More than 200,000 jobs at risk after labour and hmrc tax rule change

A STUDY FROM CBI ECONOMICS, COMMISSIONED BY THE LOBBY GROUP FAMILY BUSINESS UK, FOUND 208,500 FULL-TIME JOBS COULD BE LOST BY APRIL 2030 AS A RESULT. 11:22, 02 Jun 2025Updated 11:23, 02 Jun

2025 More than 200,000 jobs could be at risk over the next five years thanks to the government’s inheritance tax raid, new research suggests. A study from CBI Economics, commissioned by the

lobby group Family Business UK, found 208,500 full-time jobs could be lost by April 2030 as a result. The policy change is expected to raise around £1.8bn in tax revenue over the next five

years, but at a net fiscal cost of £1.9bn. Responding to the research, shadow business secretary Andrew Griffith said Labour’s proposals were built on “hooky treasury maths and a blatant

breach of election promises. “The impact of the Chancellors death tax on farms is already understood – but the impact on family-owned businesses is many times that with a staggering 200,000

jobs at risk. READ MORE SMART MOTORWAYS COULD BE SCRAPPED FROM ENGLAND ENTIRELY “This survey shows just how little this government understand or care about business,” he added. A Treasury

spokesperson said: “Our reforms to Agricultural and Business Property Reliefs will mean three quarters of estates will continue to pay no inheritance tax at all, while the remaining quarter

will pay half the inheritance tax that most estates pay, and payments can be spread over 10 years, interest-free. Article continues below “This is a fair and balanced approach which helps

fix the public services we all rely on. "Capping the rate of corporation tax, reforming planning, establishing a National Wealth Fund and creating pension megafunds is part of our Plan

for Change to get Britain building, unlock investment and support business so we can raise living standards and make all parts of the country better off.” Research from CBI Economics also

found the tax changes would result in a GVA loss of £14.8billion to the economy. Article continues below Changes to BPR and APR in the Autumn Budget limited 100 per cent relief from

inheritance tax to the first £1million of claims, with a 50 per cent tax rate applied above this threshold.