Financial MarketsInheritance TaxUpdated 3 days ago

UK Government Raises Inheritance Tax Threshold for Farmland Amid Protests

In response to significant backlash from campaigners and rural MPs, the UK government has raised the inheritance tax threshold for farmland from £1 million to £2.5 million. This policy change, aimed at supporting the viability of family farms, will take effect in April 2026. The decision reflects the government's acknowledgment of the concerns raised by the agricultural community regarding previous proposals.

Related Articles (2)
Ministers raise inheritance tax threshold for farms after backlash
PositiveFinancial Markets
In a significant policy shift, UK ministers have announced an increase in the inheritance tax threshold for farmland from £1 million to £2.5 million, responding to extensive protests from campaigners and rural MPs concerned about the viability of family farms. This change will take effect in April 2026, following a statement from the environment department released just before Christmas.
Inheritance tax climbdown as agricultural property relief threshold raised
NegativeFinancial Markets
The government has announced a significant change to its inheritance tax plans for farmers, raising the agricultural property relief threshold from £1 million to £2.5 million. This decision follows strong opposition from the agricultural community regarding previous proposals that were seen as detrimental to their financial stability.

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