Fairer Family Farming campaign urges government IHT rethink
© Tim Scrivener Farmers have launched a new grassroots movement to challenge inheritance tax (IHT) reforms they warn could force thousands of working farms to break up or disappear.
The move comes after government ministers quashed industry speculation that it plans to make changes to its controversial farm IHT policy in the Budget on Wednesday 26 November 2025.
The Fairer Family Farming campaign, which is set to be unveiled in London today, argues that changes introduced in the October 2024 Budget – due to take effect from April 2026 – will classify most family farms as high-value estates simply because of soaring land prices.
See also: More than 12,000 write to MPs in farm tax letter protest
Many such farms are valued above £1m, yet most farmers earn little more than the UK average household income.
Campaigners say the reforms risk pushing long-established farming families into selling land or dividing holdings to meet IHT bills, undermining jobs, rural economies and national food security.
They warn that the policy could accelerate the transfer of farmland to investors, including those with no connection to agriculture, while pricing out working farmers.
Fairer Family Farming has been created by three long-standing family farmers – David Passmore, Robin Hart OBE and Phil Merson – and is funded by everyday producers across the country.
The movement is non-partisan and independent of industry bodies, focused solely on securing a tax system that supports viable family farms.
The group argues that government reforms aimed at preventing wealthy investors from exploiting agricultural property relief (APR) and business property relief (BPR) have unintentionally trapped genuine, working farm businesses in the same net.
These reliefs have historically helped families pass farms down intact across generations.
CenTax alternative backed
As an alternative, the campaign is urging ministers to adopt a proposal developed by independent taxation think tank CenTax.
Known as the “minimum share rule”, it would retain APR and BPR for those who actively farm their land, while removing these reliefs from passive investors using farmland as a tax-efficient asset.
David Passmore, campaign founder and a mixed farmer based in Oxfordshire, said: “Farming isn’t just a job – it’s a way of life that sustains communities and powers local economies.
“Current proposals risk dismantling businesses that have supported rural Britain for generations.
“We’re asking ministers to look again at the CenTax proposal and work with Labour’s new rural MPs to ensure a fairer approach.”
Robin Hart OBE added: “The government’s changes have created an impossible choice for farming families.
“Without reform, many will be forced to sell land simply to meet tax obligations. That would damage rural economies and weaken the food supply we all rely on.”
With land values pushing even modest farms beyond the £1m threshold, campaigners say the reforms amount to a “seven-year lottery”, leaving families vulnerable depending on when succession falls due.
Phil Merson said: “This campaign is about fairness and sustainability. Too many small, working farms are hit for very little tax gain.
“We need a system that recognises the difference between people who work the land and those who treat it as an investment.”
Fairer Family Farming says its priority is protecting Britain’s family farms before it is too late.
Farmers Weekly has requested a response from the UK government.
Fairer Family Farming campaign at a glance
What is the issue?
Changes to Inheritance Tax (IHT) announced in the October 2024 Budget mean most family farms – often valued above £1m due to land prices will lose agricultural and business property relief (APR and BPR).
Although 36% of farmers earn under £25,000/year, they are now treated as “high-value estates”. Campaigners warn this will force families to sell or break up farms to pay tax bills, risking job losses, weakened rural economies and increased investor or foreign ownership of UK farmland.
Who is behind the campaign?
Fairer Family Farming is a grassroots movement founded by long-standing family farmers David Passmore, Robin Hart OBE and Phil Merson.
Who funds it?
It is entirely funded by working family farmers across the UK.
Why the urgency?
The reforms create a “seven-year lottery”. If a farmer dies after April 2026 and within the next seven years, the family may face an unaffordable IHT bill.
Retiring early to avoid this creates its own problem, as government rules prevent older farmers from continuing to live on or draw income from the farm.
Why should farming be treated differently?
Farming underpins food security, rural jobs and local economies, yet incomes remain low.
Without reliefs, farms will be forced onto the market, with passive investors likely to outbid working farmers.
What solution does the campaign support?
The campaign backs CenTax’s minimum share rule, which keeps APR and BPR for genuine working farmers while removing reliefs from passive landowners.
Is the campaign political?
No. It is a non-partisan, farmer-led effort focused solely on securing a fair tax system for family farms.