Finance (No. 2) Bill

Tim Farron Excerpts

2nd reading
Tuesday 16th December 2025 Commons Chamber

[David Chadwick (Brecon, Radnor and Cwm Tawe) (LD)]

Wales is the poorest of our four nations. It has the highest levels of unemployment and the lowest wages. The family farm tax is yet another example of how this Government are going to hurt the Welsh economy with full knowledge of the consequences. They have decided to hit Wales, in whose economy agriculture is a major sector, with an extra tax. It is, quite frankly, an unacceptable and horrific way for this Government to start off.

Family farms are the backbone of our rural economy, the heart of our food system and central to the survival of many communities in Wales. People in Wales are shocked that this Labour Government have decided to come for one of our major industries. People in Wales are accustomed to the Conservatives unpicking our major industries and taking them out—they expect that—but they expect better from the Labour party.

When family farms are hit, the damage spreads far beyond the farm gate; it hurts vets, suppliers, hauliers, markets, local shops and rural high streets. That is why it was so deeply disappointing that 23 of Wales’s 27 Labour MPs chose to vote this policy through despite clear warnings from rural Wales. The scale of what is being put at risk is enormous.

[Tim Farron (Westmorland and Lonsdale) (LD)]

My hon. Friend’s communities are not dissimilar to mine; they are very rural and very mountainous, and upland farming is critical to his communities, as it is to mine. Does he think the Labour Government have failed to understand that wealth is not concentrated in the hands of famers in the way that they think? It is entirely possible to be an upland farmer in my hon. Friend’s patch or in mine and to be earning the minimum wage or, indeed, less—the University of Cumbria shows that the average upland farmer earns less on average than the minimum wage—and yet to be in a position, after inheritance tax is due, to be paying £20,000 a year or more while earning only £16,000. That is not right, is it?