farming

Farming groups have partially based their arguments against the tax change on data from Defra’s Farm Business Survey, which shows the net worth of farms in England in 2022/23.

However there are some problems with this calculation, as the data from the Defra survey is not necessarily representative of the overall UK-wide farming sector.

Farming groups have claimed that farmers often also use BPR so any calculation of the impact of the tax changes based solely on APR claims will not capture the full effect on farming estates.

Farming groups have suggested the value of any inherited estate with agricultural assets over £1m will be impacted.

Adding these together - and allowing for the ability of farming couples to share their allowances - does create a potential for some farming estates to pass on £3m entirely free of inheritance tax.