Farmer shares ‘ration books’ fear as Rachel Reeves could kill ‘over half of British farms’

A has argued that Britons could be forced to use “ration books” or a “ration app” as experts suggested more than half of could fold over the next 10 years because of Rachel Reeves’ inheritance tax. Families will have to pay the levy on assets of more than £1million from April 2026.

“Any politician’s priority should be to keep its nation fed,” farmer Olly Harrison said. He added: “I’m shocked by the lack of understanding by government of what UK farms do, three times a day, every day for everybody in the country. These are scary times and not just for farmers. The question is, will we see ration books again or even a ration app?”

“The proposed changes could dramatically affect farming families and businesses,” Mark Ashbridge, Managing Director of land finance firm Ashbridge Partners, said. He added that the Chancellors’ policies “simply aren’t affordable or sustainable for the majority of farmers”.

“If these proposals go ahead,” Mr Ashbridge predicted, “we expect to see a wave of farmers seeking loans and exploring other forms of raising capital to cover these IHT costs, which, when you take into account the average farm is making £86,000 a year, again brings into question the viability of these tax changes.”

A study commissioned by surveyed 2,000 British farmers, and paints a concerning picture of the possible impact of Ms Reeves’ stance on the sector.

It concluded that 39% of farmers expect their farms to be unsustainable within five years, with 56% believing their farms will become financially unviable by 2035.

Experts add that one in 10 farms expect to face an inheritance tax bill of over £1million, with 31% expecting a bill of over £500,000.

Meanwhile, 41% believe they will have to sell off at least half their farm business to pay up.

Victoria Vyvyan, President of the Country Land and Business Association (CLA), said the latest research “reinforces” her organisation’s stats that point to an “inescapable truth” that “English and Welsh farms and small businesses, for the most part, do not have the profits to pay this tax.

She added: “This significant survey, commissioned by Ashbridge Partners, shows that this government’s proposed changes to inheritance tax have failed to recognise that the Treasury will be taxing business assets and as they are sold – farm businesses will become unviable.”