In the latest episode of FernCast, Daniel Rad spoke with Martin Lines, Chief Executive of the Nature Friendly Farming Network, about the challenges farmers are facing under the current Labour government, particularly regarding DEFRA’s (Department for Environment, Food and Rural Affairs) policies. Lines painted a picture of uncertainty and frustration, highlighting the impact of inconsistent messaging and policy changes on the farming industry.
LISTEN HERE
DEFRA’s Policy Uncertainty
Lines criticised DEFRA for sending mixed signals, citing the recent halt on capital grants for tree planting and hedgerow management under the Environmental Land Management (ELM) scheme. “On one hand, the government is asking farmers to deliver more for nature, climate, and food security,” he said, “but on the other hand, they’re pausing key funding elements that would allow us to achieve those goals.”
This inconsistency has left many farmers questioning the government’s long-term vision for agriculture. “As farmers, we plan businesses five, ten, even twenty years ahead,” Lines explained. “But the uncertainty around funding and policy is making it nearly impossible to plan effectively.”
Financial Pressures and Environmental Goals
With rising costs, declining profitability, and increasing climate pressures, farmers are struggling to maintain viable operations. Lines noted that despite the government’s commitment to a £5 billion budget for farming over the next two years, inflation and the scope of necessary outcomes make this funding insufficient. He argued that achieving climate and nature restoration targets would require doubling the current budget.
Lines also highlighted the need for a holistic approach to food security, nature restoration, and climate action. He emphasised the potential for farmers to contribute significantly to carbon sequestration and biodiversity but stressed that these efforts require reliable long-term investment. “We can lock in the UK’s carbon emissions now through tree planting, hedgerows, and soil management,” he said, “but we need consistent support.”
Impact of Inheritance Tax Changes
Recent changes to inheritance tax have added another layer of complexity for farmers. Lines noted that many farming families now face significant costs to reorganise their tax affairs, with some spending thousands of pounds to update wills and estate plans. The short timeframe for implementing these changes has further exacerbated the strain on farming businesses.
“There’s a risk that these changes could disincentivise investment in farms,” Lines warned. “Farmers might stop building new infrastructure or investing in machinery to avoid increasing the taxable value of their assets.”
Urban-Rural Divide
Lines also addressed what he sees as a broader misunderstanding of farming among policymakers, particularly those based in urban areas. While he refrained from singling out Labour, he argued that a lack of awareness about land management and farming practices is pervasive across political parties. “There’s a fundamental problem in how land management is understood,” he said, calling for greater representation and lobbying for nature-based solutions.
The Way Forward
Despite the challenges, Lines expressed cautious optimism about the government’s potential to adopt a more integrated approach to food, farming, and environmental policy. “I hope this government moves toward a holistic, multifunctional strategy,” he said. “We need to hear this vision now to build confidence and help farmers stay in business.”
The conversation underscored the urgent need for clarity and consistency in agricultural policy, as farmers navigate the dual challenges of climate change and economic uncertainty. Lines concluded with a call for collaboration and long-term planning, emphasising the critical role farmers play in managing natural assets for the benefit of society as a whole.
