked you in return.
‘But stable finances are the foundation of the economic growth needed to get the economy growing again after it flat-lined through a decade of chaos.’
A Government spokesperson said: ‘Our commitment to farmers remains steadfast – we have committed £5billion to the farming budget over two years, including more money than ever for sustainable food production, alongside our New Deal for Farmers to deliver a profitable farming sector and unlock rural growth.
‘Our reform to Agricultural and Business Property Relief will mean farmers will pay a reduced inheritance tax rate of 20 per cent, rather than the standard 40 per cent, and payments can be spread over 10 years, interest-free.
‘This is a fair and balanced approach, which fixes the public services we all rely on, affecting around 500 estates a year.’
