Tractor Tax Draws Farmer Ire

British farmers are in protest mode over a government decision to cut out a 1990s era tax break that excludes ag property from inheritance tax. 

Starting in April 2026, a 20% tax will be placed on farms worth more than 1M pounds when they are passed to the next generation. Farmers argue that being asset-rich and cash-poor would mean selling the farm to pay the inheritance tax. 

Protest and parade: While a few tractors made their way past Downing Street, many farmers on foot held signs and paraded with children on toy tractors. There were also 1,800 farmers at a National Farmers’ Union mass lobby in Parliament. 

Tax thumbs up: Prime Minister Keir Starmer was hoping to raise pounds for public services. His government says 75% of farmers will not have to pay the tax. But farmers say the government estimate does not take into account livestock, tractors, and other assets, which would mean more than 70K farms could be impacted. 

Supporters of the tax say wealthy people have driven up farmland prices by buying it as an investment. Taxing them will stop the ultra-rich from avoiding inheritance tax. 

Soundbite: “Farming is hard. We’re very privileged, we have a lovely life, but it’s hard. We want to farm for life, for future generations, not just for today.” — Heidi Fermor, English fruit, vegetable, and arable farmer

Tangent: Being a UK farmer in the last few years has not been for the faint of heart. Brexit, government policy changes, and volatile weather have made farm profitability a challenge. 

Where this goes: A government spokesperson called the decision difficult, but said they are not thinking twice about it.