Farmers rally against inheritance tax changes

Hundreds of farmers participated in rallies across Northern Ireland on Saturday in protest at the change in inheritance tax.

The announcement of a cap on Agricultural Property Relief (APR) for inheritance tax took the sector by surprise.

The government insists the majority of farms in Northern Ireland will be unaffected.

It is adamant that its policy will not change. Other reliefs may help reduce the amount owed, but concern remains high.

Alan Chambers is the 13th generation at his family farm in Seaforde.

He said if he died, his family would have to find £1m to pay in taxes and that's something they couldn't do without selling land.

The 78-year-old, who still works the farm, told BBC News NI at a rally in County Down, he and his brother had built it up after years of hard work and that these tax changes could see all that "decimated".

Dairy farmer Carl Ward was at the rally with his nine-year-old daughter Annabelle, who he one day hopes will inherit the family farm in Hillsborough.

He said they had to come out to protest because the government was treating family farmers like "the little man", forced to bear the brunt of taxation.

He said it had no appreciation of how farming works in Northern Ireland, and just how many families stand to be affected by the legislative change.

Around 150 tractors set off from Lisahally Livestock Mart in County Londonderry, to take part in the protest.

Many tractors had placards mounted protesting against the new tax.

The farmers were given a safety briefing by the Police Service of Northern Ireland (PSNI) before being led off by two officers on motorbikes.

Coleraine student Amy McCollum said she wanted to preserve the future of farming.

She said: "I'm here today to try to ensure there is a future. I'm a student at Queen's and I'd like to return to work on our family farm in Coleraine. This is for future generations."

Farmer Robert Moore said he's angry at the new tax.

"It really is heinous and we must get rid of it. Farmers simply can't afford to pay it. No one minds paying their taxes but this is so unjust and unfair.

"My own daughter would have to end up selling land," he added.

Farmer Andrew Little is still reeling after the "kick in the teeth" that he feels the budget delivered.

Mr Little is a second-generation dairy farmer from County Fermanagh, and the thought of eventually receiving a large bill is preying on his mind.

"We're at the mercies of Mother Nature," he said.

"We have a bad year of weather, it crucifies us, but we always get through," Mr Little added.

"But this here, we can't get through it because if you have a tax of maybe two or three hundred thousand pound, that's two grand a month for 10 years and that could hit two generations in the one farm in a very short space of time."

He will lead one of the seven rallies across Northern Ireland.

The Department of Agriculture, Environment and Rural Affairs (Daera) has estimated that almost half of all farms in Northern Ireland may be over the £1 million threshold, making them liable to pay inheritance tax at 20%.

Dairy farms like Andrew Little's are particularly badly hit, as they tend to be larger with more high-value sheds and equipment.

Some farmers describe themselves as "asset-rich but cash-poor", and according to Mr Little, that sets them apart.

"We have assets worth hundreds of thousands of pounds and millions of pounds. In a good year we may yield 0.5% or 1% profit, whereas most other businesses out there are running at 10%, 15% or maybe even more of a profit of their asset worth," he said.

"Could you go and ask the farmer to write a cheque for 10% of what he's worth? He probably can't."

The tractor rallies are the latest in a series of protests.

Thousands of farmers in Northern Ireland signed a petition and attended a meeting in the Eikon Centre in November, ahead of a protest lobby and demonstration in London.

Mr Little said his business has supported 62 others in the area in the last financial year, with purchases and payments ranging from £10 to thousands.

He fears that the change to inheritance tax will drive people like him away from agriculture and affect other businesses as a result.

"They're attacking our livelihood, so we have to fight back. We don't want to go out and do all these things you see on the internet, of blockades and all that craic and put the government against us," he said.

He added that farmers "want to feed the public; that's all we want to do".

"You have to be hopeful that [the government] realises the impact that [tax changes] will have on the rural economy. And you have to live in hope."

The rallies are set to embark at 14:00 GMT, and maps of the routes are available online.

Additional reporting by Lyndsey Telford and Keiron Tourish.