1st Report - The Government’s vision for farming
Select Committee
Environment, Food and Rural Affairs Committee
HC 906
16 May 2025
Recommendations
11 results
4
Deferred
Urgently set out vision for farming sector and food security in 25-year Farming Roadmap.
Recommendation
The Government should urgently set out its vision for the farming sector, achieving food security and the future of the Farming and Countryside Programme in its proposed 25-year Farming Roadmap, and in advance of making significant major changes to farming …
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Government Response Summary
The government's response discusses inheritance tax reforms and agricultural property relief, which is unrelated to the recommendation for a vision for the farming sector or the 25-year Farming Roadmap, thus deflecting from the original request.
6
Acknowledged
Require Government to consult stakeholders and clearly communicate ELMS future direction
Recommendation
A transparent policy on the direction of the Environmental Land Management Schemes (ELMS) and other subsidy arrangements is crucial. If the Government is serious about improving ELMS outcomes it must consult with stakeholders and communicate its plan clearly. Confidence in …
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Government Response Summary
The government acknowledged the need for a transparent ELMS policy and clearer communication, stating they will continue to provide details on schemes and evaluate communications using an established framework.
8
Deferred
Require Government to outline next SFI iteration and farm profitability plan by October 2025
Recommendation
The Government should set out what the next iteration of SFI will look like and the date it will be open for applications in the response to this report. It must also state how it intends to increase farm profitability, …
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Government Response Summary
The government defers providing full details on the next SFI iteration and its application date, committing to more information later this summer. It also defers stating how it will increase farm profitability by announcing a new review of farming profitability, to be led by Baroness Minette Batters.
11
Rejected
Ample time available for Government to consult on tax reform alternatives
Recommendation
Several alternatives to achieve the same goals, or mitigations to protect vulnerable farmers, have been proposed. We are not in a position to assess the merits of each and propose an alternative, but there is sufficient time between now and …
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Government Response Summary
The government rejected the recommendation for further consultation on alternative proposals, stating that the reforms to agricultural and business property relief will proceed from April 2026 as planned, and that sufficient engagement with stakeholders has already taken place.
12
Rejected
Stakeholder concerns hinder agricultural vision; pause in tax reforms advisable
Recommendation
Stakeholder concerns around the Budget’s taxation proposals have made it difficult for the Government to articulate and deliver its wider vision for agriculture. It has also strained the relationships with those who will be responsible for helping to deliver that …
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Government Response Summary
The government rejected the recommendation to pause taxation reforms, affirming that the changes to agricultural and business property relief will take effect from April 2026 as planned, stating the approach and timescale are appropriate after listening to stakeholders.
13
Rejected
Delay final APR and BPR reforms until October 2026 for consultation and assessment
Recommendation
The Government should delay announcing its final APR and BPR reforms until October 2026, to come into effect in April 2027, to provide more time for farming businesses to conduct succession planning and seek appropriate professional advice. The Government should …
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Government Response Summary
The government rejects delaying APR and BPR reforms, confirming they will take effect from April 2026 as announced in Autumn Budget 2024, citing the need to repair public finances and stating that its consultation and approach are appropriate.
14
Acknowledged
Defra's poor communication and last-minute decisions erode trust in farming sector
Recommendation
The experience of the Sustainable Farming Incentive 2024 (SFI24) closure follows a pattern within Defra of poor communication and last-minute decision-making following rumours and Departmental leaks. As with the sudden closure of the Capital Grants scheme in November 2024, the …
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Government Response Summary
The government acknowledged the committee's concerns regarding the closure of the Capital Grants scheme without notice, stating that all communications are evaluated using the Government Communications Service Evaluation Cycle. However, they only committed to aim to give reasonable notice for future scheme closures, with a caveat that it 'may not be possible'.
15
Acknowledged
Improve Defra's proactive and transparent communication with Parliament and arm's-length bodies.
Recommendation
We are thankful to the Secretary of State, Ministers and Officials for engaging with our Committee, but we urge Defra to improve its communication with Parliament and be proactive and transparent in its communications. Similarly, communications between Defra and its …
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Government Response Summary
The government agreed on the importance of parliamentary scrutiny and committed to ongoing work to improve parliamentary capability, outlining existing protocols for information sharing within Defra and with arm's-length bodies and committing to regularly review communication protocols.
16
Accepted
Review and evaluate Government communication with farming sector, providing analysis and solutions.
Recommendation
The Government should review how it communicates with the farming sector and properly evaluate the impact recent communications have had on trust in the Department. It should provide its analysis and proposed solutions in its response to this report. (Recommendation, …
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Government Response Summary
The government acknowledged concerns about communication and trust, stating that all communications with the farming sector are already evaluated using the Government Communications Service Evaluation Cycle. However, it did not provide specific analysis or proposed solutions within this report as requested.
17
Acknowledged
Establish protocols for Defra's professional information sharing and investigate policy leaks.
Recommendation
Defra should ensure that operational and policy decisions are clearly communicated to its arm’s-length bodies and the farming advice service in advance of them being made public. It should investigate the causes of the leaks of its proposed changes to …
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Government Response Summary
The government outlined its existing protocols for sharing sensitive information with arm's-length bodies and the Farming Advice Service in advance of public announcements, stating they regularly review these communication protocols. However, it did not commit to investigating the causes of leaks or providing details of revised protocols.
18
Accepted
Improve Defra's communication with Parliament, ensuring policy statements are subject to proper scrutiny.
Recommendation
Defra must improve its communications with Parliament and ensure that statements regarding policy are made in the House and subject to voluntary and proper scrutiny. Defra should affirm its commitment to doing so in its response to this report. (Recommendation, …
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Government Response Summary
The government accepted the recommendation, affirming its commitment to parliamentary scrutiny and stating that work is underway across the Department to improve parliamentary capability, especially concerning written Parliamentary Questions.
Conclusions (7) Observations and findings — click to expand
1
Conclusion
Accepted
Ministers have taken on responsibility for farming policy in difficult economic and geopolitical circumstances, and we welcome their strong commitments to back British produce, protect farmers in trade deals and improve fairness in the food supply chain. We welcome the increased scrutiny of farming policy in Parliament, and we are …
Government Response Summary
The government acknowledges the need for a clear vision and confirms Defra is actively developing the 25-year Farming Roadmap, which will set the direction for the farming sector and aims to publish it later this year.
2
Conclusion
Acknowledged
The Government has made several significant farming policy announcements or sector interventions since the election. This is an impressive list of initiatives that the Defra Secretary has recognised should be part of an ‘interlocking jigsaw’. We are concerned, however, that certain high-profile policies have been announced prior to the completion …
Government Response Summary
The government commits to considering the Committee’s analysis and recommendations when developing plans for the reformed SFI offer, with more information expected later this summer. The response also details past and present management of the SFI scheme, including its closure and reopening for some applicants.
3
Conclusion
Accepted
Farms are professional businesses and remain adaptable to change, but they must plan for changes well in advance with confidence about the future environment they will be operating in. We have concerns that the Department has not yet demonstrated that it is sufficiently alive to the urgency of setting out …
Government Response Summary
The government committed to providing more information on the reformed SFI offer later this summer, outlining its core vision and budget controls. It also appointed Baroness Minette Batters to lead a review of farming profitability, supported by a new team.
5
Conclusion
Accepted
Farmers and the rural community are fundamental to delivering the Government’s plan for change. They provide high quality, nutritious food, deliver environmental goods and maintain landscapes for us all to enjoy. The Government has an exciting opportunity to shape the future of farming as we transition from legacy payments, and …
Government Response Summary
The government reopened the Capital Grants offer on 3 July 2025, making £150 million available for farmers to invest in equipment and services. It also committed to ensuring the 25-year Farming Roadmap reflects stakeholder views through continued engagement.
7
Conclusion
Acknowledged
An alternative funding mechanism should be put in place to fill the gap in funding for those who missed out on the SFI24, no later than September
Government Response Summary
The government's response did not address the specific recommendation for an alternative funding mechanism for SFI24. It broadly acknowledged the importance of parliamentary scrutiny and stated it will continue to take recommendations into account in future work.
9
Conclusion
Acknowledged
We support the Government’s objective of reforming Agricultural Property Relief (APR) and Business Property Relief (BPR) to close the loophole that encourages wealthy investors to buy agricultural land to avoid inheritance tax. We recognise longstanding concerns that these reliefs are being used by individuals to shelter wealth and are affecting …
Government Response Summary
The government acknowledged the committee's support for the reforms to Agricultural Property Relief and Business Property Relief, confirming that the changes will take effect from April 2026 as previously announced.
10
Conclusion
Acknowledged
We are concerned, however, that no consultation, impact assessment, or affordability assessment was conducted before the announcement of the reforms. The lack of proper evaluation of the impact of these changes means that the scale and nature of its impact on family farms, land values, tenant farmers, food security and …
Government Response Summary
The government acknowledged the committee's concerns regarding the lack of consultation and impact assessment prior to the reforms, but reiterated that the changes to agricultural and business property relief will take effect from April 2026, referencing previous engagement with stakeholders and its own analytical basis.