Agriculture minister Daniel Zeichner has been accused of having “egg on his face” after his latest attempt to justify the so-called “family farm tax” stirred up further anger on the issue.
The Labour minister today addressed the Egg and Poultry Industry Conference in South Wales with anger growing over plans for a tax raid on family farms and claims that he and the government are underestimating its impact.
It came as the Countryside Alliance, set up in the later 1990s in protest over the hunting ban but now specialising in wider issues, has reported that more than 5,000 automated emails to MPs have been sent protesting about the family farm tax.
The row comes as up to 10,000 farmers are preparing to descend on London to protest against the new tax on 19 November.
The Independent understands that the campaign email was so popular with people from the farming community that the system temporarily glitched at the weekend because it could not cope with demand but is now fully functioning.
Speaking at the conference in Wales on Monday, Mr Zeichner tried to provide some reassurance for farming communities over the planned changes to inheritance tax.
It means that farms worth more than £1 million will come under inheritance tax for the first time since 1992 at a rate of 20 per cent.
Opponents have claimed that it will mean the end of family farms in the UK which make up the majority of the farms across the country.
Mr Zeichner told people at the conference: “The feedback I’ve been getting from some of my colleagues is that, when people have sat down and gone through the detail, they are then much more reassured.”
He pointed to Treasury figures which show that there were just 462 claims for agricultural property relief last year, and that figure was expected to go down, suggesting the impact would be limited.
The minister said the low claim rate for APR was “very much at odds with much of what is being said. These are the facts, and I think it is worth looking at them.”
He added: “Inheritance tax is really complicated and no two situations are the same, but our genuine view is that it will not be affecting many people.”
The defence was in line with statements government ministers have been giving since the row broke after Rachel Reeves’ shock Budget announcement.
But Mo Metcalf-Fisher, director of External Affairs for the Countryside Alliance, said the minister had “egg on his face” for the intervention for underestimating the impact.
He said: “The government does not appear to be in listening mode, which isn’t all surprising given so few cabinet ministers represent rural seats. So, the time has come for MPs to relay the strength of hurt and anger out there on behalf of their constituents to Rachel Reeves and the Treasury directly and we thank the thousands who have already done so.
“Labour MPs, many of whom now find themselves representing rural seats, must stand up for their farming families who are going to be hit hard by this controversial budget. Hopefully the Government will listen to their own MPs and Rachel Reeves will reconsider.”
After their landslide victory Labour is now the biggest party in rural constituencies representing 114 seats.
