Finance Bill second reading: CLA leadership in the fight for family farms and businesses

The Finance Bill gets its second reading today (Tuesday 16 December). I want to update you on where we stand, highlight the unwavering leadership the CLA is providing in this fight, and explain why, despite the challenges ahead, there are genuine reasons for hope.

At the outset, however, let me remind you that no member should assume the government will climb down. CLA members need to be as prepared as possible. You can start by visiting our succession hub here and contacting your regional office for advice.

Some in the farming community have described the second reading as the 'big vote'. Whilst it is an important parliamentary moment, today’s vote is the calm before the storm. The second reading provides MPs with an opportunity to discuss the principle of the bill, but the vote itself is straightforward: whether to allow the bill to progress to committee stage, where it will be examined line by line and amendments proposed, or not.

We do not expect, nor do we seek, any rebellion from Labour MPs at this stage. We know they would lose the whip as punishment, thereby losing their influence when it truly matters later in the process. This is why the committee stage and subsequent votes will be far more critical battlegrounds.

I want to be clear with you: believe it or not, our campaign is working. From the outset, we set ourselves four strategic objectives: maintain media momentum, work collaboratively with others across the industry, undermine confidence in the government's assessment of their reforms, and convince Labour MPs that this change would be devastating for their constituents.

The progress we have made is remarkable. When I first set out this strategy, I thought I could name 10 Labour MPs who might be willing to rebel. By spring, that number had risen to 25. By the time of the ‘ways and means’ vote a fortnight ago, we had identified around 30. Now, as I write this, I believe that number stands at 40.

This is not just about counting potential rebels. It represents a fundamental shift in the parliamentary landscape. We needed a large enough number of Labour MPs willing to stand up for what is right to force the whips into conceding that change is necessary. We are building that coalition.

In many respects, we have already won the economic case. Even die-hard Labour MPs now recognise that the Agricultural Property Relief (APR) and Business Property Relief (BPR) reforms are a disaster for the economy, for family businesses, and for individuals. The government's own figures simply do not withstand scrutiny, and we have systematically dismantled their flawed analysis.

But it is the human toll that is truly making Labour MPs, and indeed the government itself, sit up straight. The Prime Minister discovered this firsthand at yesterday's Liaison Committee, where he was confronted with the devastating impact these reforms are having on real people and their families.

We all know there are many farmers and family business owners who are feeling desperate about their situation. The CLA is working to signpost members to those who can offer support during this deeply worrying time. If you or someone you know needs assistance, please contact us or reach out to an organisation that can help.

These reforms are especially harsh on the aged and the very poorly. These are people who did the right thing. They built their businesses up through decades of hard work and sacrifice. They were promised they could hand their life's work on to the next generation when they died. To now be told that they cannot do so without facing a crippling tax bill not only causes profound distress, it also works against the principles of fair play that underpin our society. Frankly, it isn't British.

This argument is currently the most potent among Labour MPs, and we are pressing it home at every opportunity.

I believe the government cannot ignore the momentum that is with us. I have always said that I believed we would win this fight in some form, though perhaps only achieving a partial victory in the near term. We are working as hard as ever to achieve the best possible outcome for our members.

When Parliament returns after Christmas, we will be working intensively with those Labour MPs who we believe are coming to our cause. We will be proposing amendments to the bill that will considerably ease the burden on our members and the wider business community. This is where the real battle will be fought and won. We will again need your help, and we will be in touch after Christmas.

During this profoundly difficult period, please know that your CLA is providing the leadership and support you need. We understand the anxiety many of you are experiencing. We see the human cost of these ill-conceived reforms. And we are doing everything in our power to fight for you and your families.

The second reading is just one step in a longer parliamentary process, and we have built real momentum that the government will find increasingly difficult to resist. Stay with us, support each other, and trust that we will continue to make your voices heard at the highest levels of government.