UK supermarkets speak out on farm family inheritance tax reform

Aldi has signed a letter by the NFU backing calls for a pause in the implementation of changes to inheritance tax affecting family farms.

Lidl has said it is also backing the farming community by calling for consultation on the controversial tax.

Meanwhile, the Co-Op has also agreed to sign the UK Farming Unions letter going to the Government imminently, to call for a re-consideration of the proposed tax changes.

A day of protest is due to take place across the UK this Saturday organised by the farming unions. In Northern Ireland 7 tractor rallies will take place in the six counties.

An Aldi spokesperson said: “British farmers and suppliers are the lifeblood of our business. We are proud of our support for the UK farming community and of the fact that 100% of our fresh everyday beef, pork, poultry, eggs, butter, milk and cream is British.

“We all need a farming sector that can confidently invest in its future and continue to produce high-quality British food. That's why we are supporting the farming community’s calls for the Government to pause the implementation of its proposed changes to inheritance tax until a further period of consultation has taken place.”

Meanwhile, a spokesperson for Lidl GB, said they are incredibly proud of the strong and long-term relationships they’ve built with British producers over the last 30 years.

"We remain committed to supporting British farmers now more than ever and over the last year announced investments of £1bn into the British egg industry, £1.5bn into the British beef industry as well as £500m investment into the British pork sector and £70m into British root veg suppliers. By the end of the financial year, we will have invested a total of £21bn in the British food industry, exceeding our original five-year commitment by 40%,” the spokesperson continued.

"As a supermarket, we are one of agriculture’s biggest customers and being able to buy British sourced produce is incredibly important to Lidl shoppers. With two thirds of our products sourced from British suppliers, including 100% of our everyday fresh beef, pork, poultry, milk, butter, cream and eggs, it’s important that we help British farmers, food producers and suppliers thrive now and in the future.

"Providing security and long-term investment for British agriculture is key to helping ensure that farmers can continue to produce affordable and increasingly sustainable food for generations to come. We are concerned that the recent changes to the Inheritance Tax (IHT) regime will impact farmer and grower confidence and hold back the investment needed to build a resilient, productive and sustainable British food system. We, therefore, support the call by the farming community to pause the implementation of those changes and to consult with industry to achieve a mutually beneficial outcome. We will be raising our concerns with Government at any opportunity we get.”

Matt Hood, Co-op Food Managing Director said: “Co-op is a long-term supporter of British farming. Indeed, we were the first and, at the time, only national UK grocer to switch to 100% British fresh and frozen own brand protein including when used as ingredient in all our products, a commitment we continue to stand by today, and not a claim many others can make. By working so closely with British farmers, we know as an industry, they are facing many challenges, and we have seen firsthand the fear, anxiety and anger currently being felt.

"Farmers are the absolute backbone of the UK’s food supply, and supporting UK agriculture is more important than ever. We will continue our long term, significant commitment to the industry, investing and spending hundreds of millions of pounds every year on protein, produce and dairy, ensuring our members and customers can carry on buying the multitude of amazing quality British products in our stores.

"Whilst we are aware that the UK Government has tough choices to make, many of which have the potential to impact many businesses, across all sectors, I can confirm we have directly contacted relevant Government departments to communicate our hope that they will look again at the impact of the IHT/APR changes. We have also agreed to sign the UK Farming Unions letter going to the Government imminently, to call for a re-consideration of the proposed tax changes.”