The government has watered down inheritance tax changes for farming families by raising the threshold for the 20% levy on inherited agricultural or business assets from £1 million to £2.5 million, taking effect in April next year and cutting the number of estates affected from 375 to 185.

Environment Secretary Emma Reynolds argues the move protects farming families and rural communities while ensuring larger estates contribute more, aiming to support food security and environmental stewardship.

The policy shift followed months of protests and political pressure, including Labour backbench opposition and the suspension of one MP for voting against the original plan.

Critics say the climbdown raises questions about Labour’s grip on power and signals potential internal instability.

NFU Scotland and thousands of its members across the country are credited for their lobbying, rallies, and public engagement over 14 months, alongside supportive Scottish politicians.

NFU and other industry bodies welcomed the adjustment, with leaders noting it as a step forward but warning some small-margin family businesses still face challenges.

Defra stressed the decision came after ministers listened to farmers and businesses and amid protests outside Parliament.

Practical details and further links accompany the policy explanation, including notes on debt reduction and funding for public services.

Public-facing materials were pared down to focus on the policy change and industry response, removing extraneous content.

The episode illustrates the political influence of farmers and protest movements, and sits within broader European farming politics and trade considerations that affect European farmers.

Industry voices highlighted ongoing concerns about the government’s farming approach, including recent animal-rights and anti-hunting measures, with critics alleging an anti-rural stance.

Reaction was mixed: many welcomed the climbdown as relief, but some say it’s insufficient and trust in policymakers remains damaged; further action is urged.