BHETA is collaborating with GIMA to provide a combined voice for family-owned manufacturing businesses to the outcry about the changes to Business Property Relief (BPR).
It is anticipated that the collaboration will be a first for 2025 in a series of combined initiatives.
Commenting on the combined stance BHETA’s chief operating officer, Will Jones said: “Family-run businesses account for 90% of private sector firms and employ 14 million people and the home improvement, garden, housewares, gift, and small domestic electricals businesses are all similarly threatened.
“It’s vital all family businesses get together to lobby and sustain the campaign, including family-run businesses from our members’ customer base such as independent garden centres, DIY retailers, and cookshops.
“Already we are seeing the Prime Minister announcing that he wants examples of businesses affected by IHT sent to his team directly, so BHETA is delighted to work with GIMA to make this happen.
“BHETA is providing templates for central Government and local MP lobbying packs for supplier companies caught by the Government’s proposals, in support of the lead taken by Family Business UK (FBUK) and is sharing the initiative with GIMA members similarly affected. It’s a great opportunity to write to the PM directly, and call for a review of the policy and a formal consultation.”
GIMA director Vicky Nuttall added: “Each year, over 85,000 businesses transition ownership to the next generation (Source: FBUK) and to date, Business Property Relief (BPR) has been essential in enabling these companies to plan, giving owners the assurance to focus on growth. From a sample group of 200+ garden centres, over 50% are made up of independent family-owned businesses, many of whom now face significant financial uncertainty under these new IHT proposals.
“It makes total sense for GIMA and BHETA to get together on this and add their combined weight to the campaign for a Government review. Collaboration is key, and we are delighted to be working with BHETA. We have several other joint initiatives planned for 2025, both lobbying and in retailer networking, so this should be a good year to demonstrate the potential of combined initiatives.”
Under the new IHT rules, a cap of £1 million will apply to the assets eligible for 100% inheritance tax (IHT) relief. Any value exceeding this threshold will only receive 50% relief. Business assets that were previously fully exempt under inheritance tax relief will now face an effective 20% tax when transferred to the next generation, threatening the financial security of family-owned UK manufacturers and producers in all sectors.
