The CBI has published economic estimates for the UK Labour Government’s changes to Agricultural Property Relief and Business Property Relief, commissioned by Family Business UK, including a £14.8 billion hit to UK GVA over the next five years, a loss of 208,500 jobs, and therefore a net loss in tax revenue.
The Welsh Conservatives have called for the inheritance tax changes to be scrapped and have said that they threaten the breakup of the family farm.
Commenting on the threat to Welsh farming, Janet Finch-Saunders MS, said:
“The new research estimates the UK Labour Government changes to inheritance tax rules could lead to 208,500 job losses from family businesses and across their supply chains by the end of this Parliament.
“Reduced family farm activity is expected to lead to a £1.4 billion loss in gross value added over the next five years, adding further to the decline in agricultural productivity in Wales.
““The Welsh Labour Government have already clobbered the industry with the Wales-wide Nitrate Vulnerable Zone, proposed an economically disastrous Sustainable Farming Scheme, and fail to tackle bovine TB in livestock and wildlife, and now we have the UK Labour Government threatening the future of farming too, with the disastrous family farm tax.
“Every single MS and Welsh MP should be standing up for the future of farming in Wales and demanding that Labour governments at both ends of the M4 scrap policies that completely undermine the sector”.
ENDS
