Powys councillors have voted to support a motion that criticises the UK Labour Government’s decision that farmers should pay inheritance tax.

Under the government’s plans, from April 2026, inherited agricultural assets worth more than £1 million which were previously exempt, will be subject to inheritance tax at 20 per cent.

The motion was presented by Conservative Cllr Iain McIntosh who wanted the council to formally: “Oppose the Labour Government’s changes to inheritance tax affecting family farms in Powys and advocate for the exemption of Powys family farms.”

Councillors had been given legal advice by the council’s head of legal services and monitoring officer, Clive Pinney that those with direct interest in agriculture could speak on the motion but should not vote on it.

Powys Independent Cllr Ed Jones said: “I am one of the farmers in this room that’s directly affected by this inheritance tax.

“I was in London against it, I will be voting on this and I will take the consequences as I think I’m representing my area as well as myself.

“It affects everyone in Powys.”

Powys Independents Cllr Gareth D Jones said: “I am a farmer.

“I have three sons, 13-year-old twins and a 10-year-old.

“I have done everything in my power to persuade them not to be farmers because it is a horrible job to be in when you’re making no money.

“Where are you going to get people to farm the land and produce food, without our sons and daughters coming into the industry?”

Cllr Jones continued: “For some reason my sons like getting up early and working with sheep and hens, unlike their friends who are off playing golf and football.

“For me to pass (the farm) on to my sons would mean a significant inheritance tax, that would then make the farm unviable.”

Cabinet member for a safer Powys, Liberal Democrat Cllr Richard Church said: “There are many threats facing farmers in Wales of which this tax is just one.

“They are facing the consequences of Brexit, the consequences of the uncertain funding they will get through the sustainable farming subsidy and many other things.

“I would make the point that farmers are facing the wholesale acquisition of thousands of acres of land by people who are using it as a tax dodge.

“They are not interested in farming, and they are the ones really harming Powys communities and farmers.

“I just wish the motion had made reference to that as well as this particular tax.”

Some councillors defended the government’s proposal.

Labour’s Cllr Liz Rijnenberg said: “I can’t see any hard evidence that the government plans to introduce a lower rate of inheritance tax for farms is going affect food security.

“There is a significant amount of wealth that can be accumulated and retained before 20 per cent inheritance tax applies, and it can be paid over a 10-year period.

“Those benefits don’t apply to other family businesses in Powys.”

Deputy council leader and Labour group leader Cllr Matthew Dorrance said: “I fully expect this motion to pass and respect the strength of feeling in the chamber.

“I do see the concern and unfortunately that concern is being exploited by others with a vested interest for their own gain.

“I don’t think the majority of farmers will be impacted by this.

“Where that tax does apply, farmers will still pay 50 per cent less than anyone else.”

He said it was about getting the wealthiest farmers to “pay their fair share”.

The normal rate of inheritance tax set is 40 per cent on a person’s estate with the threshold being £325,000.

The motion was passed as 41 councillors voted in favour of it, seven voted against and five councillors abstained.

Cllr Iain McIntosh said he was “delighted” that the motion, seconded by Cllr Benjamin Breeze, was passed.

He said the vote demonstrated strong cross-party support for protecting family farms in Powys.

“This decision sends a powerful message to Westminster: our family farms are vital to food security, the rural economy, and environmental stewardship, and they must not be jeopardised by policies that threaten their future,” he said.

“The motion means Powys County Council will now formally oppose Labour’s proposed changes to inheritance tax and advocate for the exemption of family farms in Powys. I will continue to push this agenda at every opportunity, ensuring our farmers’ voices are heard at every level of government.

“This is just the beginning of the fight to protect our family farms from damaging policies like this so-called ‘family farm tax’. I will work tirelessly to ensure Powys farmers receive the support they need to preserve our rural heritage and secure a prosperous future.

“Thank you to all councillors who supported this motion. Together, we’ve taken a stand for the backbone of our rural communities and sent a clear message that Powys will always champion its farmers.”

Cllr Benjamin Breeze added: “Before and during my election I promised that I would do all I could to support our farmers and I meant it, today Cllr Iain McIntosh and myself presented the following motion for debate in the chamber, and I'm pleased to share we got it over the line and it was passed.

“Farmers, the majority of Powys councillors stand shoulder to shoulder with you. Keep up the fight. No Farmers - No Food.”