Motion proposed by Councillor R Allen, seconded by Councillor C Allen:
“Hinckley and Bosworth is a rural borough, with many family owned and operated farming businesses.
The announcements in the recent Labour budget pose an existential threat to the continuance of these family businesses that have historically passed from generation to generation.
This motion proposes Council notes that:
The recent 2024 autumn budget change to inheritance tax relief announced by the Labour Government will introduce a family farm tax, which will have a devastating impact on family farms and farmers’ ability to pass on their farms to the next generation of farmers.
A study by the Farm Safety Foundation found that 95% of farmers under the age of 40 rank poor mental health as the biggest hidden problem they face today, with farmers working in an industry recognised as having high rates of suicide.
Council believes that:
· The Labour Government has committed a shameful betrayal and let down farmers by breaking its promise to not introduce a family farm tax. Only last year, Secretary of State Steve Reed said: “We have no intention of changing APR (Agricultural Property Relief)”.
· At last year’s NFU conference, Sir Keir Starmer stated that “losing a farm is not like losing any other business, it can’t come back”. He was absolutely right, it can’t. And neither can its ability to produce food for the nation.
· The family farm tax will damage the ability of farmers to pass on their farms to the next generation.
· Labour’s family farm tax will threaten food security by forcing the sale of family farms.
· Numerous rural and farming organisations such as the National Farmers Union and Country Land and Business Association have warned that countless farms will be harmed, threatening food security, progress on measures to tackle climate change, and the rural way of life.
· The comments made by Secretary of State Steve Reed that already struggling farmers will have to “do more with less” are deplorable.
· At a time when many farmers in Hinckley & Bosworth are struggling with soaring costs and energy prices, this sudden tax rise will endanger the future of their farms.
Council resolves:
1. To request that the Chief Executive of HBBC writes to the Secretary of State for the Department of Environment, Food and Rural Affairs to outline the Council’s dismay at this decision and calls on the Government to reverse its decision to impose family farm tax.
2. That this Council engages with local farmers and community representatives to assess what measures and actions Council can take to support them.
3. That a list must be published by Government of affected farms in Hinckley & Bosworth, Leicestershire and nationally so that the extent of the impact of these proposals can be fully demonstrated and appreciated.”
The following amendment will be proposed by Councillor Bray and seconded by Councillor Cope:
“That an additional bullet point be included at the top of the list of points, to read:
Council believes that:
· The last conservative government, backed by local conservative MPs, crashed the economy, left a huge black hole and damaged public services
That an additional bullet point be added to the end of the list of points, to read:
· The conservative County Council’s policies to sell off a number of county farms in the Borough is threatening the livelihoods of local farmers and threatening food production locally.”
That the words “and HM Treasury” be inserted in point 1 under “Council resolves” to read:
1. To request that the Chief Executive of HBBC writes to the Secretary of State for the Department of Environment, Food and Rural Affairs and HM Treasury to outline the Council’s dismay at this decision and calls on the government to reverse its decision to impose family farm tax.
That an additional recommendation be added to read:
4. To condemn the County Council’s plans to sell off its county farms and to call on the county councillors representing Hinckley and Bosworth to vote to reverse this during the forthcoming budget process.”