Christmas comes early for Farmers as APR & BPR limits to increase to £2.5m
23rd December 2025
Hot off the Press!
My inbox is becoming inundated with announcement emails from the CLA, NFU and Farmers Weekly claiming victory over the government, as they announce that the £1m APR & BPR limits will increase to £2.5m from April 2026.
Whilst many have already now undertaken planning to mitigate as much of their exposure as possible, this is still very welcome news and takes a lot of family-owned farms out of the IHT net. For those with larger estates over £2.5m, whilst not removing the tax entirely, this will still reduce an individual’s IHT liability by a sizeable £300,000. Perhaps the future of farming in the UK just got a little brighter.
Although farmers have been in the Press the most over this Inheritance Tax rule change, it effects all trading businesses.
For more information, please visit: https://www.gov.uk/government/news/inheritance-tax-reliefs-threshold-to-rise-to-25m-for-farmers-and-businesses
