The NFU has taken aim at next year's budget with a letter written to the Chancellor of the Exchequer, George Osborne. The NFU President, Meurig Raymond, addressed several areas to help farmers.
The NFU would like an infrastructure investment allowance to be introduced, encouraging farmers to invest more in their businesses. It says: "Most G20 countries support business capital infrastructure investment by providing some form of tax allowance. The lack of these allowances in the UK is creating a barrier to investment for many farm businesses because of the high marginal rates of tax suffered."
The Annual Investment Allowance (AIA) should be set at the same level each year, reflecting the short term lifespan of agricultural equipment. The organisation has also looked at taxation and would like the government to consider introducing measures to help farmers create cash reserves to help cope with volatile market conditions. Finally, it has asked for spending on flood defenses to be maintained.