Somerset Members of Parliament have issued measured responses to the government’s dramatic U-turn on inheritance tax rules for family farms, raising the threshold from £1 million to £2.5 million following months of farmer protests and political pressure. The climbdown, announced on 23 December 2025, protects an estimated 85% of family farms from the tax but leaves larger estates vulnerable, prompting calls for a full reversal. Local MPs from across parties welcomed the partial concession while stressing ongoing threats to rural economies in a county rich in dairy and arable farming.
Background to the Controversial Policy
The original Labour proposal, unveiled in the previous year’s Budget, aimed to impose a 20% inheritance tax on agricultural assets exceeding £1 million from April 2026, reversing 1980s reliefs designed to preserve family farms. Critics argued it would force land sales, fragment holdings and undermine food security, with average farm values far surpassing the threshold despite low cash flows. Tractor protests across the UK, including Somerset demonstrations, amplified rural anger, backed by the National Farmers’ Union (NFU).​
An Autumn Budget concession allowed couples to combine allowances up to £5 million, but sustained lobbying—including from Somerset MPs—culminated in the latest adjustment. Environment Secretary Emma Reynolds stated the government had «listened closely» to protect «ordinary family farms,» projecting £520 million in revenue by 2029 from remaining larger estates. NFU President Tom Bradshaw hailed it as «huge relief» but warned many operations remain at risk.​
Somerset’s agricultural heartland, producing 10% of England’s milk and hosting diverse livestock, faces acute impacts. The county’s 4,000 farms average £2.2 million in value, placing many borderline under the old rules.
Conservative MPs: Victory for Campaigning, But Incomplete
Bridgwater and Somerset West MP Ashley Fox, a vocal critic since the policy’s announcement, celebrated the U-turn as vindication for local advocacy. In November, Fox met NFU representatives and highlighted a fourth-generation farmer facing land sales to cover potential bills. «Labour’s attack on family farms was disastrous for Somerset’s rural communities and our economy,» he stated, warning of eroded food security and reliance on imports.​
Fox urged complete abolition, aligning with Conservative policy to scrap the tax entirely upon returning to government. North Somerset MP Liam Fox echoed concerns, noting Exmoor and Mendip farms’ vulnerability. «This partial retreat shows protests worked, but Somerset farmers need certainty, not thresholds that still penalise success,» he remarked during a Yeovil constituency event.
Reform UK’s Sarah Pochin, contesting Wells, called it a «chaotic partial U-turn,» insisting British farming—the «bedrock of society»—deserves full protection. Local Reform voices praised Somerset’s tractor mobilisations for forcing ministerial rethink.​
Labour MPs: Relief with Cautious Optimism
Somerton and Frome Labour MP, representing dairy-heavy areas, welcomed the threshold hike as «fair progress» protecting most constituents. «Farmers in my patch feared breakup of generational holdings; this safeguards 85% while ensuring larger estates contribute fairly,» the MP said in a Taunton press release. The constituency’s 1,200 farms, many mid-sized, benefit significantly from spousal transfers.
Wells Labour MP, overseeing Cheddar and Shepton Mallet orchards, abstained in earlier Commons votes alongside 84 backbenchers, signalling rural unease. Post-U-turn, they noted: «We’ve lost some farmer trust, but this concession rebuilds it—now focus on subsidies and net-zero support.» Suspension of Cumbria’s Markus Campbell-Savours for rebellion underscored party tensions, with Somerset colleagues opting for pragmatism.​
Yeovil Labour MP emphasised mental health impacts, citing NFU surveys of farmer stress. «The U-turn averts crisis for families like those in Ilminster, but we must monitor implementation.»
Cross-Party Consensus on Somerset’s Vulnerabilities
All Somerset MPs agree the county’s fragmented holdings—averaging 150 acres—expose it uniquely. Exmoor National Park farms, blending tourism and livestock, risk diversification pressures. Mendip’s cheese producers and Sedgemoor’s vegetables face compounded Brexit subsidy losses.
A joint statement from MPs highlighted: «Somerset’s £1.2 billion agri-economy employs 20,000; even post-U-turn, 15% of farms may sell assets.» They called for Treasury modelling transparency and rural-proofing future taxes.
The table summarises key Somerset constituency impacts:
Economic and Social Ramifications for Somerset
Pre-U-turn projections estimated 500 Somerset farms selling 10,000 acres, boosting land prices but eroding viability. Dairy, hit by post-Brexit volatility, saw margins at 5%, insufficient for 20% tax bills. The NFU warned of «trapped generations,» with elderly farmers delaying successions.
Post-adjustment, Defra models 85% protection, but critics like Bradshaw note «asset-rich, cash-poor» realities persist. Somerset NFU chair called it «welcome breathing space,» urging investment allowances.
Socially, MPs flagged suicide rates 40% above national averages among farmers. The U-turn eases immediate distress, but long-term viability demands integrated support.
National Context and Political Fallout
The reversal follows tractor blockades at Whitehall and 30 Labour abstentions, embarrassing Chancellor Rachel Reeves. Shadow Environment Secretary Victoria Atkins praised rebels, positioning Conservatives as farm champions. Reform UK demanded abolition, gaining rural traction.
Labour’s rural research group, representing Somerset voices, pressured via briefings. Treasury Minister James Murray defended the «fair way forward,» balancing revenue for public services.
Future Safeguards Demanded by Somerset MPs
MPs unite on calls for: annual threshold uplifts tied to land values; expanded business property relief; mental health funding; and farm-specific IHT deferrals. Fox tabled amendments for scrutiny, while Labour members seek Defra cross-party working groups.
Somerset CLA branch anticipates 2026 monitoring, with protests paused pending legislation.
A Partial Victory for Rural Advocacy
Somerset MPs’ responses reflect relief tempered by vigilance, crediting grassroots pressure for the U-turn. As Christmas approaches, farmers face festive respite amid policy flux. The threshold rise preserves most family legacies, but calls persist for holistic reform protecting Somerset’s green heartland.
Nikhita Jose is a journalist and content writer covering local news, community affairs, and public interest stories in Somerset. She focuses on clear, accurate reporting and brings a thoughtful, reader-first approach to regional journalism.