To ask the Chancellor of the Exchequer, pursuant to the Answer of 18 November 2024 to Question 13623 on Agriculture: Inheritance Tax, whether she has made a comparative assessment of the potential impact of (a) agricultural property relief and (b) business property relief on tenant farmers in Scotland compared to the rest of the UK.
Answered on
17 December 2024
The Government published information about the reforms to agricultural property relief and business property relief at www.gov.uk/government/publications/agricultural-property-relief-and-business-property-relief-reforms.
It is expected that up to around 2,000 estates will be affected by the changes to APR and BPR in 2026-27, with around half of those being claims that involve AIM shares. Almost three-quarters of estates claiming agricultural property relief (or those claiming agricultural property relief and business property relief together) are expected to be unaffected by these reforms.
In accordance with standard practice, a tax information and impact note will be published alongside the draft legislation before the relevant Finance Bill.