Farmers are pursuing legal action against the government over the proposed changes to inheritance tax. A judicial review may soon be launched into the UK government’s decision to reform agricultural and business property relief without consulting the sector.
The claimants’ position is simply that the government should be held to its public law obligations on matters of tax policy. The claim does not seek to overturn the government’s decision to amend the reliefs but asks that affected individuals and groups can contribute to a proper consultation exercise to ensure the government has the best possible evidence when developing its tax policy for UK farms and businesses.
Many farmers warn that the new rules could lead to forced land sales, threaten generational succession, and destabilise rural economies already under pressure.
A cross-party committee of MPs has added further pressure on the government by urging a delay to the inheritance tax reforms. In a report published in May, the Environment, Food and Rural Affairs (EFRA) Committee called on ministers to postpone final decisions on changes to APR and BPR until October 2026, with any new rules coming into force from April 2027. The committee argued that such a delay would “allow for better formulation of tax policy and provide the government with an opportunity to convey a positive long-term vision for farming,” while giving farmers vital time to seek in depth professional advice.
Stephen Parnham
