While in opposition at the NFU鈥檚 conference in 2023, the Prime Minister said that British farmers and growers need a government that 鈥渟eeks a new relationship with the countryside and farming communities鈥� based on respect, on genuine partnership鈥�. He also said, 鈥渨e can鈥檛 have underspends in the allocated money, we can鈥檛 have farmers struggling while they wait for the right Sustainable Farming Incentive (SFI) standards to be announced. We can鈥檛 have everyone burnt out by the bureaucracy and constantly moving goal posts, it鈥檚 too important鈥�.聽
NFU President Tom Bradshaw said: 鈥淭he Prime Minister鈥檚 words were warmly greeted at NFU conference. We finally heard recognition of the certainty and stability needed for a thriving food and farming industry 鈥� one that underpins the UK鈥檚 largest manufacturing sector food and drink which delivers 拢148 billion to the economy.
鈥淗owever, reports that the government is considering cutting the agriculture budget due to the failure of the previous government leading to an underspend of 拢358 million, and a possible review of Agriculture Property Relief (APR) are incredibly concerning.
鈥淲e are asking for a renewed multi-year annual agriculture budget of 拢5.6 billion1, not because it would be nice to have, but because it is an essential investment to deliver the government鈥檚 environmental goals, increase growth and support the economic stability of farm businesses. The loss of APR2 could mean family farms, who are vital to producing food for the country, providing jobs and looking after our countryside, having to be sold to cover the costs. Changes would amount to a 鈥淔amily Farm Tax鈥�. It would also have a devastating impact on tenant farmers3 and new entrants.聽
鈥淎t a time when farmer and grower confidence is at its lowest on record due to high production costs, extreme weather and uncertainty during the agricultural transition, we need stability and that genuine partnership with government which the Prime Minister spoke of. That is why on 30th October we鈥檙e asking for an increased agriculture budget and confirmation of no change to APR. This will deliver certainty to our food producing businesses and ensure our food security and environmental targets, all of which contribute to the government鈥檚 own missions for growth and prosperity.鈥�
皇家华人is also asking the Treasury to:
- Ensure adequate resourcing to deliver the Farming and Countryside Programme, maintain flood defences and deliver the government鈥檚 new bTB strategy.
- Introduce enhanced capital allowance to incentivise investment in climate smart investments.
- Only apply Capital Gains Tax increases to non-business or short-term gains.
- Commit to a full consultation ahead of the proposed abolition of the Furnished Holiday Lettings regime.
- Confirm a further round of the Rural England Prosperity Fund.