Tesco, Aldi, and Lidl have voiced their support for British farmers in their disagreement with the government regarding tax changes outlined in the Budget.
Tesco, the largest supermarket chain in Britain, emphasized the importance of "the UK's future food security" and urged the government to delay the implementation of inheritance tax on farms valued at over £1 million. The collective influence of Tesco, Lidl, and Aldi, who dominate 45% of the British grocery market, intensifies the pressure on the government.
Other major retailers like Asda, Morrisons, and Sainsbury's have also expressed solidarity with farmers, calling for the government to address their concerns. Similarly, M&S issued a supportive statement on the matter.
Tesco's Chief Commercial Officer, Ashwin Prasad, declared, We'll be supporting the NFU's calls for a pause in the implementation of the policy, while a full consultation is carried out, acknowledging the challenges faced by farmers due to continual policy adjustments.
In response to the situation, the Office for Budget Responsibility warned that the tax reforms could lead to reduced investment by farmers, potentially impacting the sustainability of the agricultural industry.
Aldi echoed the sentiment, stressing the importance of a robust farming sector that can invest confidently in the future and continue producing high-quality British food.
Likewise, Lidl expressed concerns about the impact of the tax changes on farmer confidence and called for a comprehensive consultation to address the issue.
Marks and Spencer lent its support to the farming community, endorsing the NFU's plea to halt the policy until a thorough consultation is conducted. The company emphasized the need to protect the investment essential for ensuring food security, preserving the countryside, and safeguarding the nation's agricultural heritage.
Meanwhile, Chancellor Rachel Reeves' announcement that farms valued over £1 million would be subject to a 20% inheritance tax by April 2026 has sparked protests, with farmers and their supporters advocating against the changes. Opposition leader Sir Keir Starmer, however, reassured that the majority of farmers would not be adversely affected by the tax adjustments.