Inheritance tax plans tormenting farmers, union tells Starmer

NFU Cymru boss Aled Jones (R) says the UK government's proposed inheritance tax plans are causing "distress and torment" to the nation's farmers

The head of one of Wales' leading farming unions has written to the prime minister urging him to make changes to inheritance tax proposals, which he said are leaving older farmers "tormented with continual worry".

The UK government has announced plans, beginning in April 2026, to tax inherited agricultural assets worth more than £1m at a rate of 20% - half the usual rate.

NFU Cymru president Aled Jones has urged Sir Keir Starmer to "mitigate very many of the human impacts" of the plans.

The Treasury said "three quarters of estates will continue to pay no inheritance tax at all", describing the changes as "a fair and balanced approach" to help fix public services.

Mr Jones said he felt "compelled" to write to the prime minister after being contacted by "hundreds of Welsh farming families" he said were impacted by the proposed changes.

The UK government has said the changes will only affect the wealthiest 500 farms each year, but Mr Jones said he was concerned that the number of farms impacted "will be far greater than Treasury predictions".

Farming unions have estimated that up to 70,000 farmers could be affected overall.

Farmers from around Wales and the UK have heled protests in opposition of the planned changes

Mr Jones said he was particularly concerned about the impact on older farmers, who are "tormented with the continual worry that their passing will create an unmanageable financial burden for their loved ones".

"I know that no government would want to place anyone in the difficult and invidious position that many elderly farmers now find themselves in," the letter said.

"My view remains that an opportunity still exists for your government to mitigate very many of the human impacts of these policy proposals, whilst meeting the government's aim of raising revenue."

A UK government spokesperson said the reforms "will mean three quarters of estates will continue to pay no inheritance tax at all, while the remaining quarter will pay half the inheritance tax that most estates pay, and payments can be spread over 10 years, interest-free".

"This is a fair and balanced approach which helps fix the public services we all rely on."