Cameron Thomas responds to the Government's Budget

Liberal Democrat MP for Tewkesbury, Cameron Thomas, has said he is worried the Budget announced today will damage small and family businesses in the constituency because of changes to national insurance contributions and the family farm tax.

He added that the extra funding for the NHS announced in the Budget must deliver improved health services for local people, including through extra GP and NHS dentist appointments.

He said that he and other Liberal Democrat MPs will “hold the Government’s feet to the fire” on delivering on their promises on the NHS. Fixing social care will be crucial to take pressure off local health services and give older people the care they need.

Intended to help family farms, Agricultural Property Relief is a relief from Inheritance Tax on the transfer of agricultural property. From April 2026, the highest rate of relief will continue at 100% for the first £1 million of combined business and agricultural assets, but the rate of relief will reduce to 50% after the first £1 million, an effective rate of inheritance tax at 20%.

The rate of employer National Insurance will increase by 1.2%, to 15% from 6 April 2025. The Secondary Threshold – the level at which employers become liable to pay National Insurance on each employee’s salary – will reduce from £9,100 per year to £5,000 per year.

The smallest businesses will be helped through the Employment Allowance increasing to £10,500 from £5,000 and be extended to all eligible employers by removing the £100,000 cap.

Responding to the tax reforms, Cameron said:

“Apart from the very smallest enterprises, I am disappointed that small business owners will be expected to take on an increased burden in employers National Insurance increases. Having spoken with many business owners across the constituency prior to the election, they made it clear they were concerned that Labour would hike employers’ contributions and how that would affect their companies.

 “This is a tax on jobs and the Government should instead be raising the money we need by reversing tax cuts for the big banks and asking the social media giants to pay a bit more.

 “After years of the Conservatives taking rural communities for granted, it is deeply disappointing to see more of the same from this new Government. I am very worried about the impact of the changes in the Tewkesbury constituency, including the family farm tax which risks becoming a disaster for local farmers and small businesses.

 “My Liberal Democrat colleagues and I will be scrutinising these changes in Parliament and fighting tooth and nail to make sure that no family farm receives a hammer blow through these changes. 

 “At the last election, Liberal Democrats backed British farmers by demanding an extra £1bn to support them, and we’ll keep being a strong voice for our rural communities.”

 On the NHS and social care, Cameron added:

 “I have consistently campaigned for more investment in our local health services, so I’m glad the Chancellor has finally listened. 

 “The Liberal Democrats will now be holding the government’s feet to the fire on the promises they’ve made, so people here in Gloucestershire can finally see a GP or dentist when they need to.

“Sadly, the new government has not only neglected social care, but hit smaller providers with tax hikes. We urgently need cross-party talks to tackle this crisis so older people stranded in hospital beds can finally get the care and dignity they deserve.”