A judicial review of the extension of inheritance tax to agricultural land and farm assets in the UK has been held in London.
Farmers for Action (FFA) is optimistic that an early decision will be forthcoming with regard to the outcome of the matter.
The case was heard in front of two judges in the Royal Courts of Justice earlier this week.
It was taken by Peterborough farmer Tom Martin, who is representing a consortium of other farmers and agri-business people committed to having the inheritance tax decision taken by the Chancellor of the Exchequer, Rachel Reeves, in Budget 2024 fully reversed.
Judicial review
FFA’s William Taylor attended the first day of the judicial review.
He told Agriland: “April 6 is the key date in this entire process. It represents the day on which the new inheritance tax legislation takes effect.
“If the two judges rule in favour of the case taken by Tom Martin before April 6, then it could delay the implementation of the legislation.
““The granting of the judicial review centred on the case made by Tom Martin to the effect that the government had not entered into sufficient consultation with agri and other stakeholders prior to the inheritance tax announcements that were made in Budget 2024.”
According to Taylor, it could take up to a year for a full consultation process to be completed regarding the new Inheritance Tax measures.”
“And of course, this entire process hinges on the actual stakeholder participant groups that are identified by the government,” he said.
“However, if the judges do not come back with their verdict until after April 6, matters become very complicated.
“Assuming they endorse the points made by Tom Martin’s legal team, a consultation process would still take place but with the new legislation fully enacted.”
Taylor was in London as part of an ‘All Farmers’ umbrella group.
If the outcome of the judicial review goes against Tom Martin, then FFA’s attention will turn to Northern Ireland
Taylor believes that a judicial review can be taken in Belfast, questioning the legality of the changes to inheritance tax from a EU perspective.
He explained: “We have received a strong legal recommendation to the effect that such an approach has a strong legal basis.
“But nothing will happen in Belfast until such times as the result of the judicial review taken in London is forthcoming.”
