Rural voters starting to abandon Labour amid 'family farm tax'

The polling exposes the damage the budget has done to Labour in rural communities
The polling exposes the damage the budget has done to Labour in rural communities

Twice as many voters now say that Labour doesn’t 'understand or respect rural communities,' up from a third before the general election, a new poll shows.

The figures reveal that voters are starting to reject the party's stance on rural and farming issues following major backlash over the recent autumn budget.

Concern is particularly centred on the government's farm inheritance tax plans, which will impose a 20% inheritance tax on farm assets worth £1m or more from April 2026.

Now a Survation poll of England’s 100 most rural constituencies shows that two-thirds (66%) say Labour doesn’t 'understand or respect' countryside communities, up for 33%.

Commissioned by the Country Land and Business Association (CLA), it shows that over half (58%) oppose the tax hike, with less than a quarter in support.

It reveals that even Labour voters in rural areas are 44% against the so-called 'family farm tax;' while 37% say they are for.

The polling of more than 1,000 respondents also exposes the damage the budget has done to the party in rural communities.

Nearly a quarter (23%) of Labour voters from July are “unhappy” with their vote. As a result, Labour drops into third place across England’s most rural constituencies, behind the Conservatives (34%) and Reform (21%).

The polling also shows deepening fears over Labour’s rural agenda, with 60% saying it’s already broken its pledge to reverse countryside decline, and 70% doubting its ability to boost the rural economy.

Victoria Vyvyan, the CLA's president, warned that the recent autumn budget threatened business viability and the future of rural communities.

"The government promised growth, and to be the ‘party of the countryside’, but you can’t tax your way to prosperity," she said.

“Trust, once lost, is hard to win back. Can Labour regain it? Only with a sincere apology, real action, and a clear commitment to the rural economy. Anything less, and the damage could be irreversible.

“Rural communities aren’t here to be taxed and forgotten. We’re here to drive growth, to feed the nation, and to fuel the economy. All we want is a government that matches our ambition.”

It comes as recent economic modelling by the CLA revealed the significant impact of inheritance tax on rural businesses.

A 200-acre farm could face a £370,000 bill, wiping out more than 100% of annual profits, according to the modelling.

Even couples aren’t spared, with a 350-acre farm facing a £475,000 hit, erasing 99% of profits over a decade.

Gavin Lane, deputy president of the CLA, that while the government framed it as a tax on the wealthy, the reality was that family farms would be hit just as hard.

He said: “Either the government isn’t being honest with the public about the true impact of these reforms, or they don’t understand the nature of rural businesses.

"I'd like to believe it is the latter and that they are prepared to listen to our input rather than continually trying to dismiss it.

"Asking farms to use their income to pay a huge capital tax bill over ten years, if indeed it is possible, will threaten the future of investment and the viability of the business.”