Farming

Farming inheritance tax changes spark calls for delay amid Welsh concerns

Published

6 months ago

November 13, 2025

Committee warns of “confusion” as Government urged to review impact on Wales

PLANS to overhaul inheritance tax rules for agricultural estates have prompted a warning from MPs that Welsh family farms could face significant uncertainty unless ministers pause the reforms and assess their impact properly.

The cross-party Welsh Affairs Committee says the measures, due to take effect in April 2026, risk hitting small and medium-sized family farms far harder than the UK Government has suggested. Members argue that the changes have been developed without considering the distinct structure of Welsh farming, where many holdings are family-run, multi-generational and reliant on diversified income streams.

Under the proposals announced in last year’s Labour Budget, inherited agricultural assets valued above £1m would be taxed at 20%. While Treasury officials insist that only the largest estates will be affected, farming unions and rural accountants have produced far higher estimates. Some advisers say the reforms could touch the majority of Welsh farms, particularly where investment in tourism, renewables or on-site businesses has increased overall estate values.

The committee’s report highlights that no Welsh-specific data was published when the policy was announced, leaving what it describes as “a vacuum” filled by wildly different projections. MPs say this lack of clarity has fuelled anxiety across the sector, especially among families preparing for succession in the coming years.

Farmers who have expanded into caravan parks, holiday accommodation or wedding venues warn that diversification — encouraged for decades as a way of shoring up rural income — now risks pushing them over the proposed allowance. Several have told the committee that younger family members hoping to take over holdings are now unsure how to plan, with some reconsidering investment or delaying major decisions until the tax position is clearer.

The committee has urged the UK Government to halt the reforms until a full, Wales-specific impact assessment can be produced, scrutinised and debated. Members argue that any future policy must recognise that Welsh farms are typically smaller, more marginal and more culturally significant than the UK average, often forming the backbone of Welsh-speaking communities.

They also recommend that the Wales Office should take a leading role in assessing how UK-wide tax policies affect devolved nations, to avoid repeating what they describe as a “complacent” approach in this case.

Opposition parties in Wales have echoed the committee’s call for a pause, arguing that the reforms could destabilise rural communities and introducing that level of financial pressure without detailed analysis risks unintended harm. They say there are alternative ways to tighten tax rules for large estates or corporate landowners without imposing heavy costs on working family farms.

The Welsh Government said it welcomed the committee’s work and would consider its findings. The Treasury maintains that it is supporting British agriculture through investment allowances for machinery, funding for sustainable food production and measures designed to reduce EU export costs. Ministers say the reforms will ensure reliefs worth hundreds of millions of pounds are more fairly distributed and contribute to public services.

The next UK Budget is due within a fortnight, and farming organisations will be watching closely for any sign that ministers intend to slow down or revise the proposed changes.

Farming

Badger Trust urges next Welsh Government to keep non-lethal TB policy

Published

20 hours ago

April 30, 2026

Tom Sinclair

Charity says Wales should continue science-led approach as bovine TB cases fall

BADGER Trust has called on the next Welsh Government to maintain a science-led and non-lethal approach to tackling bovine tuberculosis.

The charity says Wales should continue to focus on cattle testing, farm biosecurity and support for farmers, rather than wildlife intervention.

According to Badger Trust, bovine TB cases in Wales had fallen by 13.6% by the end of 2025, without any wildlife culling. It said this compared with a 5% fall in England over the same period.

The charity said 5.3% of cattle herds in Wales were not officially TB-free at the end of 2025, down 0.4 percentage points on the previous year. It said 567 new herd incidents were recorded during the year, alongside a 27% reduction in early cattle slaughter.

Badger Trust said bovine TB remains a serious threat to cattle health, but argued that the best response is a cattle-focused policy, including more frequent and enhanced testing, improved farm hygiene, and non-slaughter options for cattle testing positive.

The charity said: “The premature culling of cattle due to a failed bovine TB test is outdated and unnecessary. Instead, strict segregation is an effective alternative.

“The main focus must be on eliminating the reservoir of bovine TB in the national herd in preparation for cattle vaccination.”

Badger Trust also argued that bovine TB can remain dormant in cattle and in the environment for long periods before being detected, which can lead to mistaken assumptions that infection has entered a closed herd from wildlife.

It said the disease can also be spread through contaminated vehicles, workwear, manure and slurry if proper biosecurity measures are not followed.

The charity added: “Focusing on badgers distracts from the real issue, as DNA testing shows that 94-95% of bovine TB infections are transmitted directly between cattle.

“The only effective way to combat bovine TB is to address it at its source: within the cattle population.”

Badger Trust is urging the next Welsh Government to “hold its nerve” and continue with a science-led, evidence-based, non-lethal policy.

Nigel Palmer, Chief Executive of Badger Trust, said the charity wanted Wales to continue “leading by example” in its approach to tackling the disease.

Badger Trust says it welcomes the end of intensive badger culling licences in England in 2026, but remains opposed to presenting badger vaccination as the main solution to bovine TB. It argues that improved cattle testing and stronger farm biosecurity offer a more effective and humane way forward.

The charity also warned that badgers face a separate threat from changes linked to the Planning and Infrastructure Bill, which it says could weaken protections for badger setts in development areas.

Badger Trust is the leading voice for badgers in England and Wales and works through a network of local badger groups. Its Badgers Belong Here campaign promotes badger protection and public education.

Farming

FUW warns food security must be treated as national security

Published

24 hours ago

April 30, 2026

Tom Sinclair

Union says rising fuel and fertiliser costs are putting pressure on farmers and food supply chains

THE FARMERS’ Union of Wales has warned that food security must be treated as a UK-wide priority as global instability continues to drive up costs for farmers.

FUW President Ian Rickman and Deputy President Dai Miles met Defra Minister for Food Security and Rural Affairs Dame Angela Eagle MP in Westminster to discuss the impact of international events on farming, production costs and the resilience of food supplies.

They were also joined by Wales Office Minister Anna McMorrin MP.

The union said the ongoing conflict in the Middle East and Gulf region had added significant pressure to key agricultural inputs and energy costs.

According to the FUW, fertiliser prices, particularly urea and ammonium nitrate, have risen by between 20% and 30% since the escalation of the conflict.

The union is calling for greater transparency around fertiliser stocks and distribution across the UK.

Fuel costs have also risen sharply, with the FUW saying red diesel has effectively doubled in price in some cases. Wider agricultural fuel and energy costs are continuing to rise across the sector, placing further pressure on farm businesses already operating on tight margins.

The union warned that these cost increases are feeding through the entire food supply chain, affecting production, transport, processing and manufacturing, and are likely to contribute further to food price inflation.

The FUW repeated its call for a UK-wide legislative food security metric, which it says should be taken forward by the next Welsh Government in collaboration with the UK Government.

It said food security is a cross-UK issue, affecting all four nations because of the closely integrated nature of agri-food supply chains.

The union also pointed to recent government evidence, including Defra’s 2024 Food Security Report and its 2025 national security assessment on biodiversity loss and ecosystem collapse.

It said these highlighted long-term risks to food production, including climate change, nature decline, animal and plant disease, supply chain disruption and exposure to volatile global markets.

FUW President Ian Rickman said: “We welcomed the opportunity to meet Minister Eagle and Minister McMorrin, and highlight the continued impact of recent global instability on Welsh farmers.

“Food security is national security, and recent global instability has made that clearer than ever.

“Farmers are facing surging cost pressures, particularly from fertilisers and sharply rising fuel costs such as red diesel, which in some cases have doubled.

“These are forces far beyond their control, yet they directly threaten the resilience of our food system.

“We urgently need a coordinated UK-wide approach that recognises the strategic importance of domestic food production and reduces our exposure to volatile international markets.

“With that must come regular and meaningful engagement between Defra and agricultural stakeholders across the UK, including the FUW, particularly on policy areas that remain reserved to the UK Government.”

Farming

Search launched for Wales Woman Farmer of the Year

Published

24 hours ago

April 30, 2026

Tom Sinclair

NOMINATIONS are now open for the 28th Wales Woman Farmer of the Year Award, celebrating the vital contribution made by women across Welsh agriculture.

NFU Cymru, together with sponsor NFU Mutual, has launched the search for the 2026 winner of the prestigious award, which recognises the role women play in farming businesses, rural communities and the wider agricultural industry.

Now in its 28th year, the NFU Cymru/NFU Mutual Wales Woman Farmer of the Year competition has highlighted women from a wide range of farming sectors and backgrounds across Wales.

The winner of the 2026 award will receive £500 and a Welsh Royal Crystal bowl.

The closing date for nominations is Friday, May 29. The award will be presented on Thursday, July 23, on the NFU Cymru stand at the Royal Welsh Show.

NFU Cymru Deputy President Paul Williams, who will be one of this year’s judges, said: “The Wales Woman Farmer of the Year Award is there to champion the contribution that women make to farming businesses and wider rural life.

“Over the many years we’ve been holding this prestigious award, we’ve had a variety of winners, all representing different sectors and parts of the farming industry, and we look forward to receiving applications for the 2026 title and celebrating this great award.”

Heather Holgate, NFU Cymru Group Secretary and NFU Mutual Agent, who will judge the competition alongside Paul Williams, said: “For generations, women have played a crucial role in Welsh agriculture, from running farm businesses to leading diversification enterprises to increase farm income, and NFU Mutual is proud to support this award.

“We hope the award inspires other women in Wales to take centre stage and influence farming in the future.”

Anyone interested in entering, or nominating someone for the Wales Woman Farmer of the Year 2026 title, can visit the NFU Cymru website to complete an application form.

Forms are also available from the NFU Cymru office by calling 01982 554200.