Asda becomes latest retailer to show solidarity with farmers over IHT

Asda has joined Morrisons in criticising the government's inheritance tax plans
Asda has joined Morrisons in criticising the government's inheritance tax plans

Asda has become the latest retailer to show solidarity with farmers as the industry continues to protest against the government's inheritance tax (IHT) changes.

The UK's third largest supermarket has joined Morrisons in publicly speaking out about Labour's plans to cap IHT reliefs for farmers.

It comes after hundreds of tractors visited supermarket car parks across the UK on Friday (17 January) as part of a plea urging for more support from retailers.

Farmers purposely avoided Morrisons after the firm showed solidarity with the industry in a viral 'we're with you' video message.

Following this, a spokesperson for Asda confirmed that the farming industry was a 'vital part of our supply chain'.

"We need a confident farming sector, which is able and willing to invest in its future," the spokesperson added.

“We have been raising our concerns with the government and will be supporting the campaign calling for a pause in the implementation of APR [agricultural property relief ] to allow for proper consultation.”

Industry bodies have urged the government to ditch its plans forcing farms worth more than £1m liable to pay a 20% inheritance tax from April 2026.

Many have warned that the move, announced in the autumn budget, could lead to the destruction of the UK's family farm network,

Simon Orson, the chairman of Midlands Farmers, who helped organise Friday's supermarket rally, welcomed Asda’s response.

“I am very pleased they have come out and done the right thing supporting British farmers,” he said.

“This is fantastic news and gives us more leverage when negotiating with the government. Job’s a good un’ – I’m over the moon.”

The Country Land and Business Association (CLA), which represents thousands of farmers and landowners, said it was 'heartening' to see the support.

"The backing of Morrisons and Asda is welcome," said the body's president, Victoria Vyvyan.

On what the government should now do, she added: “The government has dug itself into a deep hole by targeting family farms and businesses, and must now pause, listen and consult.

“If the Treasury refuses to reconsider, it risks not only damaging food production but could trigger mass job losses and hit its own tax revenues.”

On Saturday 25 January, towns and cities across the UK will be hosting protests as part of the industry's next steps in raising attention to the issue.

All four UK farming unions – NFU Scotland, NFU, NFU Cymru and Ulster Farmers’ Union - are organising the action and will participate directly in it.