Tractor protest as minister promises farmers ‘new deal’

Protesting farmers angry about changes to inheritance tax have attempted to disrupt a minister’s speech setting out the government’s vision of a “New Deal” for British farming.

About 40 tractors rolled through the streets of downtown Oxford, horns blaring, as Environment Minister Steve Reed addressed a national agriculture conference.

In his speech, Reed regretted that decisions had upset farmers, but argued that “stable finances are the foundation for the economic growth needed.”

The comments came as he outlined the government’s 25-year plan to make farming more profitable.

NFU president Tom Bradshaw said farmers were worried about “getting to 2025, let alone what happens 25 years later”.

Outside the conference, protest organizer Caroline Graham told the BBC that the government’s current policies were “crucifying” farmers.

Reed’s speech focused on the future viability of domestic food production as farmers remain angered by farm inheritance tax changes announced in the budget.

From April 2026, inherited agricultural assets worth more than £1 million, which were previously exempt, will be subject to tax at 20% – half the usual inheritance tax rate.

Many farmers argue that while they are wealth-rich – for example in terms of their land and livestock – they are cash-poor and that the changes would mean they would have to sell their taxes to pay the tax .

Mrs Graham, a widowed farmer from Berkshire, said: “If these taxes had been in place when my husband died I would have had to sell the farm.”

“The government cannot do what it is doing. It hit us from every direction.”

“It’s not just the inheritance tax. It’s the trade tax. It’s the crops in the ground. Everything they do crucifies us.”

She criticized Reed, who spoke to a paying audience during the conference, saying, “It’s time for him to come out and stand up for what he says.”

“He should be on farms and listening to real farmers.”

As tractors honked outside during the conference, Reed repeated Labour’s claim that the last government had left a £22bn deficit. He told delegates: “We were shocked at the size of the financial black hole we had to fill.”

“I am sorry that some of the measures we have had to take have shocked you too, but stable finances are the basis for the necessary economic growth.”

Pressed by reporters, Reed said he apologized for having to “make decisions that are very difficult for the sector because of our legacy.”

In his speech, Reed said the government would offer a “new deal for farmers” that would help them become more profitable.

Measures under the deal include implementing Labor’s election promise to ensure that 50% of food in schools, hospitals, military bases and prisons funded with public sector money comes from local farms or to high environmental standards are produced.

Reed told the BBC this could be worth £2.5bn to domestic food producers, adding: “What I’m announcing today are tough measures that will put money straight into farmers’ pockets for their hard work , which they invest to provide food to all our food tables.”

The government is also promising to cut planning red tape to make it easier for farmers to build barns and other infrastructure they need to increase food production, and to help them diversify their businesses with farm shops and holiday accommodation .

Reed also said the government would make it easier for farms to add energy from on-site solar panels and wind turbines to the grid.

The NFU reacted cautiously to the measures. Its president Bradshaw said: “If farmers were really confident about their future they would think it actually contains some of the things we like – planning for reform, cutting red tape, ensuring food production is profitable.

“The problem is that the industry is on a knife edge.”

He added that the government’s plan “fundamentally ignores the fact that the industry is in a cash flow crisis and farmer and producer confidence is at an all-time low.”

“Many are worried about making it to the end of 2025, let alone what will happen 25 years later,” he said.