As has been widely publicised, from 6 April 2026, there are due to be changes made to Agricultural Property Relief (APR) and Business Property Relief (BPR). Most recently, on 23rd December, the government increased the threshold so that the reliefs available per person will now be capped at £2.5 million. We have also had confirmation that reliefs are transferable between spouses so as a couple the threshold could be £5 million.
Prior to 23rd December, many clients were concerned that their property value would exceed the previous cap of £1 million per person. With the new increase, many may be breathing a sigh of relief — however, it is still essential to assess the value of qualifying agricultural property, including machinery, live and deadstock.
The new regime will require market values, rather than balance sheet or book values, to be considered in a professional valuation. On many working farms, with modern machinery and increasing livestock values, particularly in the beef and sheep sector, asset values can quickly add up, and some family farm businesses may still face inheritance tax liabilities.
Expert Advice from Luscombe Maye
“The updated position with APR and BPR could still have significant implications on many farms, and we are suggesting to clients to consider making steps to plan accordingly. We have already been carrying out a large number of valuations which can be used to aid succession and tax planning discussions between family members and their advisors.”
How Luscombe Maye Can Help You
Established for over 150 years, Luscombe Maye provides expert valuation services for farms. This includes the assessment of property, machinery, and livestock, allowing clients time to consider steps to mitigate potential inheritance tax liabilities ahead of the changes taking effect on 6 April 2026.
Get in Touch for a Valuation
If you would like a valuation for tax planning purposes, or for transferring assets, please contact Luscombe Maye:
📧 stuart.hext@luscombemaye.com
📞 01548 800176
