Following the announcement of the government’s ‘New Deal for Farmers’, NFU President Tom Bradshaw has given his response. Mr Bradshaw said: “There are positive elements to this announcement, but it fundamentally fails to recognise that the industry is in a cash flow crisis with the lowest farmer and grower confidence ever recorded. That’s today. Many are worried about making it to the end of 2025, never mind what happens 25 years down the line."
“Devastating inheritance tax changes, national insurance hikes, crippling cuts to direct payments1 and delays to environmental schemes mean many businesses won’t survive to benefit from the ‘New Deal’ that has just been announced."
“It’s great that government thinks farming and growing businesses should be more profitable and sustainable in the long-term. It’s also good to hear the government say the primary role of farmers and growers is to produce food, but how is it going to ensure food production is profitable when thousands of farmers and growers are questioning whether they’ll still be in the industry in the next year?"
“The agricultural transition, which began with the previous government’s Health and Harmony consultation in 2018, assumed that the loss of direct payments would be offset by farmers getting a proper financial return from environmental schemes, significant improvements in productivity, and increased returns from fairer functioning markets. This has not happened."
“The government must now face up to the reality of the fierce policy headwinds and challenging market conditions the industry is facing into and act to secure the future of British farming. Its first priority as a matter of urgency must be to pause and consult on changes to Agricultural and Business Property Relief and review the delays and challenges to agri-environmental schemes."
“To have a genuine reset moment with farmers and growers after the inflationary budget, all of these issues need to be addressed. Only then can the government’s long-term vision be achievable."
"As we go through the detail of today’s announcements, we will continue to engage with Defra and stand up for the voice of British farming.”
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