Member's statement: Inheritance Tax

Member's statement by Mr Declan McAleer on 4 November 2024.

MLA

Mr Declan McAleer

Party at the time

Sinn Féin

Date

4 November 2024

Type

Member's statement

Business

Members' Statements

Heading

Inheritance Tax

Assembly identifier

Official Report component 4625155

Read the official Assembly record

Text

Like other Members, I want to touch on the recent Budget announcement and its impact on farming. The recent announcement of a £1 million inheritance tax threshold by the British Government will pose significant challenges for family farms, which are essential for our food security. As Members will be aware, many farmers' assets are tied up in land and equipment, and those are often accompanied by loans and mortgages. Whilst those assets may be fixed, farmers struggle to make ends meet and feed their families week on week.

There is a risk that the new threshold will push small farms into financial distress, making it increasingly difficult for families to pass down their livelihoods and maintain the agricultural practices that sustain our communities and the environment. The Government's recent U-turn on the taxation of double-cab pickups, reclassifying them as cars rather than vans, adds another layer of complexity. The change increases tax liabilities for farmers who depend on those vehicles for their operations, further straining their resources. Those issues are compounded by the absence of a ring-fenced budget for agriculture, unlike in the South, where substantial funding support for farmers has been committed, along with an EU multi-annual budget. That discrepancy not only places farmers at a disadvantage but threatens the cohesion of the all-island agriculture sector. The application of the Barnett formula, post Brexit, heightens concerns about future funding for agriculture, leaving farmers uncertain about the financial support that they can rely on. A motion passed by the Assembly expressed strong political support for a ring-fenced budget, underscoring agriculture's critical role in the local economy and rural communities. Unfortunately, the calls made in the House have gone unheard. MLAs argued that a ring-fenced budget is essential to replace the stability previously provided by EU funding, which provided for sustainable farming, rural development and environmental initiatives under the common agricultural policy (CAP). The Assembly's endorsement reflected broad political will to ensure that our agriculture sector and rural areas receive stable funding in an uncertain economic landscape. As we navigate the challenges, it is crucial that we advocate a policy to support family farms, ensure food security and provide stable funding for the agriculture sector. We must recognise that farmers on the island of Ireland have common challenges and goals. It is essential that we develop coherent strategies that bolster their resilience and enhance food security for all communities, thereby safeguarding the future of our agriculture industry.

406 words. Text as published by the Northern Ireland Assembly.

Assessment

Not flagged

Jev’s structured answers

Assessed 21 October 2026 at 11:27 UTC by jev-1.13.0 (requested as typesafe/jev) under rubric 2026.10-r9, methodology 1.9.

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