NFU Scotland has called on the UK government to deliver a “budget that backs farmers”, urging ministers to prioritise fair taxation, fresh investment and long-term sustainability for agriculture in next month’s autumn budget.
In a formal submission to Treasury, the union set out eight key policy asks which it says are vital to support food production, environmental delivery and economic resilience across farming and crofting communities.
NFU Scotland President Andrew Connon said that the sector continues to deliver “high-quality food while supporting jobs, helping to tackle climate change and enhancing biodiversity,” but warned that farm businesses were under “intense strain”.
“We need a budget that backs farmers,” he said. “This submission is about practical, fair and future-focused solutions.”
Among the measures put forward are a call for a fairer approach to inheritance tax reform to avoid the break-up of family farms, and an increase to the Annual Investment Allowance to drive on-farm innovation and resilience.
NFU Scotland is also urging the Treasury to introduce enhanced capital allowances for low-carbon infrastructure, such as farm buildings, to support the transition to net zero.
Other recommendations include reversing recent National Insurance changes that threaten rural employment and maintaining reduced duty on red diesel, which remains critical for farm operations.
The union also wants the government to reverse the reclassification of double cab pick-ups, arguing that they are an essential tool for rural businesses and farm transport.
In addition to these measures, the submission calls for a delay to the UK Carbon Border Adjustment Mechanism, which is due to affect agricultural imports and exports, and for improvements to the government’s Making Tax Digital system to better reflect the realities of farm accounting and seasonal incomes.
Connon said the proposals were designed to deliver more than “short-term fixes,” stressing that the right fiscal decisions could help secure lasting progress for the industry.
“The measures we’ve proposed would help secure long-term productivity, investment and opportunity for Scotland’s farmers and for the rural economy as a whole,” he said.
The autumn budget will be announced on Wednesday 26 November, setting out the chancellor’s plans for public spending and taxation.
NFU Scotland confirmed that its submission has been shared with both the Treasury and the Scotland Office, saying the UK government now has a chance to set a budget that delivers for farmers and crofters — not adds to their challenges.
