Keir Starmer has acknowledged reports that some terminally ill farmers are considering hastening their deaths before new inheritance tax rules take effect in April.
The Prime Minister was questioned on the issue during a Commons liaison committee session on Monday, where MPs raised concerns about the impact of changes to agricultural property relief.
Labour MP Cat Smith asked whether Sir Keir was aware that farmers with terminal diagnoses were “actively planning to expedite their own deaths” ahead of the reforms.
The Prime Minister said he was aware of a range of concerns being raised by individuals affected by the policy.
He said: “I’ve had discussions with a number of individuals who have drawn all manner of things to my attention”.
When pressed on whether he agreed that no person should feel they would be “better off dying” before April, he rejected that suggestion while defending the principle of reform.
Mr Starmer said: “No, of course. But governments have to bring about sensible reform”.
He also referred to so-called anti-forestalling measures, which are designed to prevent people from rearranging their affairs to avoid new tax rules.
He said such measures “are not unique to this situation”.
Despite acknowledging the distress caused by reports raised by MPs, the Prime Minister indicated the Government would proceed with the planned changes.
Sir Keir Starmer acknowledged reports terminally ill farmers may hasten deaths before April inheritance tax changes
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The reforms relate to agricultural property relief, which currently allows qualifying farms to be passed on without inheritance tax.
The changes were announced by Chancellor Rachel Reeves in last year’s Budget.
Under the new system, farming estates valued above £1 million will be subject to a 20 per cent inheritance tax charge.
Previously, agricultural property relief meant most family farms were fully exempt from inheritance tax, regardless of value.
The revised rules are due to come into force from April.
Farming families therefore have a limited period to assess how the changes may affect their estates.
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The policy has prompted concern across the agricultural sector, with industry representatives warning of potential consequences for family-run farms.
Critics argue that rising land values mean even relatively small working farms can exceed the £1 million threshold.
They have warned this could result in more families facing inheritance tax bills when land and buildings are transferred between generations.
The Treasury has said the reforms are intended to improve fairness in the tax system.
Ministers have argued the existing relief has been used by some wealthy landowners to avoid inheritance tax on large estates.
The Government has insisted most smaller farms will continue to be protected.
Sir Keir defended the reforms as proportionate and necessary.
He told the committee: “I do think on agricultural property relief, there had to be sensible reform and I think this is sensible reform”.
The Prime Minister acknowledged the level of concern within the farming community.
He confirmed he met the president of the National Farmers’ Union during the previous week to discuss the issue.
Sir Keir said the Government had introduced measures aimed at reducing the impact of the changes on families.
He pointed to provisions allowing tax-free transfers of assets between spouses and civil partners.
Under those rules, allowances can be combined, potentially protecting estates valued up to £2 million from inheritance tax.
The Government has said this will provide greater security for surviving partners following a death.
Farming organisations have continued to question whether those safeguards go far enough.
They argue that inheritance tax liabilities could still force some families to sell land or assets to meet tax bills.
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Opposition MPs and some Labour backbenchers have urged ministers to review the policy’s impact before April.
The Government has not indicated any plans to delay or reverse the changes.
Sir Keir’s comments underline the Government’s intention to proceed while continuing engagement with farming representatives.
The inheritance tax reforms remain one of the most contested elements of last year’s Budget among rural communities.
Anyone who is in emotional distress, struggling to cope or at risk of suicide can call the Samaritans anonymously for free from a UK phone on 116 123 or go to samaritans.org.