'Hard-pressed' tenant farmers must not lose out on the £150 rebate being given to council tax payers this year, the Tenant Farmers Association (TFA) warns.
Local authorities must 'use their discretion' to ensure that farmers living in properties rated between bands A and D for council tax do not lose the rebate.
Throughout the country, families and others living in these bands receive £150 as part of the government’s measures to mitigate against the rising cost of living.
However, the TFA says that many tenant farmers will find themselves occupying properties rated above band D and who will be required to live in those farmhouses by the terms of their tenancy agreements.
Although more highly rated, the TFA adds that these farmhouses often fall outside the usual provisions relating to energy efficiency which makes them expensive houses to run.
The group has therefore called upon local authorities to provide rebates to tenant farmers who would otherwise lose out on this year’s.
TFA chief executive, George Dunn said: “We know that the Department for Levelling Up has provided local councils with £144m of discretionary money to help people in higher council tax bands according to need.
"We know too that some local authorities have helped occupants of social housing which fall into higher bands in city centres.
"However, it is important that the additional support also applies equally in rural areas to help those tenant farmers who may be struggling to run their houses due to their size, energy efficiency issues and the continuing squeeze on household incomes.”
The TFA says that precedent already exists within wider tax law to be fair to tenant farmers having to occupy properties in accordance with the terms of their farm tenancy agreements.
For example, Principal Place of Residence relief for Capital Gains Tax allows tenant farmers in certain circumstances to nominate another house for relief which they may own and to which they intend to move at the end of their tenancy.
