Ross Boyd responds to Chancellor’s April 26 tax shake-up

The proposed changes to Business Property Relief (BPR) and Agricultural Property Relief (APR), due in April 2026, are causing Northern Ireland’s family-owned enterprises and farming communities to recalibrate their business models to reduce their tax exposure.

As a result, the Chancellor’s attempts to plug fiscal gaps, may not only be counter-productive – but could be draining the lifeblood from the very sectors that anchor our rural economy and local communities.

These reliefs have long been supporting intergenerational business continuity in Northern Ireland. Cutting them in half effectively exposes these firms to a 20% inheritance tax liability on qualifying assets—a burden many cannot bear. With agricultural margins already razor-thin and family businesses battling economic and geo-political headwinds, the policy is potentially creating a cliff edge for a huge number of family businesses who are already working hard simply to maintain viability.

The data doesn’t lie. According to a survey run by Family Business UK, 84% of farming enterprises expect to reduce investment, with 60% forecasting falling turnover. Family businesses, likewise, are reacting to avoid tax exposure—their actions will curtail investment, growth and job creation. In Northern Ireland, where family-run businesses are a huge part of local economy, Reeves’ tax implications mean they are effectively being encouraged to contract as opposed to expand.

This isn’t just poor timing; it’s poor economics. According to Family Business UK, there could be up to £1.9bn net fiscal loss and 200,000 jobs at risk across the UK, underlining the policy’s flawed assumptions. Even the government’s own Office for Budget Responsibility warns that behavioural responses could negate any projected gains.

If the aim is economic growth, this is a backwards step. The Chancellor must reconsider and consult widely. Family-run firms and farms aren’t tax loopholes—they’re community cornerstones. Undermining them endangers not just balance sheets, but Northern Ireland’s social and economic fabric.

Ross is the founder and director of Belfast-based chartered accountancy, RBCA.