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Government Raises Inheritance Tax Threshold to Support Family Farms

1/3/2026

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Summary

Story summary

The government raised the inheritance tax threshold on agricultural land from £1 million to £2.5 million, easing concerns for farms near Penrith.
The previous threshold threatened the viability of small farms that struggle to generate sufficient profit.
The announcement alleviated fears about the future of the family farm and underscored the need to support farms that actively engage with their communities.

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Story summary

The government raised the inheritance tax threshold on agricultural land from £1 million to £2.5 million, easing concerns for farms near Penrith.
The previous threshold threatened the viability of small farms that struggle to generate sufficient profit.
The announcement alleviated fears about the future of the family farm and underscored the need to support farms that actively engage with their communities.