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Batters Review Says Farmers Are 'Bewildered and Frightened' as Inheritance Tax Change Tops Fears

Ministers pledge a new partnership board alongside a 25-year Farming Roadmap in response.

Overview

  • Baroness Minette Batters’ government‑commissioned report lists 57 recommendations for a new deal to restore profitability, from simpler support schemes to stronger supply‑chain rules and targeted planning reform.
  • The review identifies the planned inheritance tax change—a 20% charge on farm assets above £1 million from next April—as the single biggest issue for viability, with widespread protests including tractor demonstrations in Westminster.
  • Defra announced a Farming and Food Partnership Board to bring together leaders from agriculture, retail, finance and government, with a full response promised in next year’s 25‑year Farming Roadmap.
  • Uncertainty over the Sustainable Farming Incentive persists after applications were closed in March, with ministers indicating a possible reopening as late as the end of June next year.
  • Rising costs and labour pressures are squeezing margins, with new machinery prices up about 31%, wage and national insurance bills higher, and overall farm costs projected to be roughly 30% above 2020 levels by 2026.