Sir Keir Starmer has insisted the “vast majority of farmers” will not be affected by changes to Inheritance Tax (IHT) ahead of a protest outside parliament on Tuesday.
It follows Chancellor Rachel Reeves announcing a 20% inheritance tax that will apply to farms worth more than £1m from April 2026, where they were previously exempt.
But the prime minister looked to quell fears as he resisted calls to change course.
Speaking from the G20 summit in Brazil, he said: “If you take a typical case of a couple wanting to pass a family farm down to one of their children, which would be a very typical example, with all of the thresholds in place, that’s £3m before any inheritance tax is paid.”
The comments come as thousands of farmers, including celebrity farmer Jeremy Clarkson, are due to descend on Whitehall on Tuesday to protest the change.
And 1,800 more will take part in a “mass lobby” where members of the National Farmers’ Union (NFU) will meet their MPs in parliament to urge them to ask Ms Reeves to reconsider the policy.
Speaking to broadcasters, Sir Keir insisted the government is supportive of farmers, pointing to a £5bn investment announced for them in the budget.
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He said: “I’m confident that the vast majority of farms and farmers will not be affected at all by that aspect of the budget.
“They will be affected by the £5bn that we’re putting into farming. And I’m very happy to work with farmers on that.”
Sir Keir’s spokesman made a similar argument earlier on Monday, saying the government expects 73% of farms to not be affected by the change.
Environment, Farming and Rural Affairs Secretary Steve Reed said only about 500 out of the UK’s 209,000 farms would be affected, according to Treasury calculations.
However, that number has been questioned by several farming groups and the Conservatives.
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2:28
Farming industry is feeling ‘betrayed’ – NFU boss
Government figures ‘misleading’
The NFU said the real number is about two-thirds, with its president Tom Bradshaw calling the government’s figures “misleading” and accusing it of not understanding the sector.
The Country Land and Business Association (CLA) said the policy could affect 70,000 farms.
Conservative shadow farming minister Robbie Moore accused the government last week of “regurgitating” figures that represent “past claimants of agricultural property relief, not combined with business property relief” because he said the Treasury does not have that data.
Image: Welsh farmers carried out a protest outside the Welsh Labour conference in Llandudno, North Wales, over the weekend
Agricultural property relief (APR) currently provides farmers 100% relief from paying inheritance tax on agricultural land or pasture used for rearing livestock or fish, and can include woodland and buildings, such as farmhouses, if they are necessary for that land to function.
Farmers can also claim business property relief (BPR), providing 50% or 100% relief on assets used by a trading business, which for farmers could include land, buildings, plant or machinery used by the business, farm shops and holiday cottages.
APR and BPR can often apply to the same asset, especially farmed land, but APR should be the priority, however BPR can be claimed in addition if APR does not cover the full value (e.g. if the land has development value above its agricultural value).
Image: APR and BPR can apply to farmland, which the Conservatives say has been overlooked by the Treasury in compiling its impact figures. File pic: iStock
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Mr Moore said the Department for the Environment, Farming and Rural Affairs (DEFRA) and the Treasury have disagreed on how many farms will be impacted “by as much as 40%” due to the lack of data on farmers using BPR.
Lib Dem MP Tim Farron said last week1,400 farmers in Cumbria, where he is an MP, will be affected and will not be able to afford to pay the tax as many are on less than the minimum wage despite being asset rich.
A “rapid” national investigation into NHS maternity services has been launched by the government.
The announcement comes after Health Secretary Wes Streeting met families who have lost babies and amid the ongoing investigations at some NHS trusts into maternity care failings.
The investigation in England is intended to provide truth to families suffering harm, as well as driving urgent improvements to care and safety, as part of efforts to ensure “no parent or baby is ever let down again”.
Mr Streeting, who was speaking at the Royal College of Obstetricians and Gynaecologists (RCOG) conference in London, apologised on behalf of the NHS for what families had been through and said it was “clear something is going wrong”.
He added: “For the past year, I have been meeting bereaved families from across the country who have lost babies or suffered serious harm during what should have been the most joyful time in their lives.
“What they have experienced is devastating – deeply painful stories of trauma, loss, and a lack of basic compassion – caused by failures in NHS maternity care that should never have happened.
“Their bravery in speaking out has made it clear: we must act – and we must act now.”
Mr Streeting said families have had to “fight for truth and justice” and had described being “ignored, gaslit, lied to, manipulated and damaged further by the inability for a trust to simply be honest with them that something has gone wrong”.
Health secretary doesn’t want any deaths on his watch
This was a powerful speech from the health secretary who is clearly troubled by the scandalous state of maternity services in this country.
Wes Streeting has spent the past year meeting bereaved families who have been failed by the NHS.
He said he “was kept up at night” after listening to their harrowing testimonies.
Announcing a national investigation into NHS maternity services, this review is modelled on the Darzi report into the NHS, commissioned by the health secretary almost as soon as he came into office.
It will be “rapid”. The terms of reference for the investigation will be known by July. The actual report is expected to be published by Christmas.
Mr Streeting accepts this is an ambitious timeline but is driven by the fear that mothers and babies are still being failed and he does not want “any deaths on his watch”.
Image: Wes Streeting speaking during the RCOG conference. Pic: PA
The investigation will consist of two parts.
The first will investigate up to 10 of the most concerning maternity and neonatal units, including Sussex, in the coming weeks to give affected families answers as quickly as possible, according to the Department of Health.
The second will be a “system-wide” look at maternity and neonatal care, uniting lessons from past inquiries to create one clear set of actions designed to improve NHS care.
A National Maternity and Neonatal Taskforce will be chaired by Mr Streeting and made up of experts and bereaved families.
The investigation will begin this summer and report back by December.
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2:02
From 2024: ‘The joy was sucked out of having a baby’
Sir Jim Mackey, chief executive of NHS England, said: “This rapid national investigation must mark a line in the sand for maternity care – setting out one set of clear actions for NHS leaders to ensure high quality care for all.”
Dr Ranee Thakar, president of the RCOG, said: “The maternity workforce is on its knees, with many now leaving the profession.”
RCM chief executive Gill Walton said: “Everyone involved in maternity services – the midwifery community, obstetricians, anaesthetists, sonographers and, of course, the women and families in their care – knows that maternity services are at, or even beyond, breaking point.
“This renewed focus and commitment by the health secretary to deliver change is welcome, and we will do everything we can to support him in doing so.”
Footage released by the group showed them vandalising aircraft – with reports of damage totalling millions of pounds.
Home Secretary Yvette Cooper said “the disgraceful attack on Brize Norton” on Friday was “the latest in a long history of unacceptable criminal damage committed by Palestine Action”
Image: Some of the damage to planes at RAF Brize Norton
She said a draft proscription order will be laid in parliament next week and if passed, it will make it illegal to be a member of, or invite support for, Palestine Action.
Proscription can lead to prison sentences of up to 14 years for some offences, although some breaches are punishable with fines.
Saeed Taji Farouky, a member of the group, told Sky News the proscription was “completely irrational” and “without precedent”.
He branded it a “knee-jerk reaction from the government” because the group “was able to humiliate them and show serious flaws in the defences of the RAF base”.
Image: A supporter of Palestine Action in London. Pic: PA
Armed forces minister Luke Pollard said a “full review” of security at military bases was under way, and the government was working alongside counter-terror police to find the activists who broke into the Oxfordshire base.
The group has also claimed responsibility for several incidents involving red paint being sprayed on businesses.
A protest in support of Palestine Action was taking place on Monday in London.
Sir Mark Rowley, the head of the Metropolitan Police, said he was “shocked and frustrated” that the action was going ahead.
He added that he had limited powers to stop the demonstration until proscription takes place.
Image: Police officers remove people taking part in a Palestine Action protest. Pic: PA
The Metropolitan Police three people had been arrested at the Palestine Action protest in Trafalgar Square – two for obstruction and one for a “racially aggravated public order offence”.
In her statement to parliament, Ms Cooper said Palestine Action “publicises and promotes its attacks involving serious property damage”.
She said the group had claimed responsibility for an attack on a Jewish-owned business in north London, as well as causing millions of pounds of damage to defence businesses.
Image: Yvette Cooper announced Palestine Action will be proscribed on Monday. Pic: PA
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The home secretary said, however, that if parliament supports the proscription, the right to “peaceful protest” will remain unaffected.
“It is vitally important that those seeking to protest peacefully, including pro-Palestinian groups, those opposing the actions of the Israeli government, and those demanding changes in the UK’s foreign policy, can continue to do so,” she added.
Former minister Tulip Siddiq has accused the leader of Bangladesh of conducting an “orchestrated campaign” to damage her reputation and “interfere with UK politics”, according to a new legal letter seen by Sky News.
The Labour MP also said comments made by Professor Muhammad Yunus in a Sky News interview have prejudiced her right to a fair investigation, meaning the ongoing corruption inquiries into her should be dropped.
In March, the chief adviser – who is effectively the country’s interim leader – told Sky News that Ms Siddiq “has so many (sic) wealth left behind here” and “should be made responsible”.
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8:10
Bangladesh’s leader talks to Sky News
Bangladesh’s Anti-Corruption Commission (ACC) has opened several investigations into Ms Siddiq alleging corruption in connection with the government of her aunt Sheikh Hasina, who was ousted as the country’s prime minister last year.
In the new correspondence sent today to Professor Yunus and the ACC, lawyers for the former minister write: “The time has now come for the chief adviser and the ACC to abandon their wholly misconceived and unlawful campaign to smear Ms Siddiq’s reputation and interfere with her public service.”
Sky News has approached the chief adviser and the ACC for comment.
The Bangladeshi authorities have previously said they have evidence to back up their claims of corruption and will pursue action through the country’s courts.
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2:35
The Tulip Siddiq accusations explained
Speaking to Sky News on Monday, Ms Siddiq said: “I will not be allowing them to drag me into their world of dirty politics and nothing is going to stop me from pursuing the job that I was elected to do with an overwhelming majority, which is representing the people of Hampstead and Highgate.
“So they need to stop this political vendetta, this smear campaign, and this malicious persecution right from the beginning.”
The MP had requested a meeting with the Bangladeshi leader during an official visit to the UK earlier this month to “clear up” any misunderstandings.
But this was turned down by the chief adviser, who said he did not want to “interrupt a legal procedure”.
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0:29
MP says arrest warrant is ‘smear campaign’
In the new legal letter, lawyers for Ms Siddiq say the interim leader had already unfairly influenced the inquiries through previous comments.
“The copious briefings to the media, the failure to respond to our letters, the failure to even ask to meet with and question Ms Siddiq during their recent visit to the United Kingdom are impossible to justify and completely inconsistent with a fair, lawful and serious investigation,” reads the letter.
The correspondence also sets a deadline of 30 June 2025 for the Bangladeshi authorities to reply by, stating that “in the absence of a full and proper response… Ms Siddiq will consider this matter closed”.
A former Nobel Prize winning economist, Professor Muhammad Yunus became interim leader of Bangladesh last August after weeks of deadly protests forced Sheikh Hasina from power.
He has pledged to root out corruption and recover alleged stolen wealth before holding votes to elect a permanent administration.
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0:47
Tulip Siddiq questioned over Bangladesh corruption
Last month, Professor Yunus banned the Awami League – the political party still led by Sheikh Hasina – from standing in the coming elections.
That led to criticism from those still loyal to the former prime minister, with protests also sparking in the country over jobs, pay and planned reforms.
Earlier this year, Ms Siddiq attracted criticism over newspaper reports alleging property links to individuals connected to the Awami League.
She referred herself to the prime minister’s standards adviser Sir Laurie Magnus who said he had “not identified evidence of improprieties” but added it was “regrettable” Ms Siddiq had not been more alert to the “potential reputational risks” of the ties to her aunt.
Sheikh Hasina is currently standing trial in absentia in Dhaka over alleged killings during last summer’s civil unrest.
Asked by Sky News if she had any regrets about links to the Awami league, Ms Siddiq said: “The main thing I would say to you, I’m very proud to be the MP for Hampstead and Highgate. I was born in London, I grew up in London. I went to school here and now I’m an MP here.”
Staff from the National Crime Agency visited Bangladesh in October and November as part of initial work to support the interim government in the country.
Last month, the NCA confirmed it had secured a “freezing order” against a property in north London linked to Ms Siddiq’s family.
She denies all the allegations – and sources close to the MP say the authorities have been sending correspondence to an address in Dhaka that has no connection with her.