OPNION: Budget can help safeguard Derbyshire family farms

The Budget presents a crucial opportunity for the government to support Lincolnshire farmers while strengthening food security and restoring business confidence.

There is a real opportunity next Wednesday for government to clearly demonstrate what it says when it claims that ‘food security is national security’.

The county and rest of the country must be able to feed itself and we need to see a Budget that relentlessly focuses on reducing the costs of producing food and building farm business confidence.

Global conflict, ongoing geo-political tensions and the growing threat of climate change are bringing into sharp focus just how vital national food security is and the dangers of over reliance on imports.

Farmers here and across the country are facing major turmoil following one of the worst droughts on record, resulting in additional costs and poor harvests while the on-going Iran conflict is continuing to cause sky-high fuel and fertiliser prices.

The lack of a sizeable budget by government for agri-environment scheme (the Sustainable Farming Incentive) which opened and closed in just six hours a few weeks ago has only added to concerns on the ground – compounding an already difficult position.

The NFU has lobbied hard at all levels of government and with key stakeholders for the support needed to restore the confidence desperately needed to enable farmers and growers to invest in homegrown food production.

The NFU is therefore calling on the Chancellor to deliver a Budget that reduces the cost of producing food, restores business confidence and strengthens Britain's food security.

Ultimately this will help to drive business resilience and growth.

There is an immediate cashflow crisis in farming and the NFU continues to call for government-backed interest free Keep Britian Growing Loans to enable farmers to be able to continue to produce food for the nation.

An increase in the Annual Investment Allowance to at least £5m, with scope to include structures and buildings, will be vital in supporting long-term investment in productivity, energy efficiency and water management.

Inheritance tax also continues to stifle industry growth.

The NFU has always strongly opposed this poorly thought-out policy and is pushing for the full removal of changes to Agricultural Property Relief and Business Property Relief. This will give farm businesses greater confidence to invest, grow and plan for succession.

NFU President Tom Bradshaw raised this point directly with the Prime Minister when we met him on farm in August.

We also need to see enhanced capital allowances for incorporated and unincorporated businesses, encouraging investment in low-carbon technology and infrastructure.

These measures would help farm businesses move out of survival mode, unlock investment and build greater resilience in domestic food production.

Ahead of the Budget, the NFU is also urging the government to ensure the new carbon border tax does not unfairly disadvantage British farmers and growers.

Put simply, the Carbon Border Adjustment Mechanism (CBAM), will come in on January 1 and apply carbon-related charges to certain imported goods, including fertilisers.

This is designed to tackle ‘carbon leakage’ by ensuring imported products face carbon costs comparable to those paid by UK manufacturers.

The NFU is pushing for safeguards to ensure British farmers and growers do not pay even higher fertiliser bills, while farm businesses importing into this country avoid these extra charges.

I could not agree more when the government says that food security is national security.

These words though must now be backed up by government policy which enables us to continue to deliver for the country.

Wednesday’s Budget provides the perfect opportunity to do just that and we will see if Government takes that opportunity.

By backing farming businesses now, ministers can help secure domestic food supply and support family businesses and associated trades for generations to come.

That will help ensure our farmers and growers can continue feeding the nation to the highest of standards while caring for the countryside.

Jane Bassett, Derbyshire farmer and NFU regional chair