Small Farmers are Being Exploited by the Rich

Farming has workers too!

Trade unionists know a lot about farming. The false divide between “city folk” and “rural communities” has been promoted ceaselessly in the media as if one of the great divides amongst the British people. It is nonsense.

The great divide is social class. The farming community is not not one homogenous mass. Far from it. The difference in lifestyle and life-chances of the agricultural worker (the majority who work on the land) and the landowners (a tiny minority) could not be more different and polarised.

Unite the Union organises inside the farming community, with tens of thousands of members who work the land. They are some of the most poorly paid and badly treated of our entire working class, subject to the most hazardous working conditions and the very highest level of industrial accidents and workplace deaths.

So when 20,000 so-called “farmers” march on parliament against paying inheritance tax, the protest raises more questions than demands.

Small farmers are living on a knife-edge. The endless rains of last winter and spring collapsed much of the early crops, reducing income to a bare minimum or even increasing crippling debt, leading many to leave and some to commit suicide.

None of this has anything to do with inheritance tax. Small farmers are pressured by falling livestock prices, or are tenant farmers who own no land and are affected by increasing land prices. Since Brexit, farmers have faced reduced subsidies, increased tariffs and falling prices for products and livestock. The savagery of the huge supermarket chains squeezing wholesale prices to maximise their record profits to the impoverishment of the small farms is immoral and detestable.

But last week the millionaire land owners and big business drew upon the plight of poorer farmers to organise against the plans for the big agro-businesses to pay the same inheritance tax as the rest of the wealthy do.

One third of land in the UK is owned by the aristocracy, with separate tax rules and regimes that charge high rents for farming and homesteads, and little or no support in return. Church and State own less than 2% between them.

Second-up are the large corporations investing in land for its tax-saving opportunities. Then come the individual multi-millionaires and billionaires. 12% of land is in the hands of 50 owners.

James Dyson is a big landowner, as is billionaire John Whittaker, chairman of the Peel Group property corporation, owning ports, huge swathes of commercial and industrial land and companies such as the Holiday Inns.

Half of the top ten are oversees holders of UK land including the ruler of Dubai, Denmark’s richest man and Italian billionaire aristocrat Count Luca Padulli, freehold owner of hundreds of thousand so properties here including apartment buildings beset with cladding risks.

The root cause of the pain of small farmers is an agricultural system dominated by big business interests, the market and profit. Small farmers are being squeezed out by a process of gentrification on an industrial scale, orchestrated not only by local avaricious landlords but by global financial giants.

Yet poorer farmers are being pushed to the front of the protests by farming organisations run in the interests of the big estates, precisely because city people can relate to the real hardship of squeezed locals in a way that we wouldn’t care about the super-rich. In fact, we would like the corporations and multi-millionaires to pay more tax.

The protest against Labour’s inheritance tax rise doesn’t hit most farmers. It’s a tax on the very rich and millionaire land owners and big businesses. They would have to pay 20 percent inheritance tax on any estate worth more than £1 million—and even then, only what exceeds one million.

Inheritance tax is not levied on the value of property up to £325,000, bringing the untaxed total to £1.325 million. And, if a farmer is married and owns the farm jointly, their spouse can pass on an additional £1.325 million tax free. Furthermore, there is a £175,000 tax-free allowance on a main residence when it’s being passed to children or grandchildren.

This amounts to just half the main rate of inheritance tax everyone else is charged. As a result, some 500 farmers – the owners not the agricultural workers and tenants – will e tax demands each year.

The demonstration was headlines and praised across our media in a way that most protests at Parliament are ridiculed or unreported. Why? Perhaps because 80% of our news media is owned by just 5 billionaire families. Bur journalists should be expected to offer a more factual account.

One fifth of the working class are self-employed, hard-pressed, working all hours subject to the dictats of their corporate suppliers and free-market forces to scrape a living. The small farmers are in the same situation. The class divide in agriculture is all-but feudal in its despotism.

It was the big landowners and agro-businesses who financed this, the first major protest against the new Labour Government, cheered-on by the anti-working class far-right organisations of Reform UK and GB News.

But it is the trade union movement who should be organising opposition to Labour over the two-child benefit cap, winter fuel cuts and worsening austerity, to tax the super-rich to pay for the help and services desperately needed by ordinary workers, including those in agriculture. The problem in all employment sectors is the system of capitalism.

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