Lib Dems to force vote aimed at halting 'cruel' cuts to farm payments

Peers are set to force a vote in the House of Lords to block government cuts to farmers’ payments
Peers are set to force a vote in the House of Lords to block government cuts to farmers’ payments

Peers are preparing to table a 'fatal motion' in the Lords in a bid to overturn the government’s plans to accelerate deep cuts to farmers’ direct payments.

If passed, the motion would force Labour to reverse its proposed 76% reduction in farming subsidies - cuts significantly steeper than the 50% reduction implemented in 2024.

Liberal Democrat peers in the House of Lords, who will table the motion, argue the cuts could mark a death knell for family farms and small agricultural businesses.

The government has claimed the funding reductions are necessary to expand its Environmental Land Management (ELM) schemes, which reward farmers for nature-friendly practices.

However, one of those very schemes - the Sustainable Farming Incentive (SFI) - was scrapped last month with no notice, triggering widespread anger across the industry.

Baroness Olly Grender, Lib Dem environment spokesperson in the Lords, said successive governments "have done nothing but run farmers down".

"Under the Conservatives, farmers struggled with botched trade deals and rocketing energy bills," she added.

"Unfortunately, the Labour government has proved they don’t care for farmers either."

The vote is expected to shine a spotlight on the Labour government’s rural policy ahead of the upcoming local elections, with farming communities watching closely.

The motion has the potential to pass if Conservative peers choose to support it: according to the House of Lords Library, the Tories previously backed fatal motions when in opposition before 2010.

Baroness Grender said: "The Conservatives now have the opportunity to do the right thing and support farmers who have been hit by cruel cuts again and again."

The Labour government's legislation - Agriculture (Delinked Payments) (Reductions) 2025 - will apply a reduction of 76% to the first £30,000 of a direct payment and a 100% reduction to the portion of a payment which is above £30,000.

The vast majority (80%) of the 82,000 delinked payment recipients will have payment amounts, before reductions are applied, which are £30,000 or less.

This means farmers will have their direct payments reduced by 76%.

If passed, the Liberal Democrats' fatal motion will end the bill's parliamentary legislation process, forcing Labour to start again if they wish to re-introduce the legislation.