Tesco, Co-op and Lidl back farmers in ongoing inheritance tax row 

Their interventions come after Morrisons and Asda both waded into the ongoing row, which has seen farmers protest in London and elsewhere in the country.  

Ashwin Prasad, Tesco’s chief commercial officer, joined growing calls for a ‘pause’ in the government’s implementation of the controversial Budget measures. 

He said that he “fully understood” farmers’ fears about the looming changes announced by chancellor Rachel Reeves, which have been dubbed the ‘family farm tax’. 

His statement reads: ‘This is not just a debate about individual policies – the UK’s future food security is at stake.’ 

READ MORE: Pensions to be included in the inheritance tax calculation

Support for farming sector 

In a letter sent to members of its Co-op Dairy Group earlier today, the supermarket said it had ‘directly contacted relevant government departments to communicate our hope that they will look again at the impact of the IHT/APR changes’. 

In a separate statement posted online, Lidl said: ‘Providing security and long-term investment for British agriculture is key to helping ensure that farmers can continue to produce affordable and increasingly sustainable food for generations to come.  

‘We are concerned that the recent changes to the inheritance tax (IHT) regime will impact farmer and grower confidence and hold back the investment needed to build a resilient, productive and sustainable British food system.  

‘We, therefore, support the call by the farming community to pause the implementation of those changes and to consult with industry to achieve a mutually beneficial outcome. We will be raising our concerns with government at any opportunity we get”. 

READ MORE: 30 councils join town hall rebellion against inheritance tax ‘attack’ on farmers 

Government called to rethink its policy  

Mo Metcalf-Fisher, director of external affairs at the Countryside Alliance, said: “Tesco, Co-op and Lidl, like many other businesses, understand that they benefit from a buoyant family farming sector, something the Treasury’s tax hike threatens to completely undermine. 

“It is becoming almost impossible to find anyone that supports this policy, yet Rachel Reeves refuses to consult relevant rural stakeholders to find a way forward out of the unnecessary fall out created by her department.  

“If the government wants to avoid a long-running battle with countryside, they need to rethink this policy urgently.” 

Shortly after October’s Budget, Sainsbury’s urged ministers to “listen to the concerns” of farmers about the tax changes. 

Earlier this month, Morrisons told farmers, “we’re with you” in their fight against Labour’s action. 

And, last week, Asda also offered their public backing for farmers by supporting a demand for a pause in Labour’s implementation of the Budget measures. 

Next month, MPs are set for another debate over the impact of the family farm tax, after a petition, ‘Don’t change inheritance tax relief for working farms’, reached over 100,000 signatures. 

The House of Commons petitions committee has agreed that a debate on the subject will take place on 10th February at 4:30pm. 

READ MORE: Morrisons takes out injunction to stop farmers’ protests

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