Devon County Councillor, Cheryl Cottle-Hunkin has welcomed the government’s announcement today (Tuesday 23 December) that it will increase the inheritance tax threshold for farmers from £1 million to £2.5 million.
The government had intended to impose a 20% tax on inherited agricultural assets worth more than £1 million from April 2026, ending the 100% tax relief that has been in place since the 1980s.
“Under the original proposals, many family-run farms would have faced being financially crippled,” said Cllr Cottle-Hunkin, Cabinet Member responsible for rural affairs, and fifth-generation sheep farmer whose family continues to farm land in rural Torrington.
“Farmers and their families have faced more than a year of serious stress and anxiety.
“I have been campaigning on this issue since the day it was announced, making it clear to ministers the serious impact it would have on Devon.
“Not just the farming families themselves but the wider effect on the rural economy and the communities they sustain.”
Criticism of the government’s plans led to protests from farmers across the country, including a contingent of farmers, invited by the council to County Hall in December 2024.
“This change today by central government did not happen by accident,” she said.
“It follows months of determined effort from farmers and supporters across the country- from tractor protests, to petitions, letters and meetings with MPs.
“Every voice mattered, and that collective pressure has made a real difference.”
Councillor Cottle-Hunkin welcomed the concession, calling it a “significant win for farmers and rural communities across Devon”.
“While the Liberal Democrats continue to campaign for a total reversal of these inheritance tax changes, this concession is nonetheless welcome.
“It provides much-needed reassurance for many as we head towards Christmas, but there is more to do.
“I will continue to fight to ensure Devon’s farmers and rural communities are properly heard and supported in the year ahead.”