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tv   BBC News  BBC News  November 19, 2024 9:00am-9:31am GMT

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live from london, this is bbc news. thousands of farmers are expected in london to protest against changes to inheritance tax. lam martine i am martine croxall at church housein i am martine croxall at church house in westminster where the national farmers�* union have organised a lobby of 1800 members to urge the chancellor to scrap inheritance tax plans. a court in hong kong sentences 45 democracy activists to jail in a controversial national security trial. it is an unfair trial, it is an unreasonable trial. even one day, they don�*t deserve to be in prison. 620 leaders meeting in brazil
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voice support for peace in ukraine, as the country marks a thousand days since the start of russia�*s full—scale invasion. you are watching bbc news, i�*m karin giannone. thousands of farmers are protesting in westminster this morning to oppose the government�*s planned changes to inheritance tax. let�*s go to westminster now. good morning, martin. reporter: thank you very, very much. todayis thank you very, very much. today is the day the countryside comes to the capital, i arrived at westminster at around 7:a5am and there were already tractors in a parade past the houses of parliament, ready for their rally later today. the weather has not been kind to them but there are thousands and
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thousands of farmers from all over the country due to descend on london to protest against the government�*s plans from the budget a couple of weeks ago to introduce for the first time inheritance tax on agricultural and business assets, which has not been the case before. but here in church house in westminster, this is where the mass lobby of 1800 national farmers�* union members will be gathering in three different sessions to hear different speakers all here to lobby their mps about these changes. they want the inheritance tax scrapped because they say it will be ruinous for smaller family farms particularly, they will have two cell lands, taking it out of generations of production in some cases, they argue, if they are to meet the inheritance tax bill. for their part, the government keep saying you are wrong about the figures, there are only something like 75% of farmers
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who will not be affected by these changes. the farmers, of course, had a very different view. our corresponding jenny kumah has spoken to farmers about some of the challenges they say they will face. come on, sheeps. come on, sheeps! this land is part of david�*s dna. his family have farmed here in gloucestershire for more than a century, through good and hard times. my great grandmother came here with my grandfather in 1913. now he�*s worried that everything will be lost thanks to government plans to change the inheritance tax rules forfarmers. this budget has just ripped the heart out of us, because i know my son cannot, will not be able to afford to pay the inheritance tax. david says his son could face an £800,000 inheritance tax bill. he could have to sell the farm off to pay up. the people they probably want to target will end up with my farm. that�*s the reality. so, someone with a lot of money will buy this farm. ministers say the changes will hit wealthy investors
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who buy up farms to avoid paying inheritance tax. they insist three quarters of estates won�*t be affected. the industry disputes those figures, and warns the policy will damage national food security as land is sold off to pay the tax. what about the argument, though, that farmers have to play their part and help rebuild public services? it�*s just flawed on every front, and for ministers to stand up and say, this is good for farmers like me and for agriculture, they are chucking petrol onto a rather hot fire at the moment. david is among 1800 from the national farmers�* union heading to a mass lobby of mps in westminster. we're going to have to rely so heavily on imports. these students at the nearby royal agricultural university will attend a march organised to coincide with the nfu�*s event. mental health is a massive issue in the agricultural industry, and this feels like the final nail in the coffin for those farmers
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who are already struggling. me and my brother would have to pay an immense sum for ourfarm to carry on, and that�*s the sum that we�*ve spoken about together as a family, that we would not be able to finance and afford. in the weeks since the budget there�*s been widespread anger directed at ministers, and there�*s even been reports of a row within government, with whitehall departments arguing amongst themselves about the best way to bring farmers back onside. it�*s not the first time this year that farmers have been out in protest, here in the uk and in europe, causing huge disruption there. the organiser of today�*s march says his aim is not to disturb, but to focus minds. how far do you think farmers will go if things don�*t change? i really dread to think, because they're at a point now where they've got nothing to lose, and they've got the infrastructure behind them to be able to cause a lot of problems. for now, though, the government
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is sticking to its decision. this is a government that is backing british farmers, not only with the biggest budget forfarming in our country�*s history, £5 billion over the next two years, but we�*re seeking a new veterinary deal with the european union to get british food exports flowing across the border again. we�*re looking at a cross—government crime strategy to tackle rural crime, which is a huge problem forfarmers. this is a government that is on farmers�* side, but we have to fix the black hole in the public finances so we can provide the hospitals, the schools, the affordable housing that farmers and people in rural communities rely on as well. and that has required some difficult choices. but it�*s only right that those with the broadest shoulders should be asked to bear the heaviest load. farmers, though, are ready to dig in and work for change. they see this as a make or break moment for rural britain. jenny kumah, bbc news, gloucestershire.
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at the last general election the labour party won some predominantly rural seats for the first time, but now they are being accused by some founders of betrayal. the conservatives, now in opposition, say this inheritance tax policy is cool and the liberal democrats say it could be potentially disastrous. tim farron, rural affairs spokesperson for the liberal democrats. i think it�*s a deeply damaging proposal. we�*ve seen from what bella was just saying just now that farmers, so many of them, i mean, for example, in my constituency, earning significantly less than the minimum wage, in some cases nothing at all, and yet technically sitting on an asset that�*s worth a significant amount of money. and so the only way that people can then pay the inheritance tax is to literally get rid of the farm. so what happens? the corporates buy it. as bella was saying, we end up with private equity firms taking on this farmland and not farming it, not producing food. so it is cruel, it�*s
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unfair, but it�*s also incredibly stupid. if you think about it, britain is only able at the moment to produce 55% of its own food. in an uncertain world, to be reducing our ability to feed ourselves in this very unfair and cruel way is not just morally wrong, it�*s also stupid. my my colleague nina warhurst has been out and about to gauging opinion on these inheritance tax plans, and we canjoin her from high wycombe in buckinghamshire. from high wycombe in buckinuhamshire. ., buckinghamshire. good morning, the weed to _ buckinghamshire. good morning, the weed to this _ buckinghamshire. good morning, the weed to this farm _ buckinghamshire. good morning, the weed to this farm alone - the weed to this farm alone produces is enough that 9 million loaves of bread every year. —— the wheat. bel—air is one of the founders in the area.
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talk through the food which comes from this area. in this ocket comes from this area. in this pocket we — comes from this area. in this pocket we have _ comes from this area. in this pocket we have a _ comes from this area. in this pocket we have a farm - comes from this area. in this - pocket we have a farm producing 1.5 pocket we have a farm producing 15 million— pocket we have a farm producing 1.5 million pints of milk per year. — 1.5 million pints of milk per year. my— 1.5 million pints of milk per year, my farm with my family produce — year, my farm with my family produce 9— year, my farm with my family produce 9 million loaves of bread, _ produce 9 million loaves of bread, this farm produces 9 million _ bread, this farm produces 9 million loaves of bread, that it is— million loaves of bread, that it is a — million loaves of bread, that it is a small pocket of uk agriculture and every other government is talking about losing — government is talking about losing £500 a year. where will that food — losing £500 a year. where will that food security come from? the argument is that everybody with loads of assets worth millions of pounds had to pay inheritance tax that you can�*t be any different? we inheritance tax that you can't be any different?— be any different? we are different _ be any different? we are different because - be any different? we are different because the - be any different? we are - different because the industry is unlike — different because the industry is unlike any other, agriculture cannot put money aside — agriculture cannot put money aside to— agriculture cannot put money aside to afford these taxes, the corporate giants buying land — the corporate giants buying land and creating this tax evasion _ land and creating this tax evasion problem can afford to do this — evasion problem can afford to do this it _ evasion problem can afford to do this. it willjust widen the tax gap _ do this. it willjust widen the tax gap between us and then, we will he _ tax gap between us and then, we will be selling up to pay that tax and _
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will be selling up to pay that tax and they will be buying it. i'm looking at all the i�*m looking at all the equipment in this farm, the government says once you deal in both allowance, residential allowance, the realfigure at which you begin to pay inheritance tax is closer to £3 million rather than £1 million of assets. 3 million rather than £1 million of assets— of assets. 3 million is only if ou of assets. 3 million is only if you have — of assets. 3 million is only if you have a _ of assets. 3 million is only if you have a spouse, - of assets. 3 million is only if you have a spouse, and - of assets. 3 million is only if you have a spouse, and it i of assets. 3 million is only if you have a spouse, and it is| you have a spouse, and it is also — you have a spouse, and it is also applicable, apr and bpr are being added together, you have _ are being added together, you have a — are being added together, you have a combine for half a billion, _ have a combine for half a billion, a _ have a combine for half a billion, a tractor for 200,000, but a _ billion, a tractor for 200,000, but a 700,000 of the threshold gone _ but a 700,000 of the threshold gone before you begin to tie up what _ gone before you begin to tie up what the — gone before you begin to tie up what the farm itself it's worth, _ what the farm itself it's worth, therefore the threshold is laughable, ridiculous, it needs— is laughable, ridiculous, it needs to— is laughable, ridiculous, it needs to be raised on the policy— needs to be raised on the policy needs change. the passion _ policy needs change. the passion for _ policy needs change. the passion for farming - policy needs change. the passion for farming i - policy needs change. tie; passion for farming i had seen passion forfarming i had seen with you and your colleagues is clear that there are people we know will take advantage of this tax scheme and they have nothing to do with farming in the way yourfamily nothing to do with farming in the way your family has for generations and theyjust invest as a way ofjudging tax, this is a way of closing that
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down. in this is a way of closing that down. , ., , ., this is a way of closing that down. , .,, ., ., ,., this is a way of closing that down. , .,, ., ., ., down. in my opinion about of many farmers _ down. in my opinion about of many farmers going - down. in my opinion about of many farmers going to - down. in my opinion about of. many farmers going to protest it will— many farmers going to protest it will make the problem so much — it will make the problem so much worse, because as i said previously— much worse, because as i said previously farmers have not got enough — previously farmers have not got enough capacity in their business margins to put that money— business margins to put that money aside to pay tax and retain— money aside to pay tax and retain the farm. it is a family farm— retain the farm. it is a family farm tax— retain the farm. it is a family farm tax and the corporate companies buying land for tax evasion — companies buying land for tax evasion will benefit. as companies buying land for tax evasion will benefit.— evasion will benefit. as you have been _ evasion will benefit. as you have been hearing, - evasion will benefit. as you i have been hearing, chancellor rachel reeves argue that in the first year alone could be generated for the treasury, part of the reason for justification, but these guys say they do not have the disposable cash to find that money in the next couple of years. we will let them go because they are among the thousands of farmers making their way this morning from hundreds of fans across the country to london, their coach has just pulled up so we will let them get on board. thank you very much, nina warhurst in buckinghamshire
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where people are setting off to come down to london, the estimates are that the rally due to take place later could attract between 10000 and 40,000 farmers, wejust attract between 10000 and 40,000 farmers, we just do not know, but clearly there is very strong feeling in farming communities. here in church house where the national farmers�* union is an —— is organising its mass lobby, 1800 people due to attend to hear various speakers, among them tom bradshaw, the president of the nfu and a farmer himself in essex near colchester. just describe this sense of anger amongst your members at the moment. , ., , , moment. there is a huge sense of betrayal. _ moment. there is a huge sense of betrayal, the _ moment. there is a huge sense of betrayal, the secretary - moment. there is a huge sense of betrayal, the secretary of. of betrayal, the secretary of state stood on a platform almost one year ago and said they would not be changing agricultural property relief. at no point in the run—up to the budget did they talk about this and suddenly the week
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before we heard rumours it could be within the scope of being changed, the impact on the people of our industry are not being thought about. it is an ill considered policy, the impact on food production have not been thought through, the impact on families, the people of the countryside, it is simply unacceptable. prime minister sir _ simply unacceptable. prime minister sir keir _ simply unacceptable. prime minister sir keir starmer i simply unacceptable. primel minister sir keir starmer has said everybody needs to properly look at what the proposals will really mean. he says government data shows 75% of farms will not be affected, it is not £1 million over which you will have to pay 20% inheritance tax when other people pay 40% inheritance tax at over £1 million worth of assets, it would be more like £3 million and therefore very few firms will have to pay anything? go delight at the prime ministerfeels anything? go delight at the prime minister feels qualified to give tax advice to all of our individual members. many people are taking their own tax advice and when they sit with their accountant the situation
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is worse for many of them than they ever thought it would be, particularly for those in the twilight of their career that are maybe _ twilight of their career that are maybe 80 _ twilight of their career that are maybe 80 or— twilight of their career that are maybe 80 or over. i twilight of their career ii�*ué�*ii are maybe 80 or over. they will not live for seven years and have no way of planning their way through this. if they have lost a spouse already this policy puts set off at the knees with no ability to pass the phone down to the next generation, it is simply not acceptable. provides lots of people would say we all have to pay inheritance tax if the pot of money you are left by your parents or relatives is over £1 million. why should farmers be any different, having been exempted from inheritance tax on agricultural and business assets until now?— on agricultural and business assets until now? these are our factory floor _ assets until now? these are our factory floor is _ assets until now? these are our factory floor is producing - assets until now? these are our factory floor is producing the i factory floor is producing the country�*s food. for the past four or five decades food price inflation has not kept up with real terms inflation, the margins we are making from food production are so low, only around 0.5% return on capital.
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we don�*t have the liquid cash so we would have to sell the asset. when the chancellor said invest, invest, invest, iwas absolutely with her, to deliver forfood absolutely with her, to deliver for food security we need our businesses for foo
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