Expenses necessary to operate a farm are generally deductible business expenses, however it’s important to know what costs are allowable and those that are not.
If your costs are rising faster than your margins, pricing decisions can feel uncomfortable — but unavoidable. Many business owners are now reaching the point where holding prices steady is no longer realistic.
For business owners, employment costs are likely to be one of the biggest concerns. With National Minimum Wage and National Living Wage increases, as well as increased Employer National Insurance contributions over the last year, decisions about pay, recruitment and retention have become far more complex than they were just a few years ago.
Changes to Inheritance Tax reliefs were introduced on 6th April 2026, and the scope of 100% Agricultural Property Relief (APR) and Business Property Relief (BPR) – which was previously unlimited to qualifying assets - is now capped at a combined allowance of £2.5m per individual.
When uncertainty is high and margins are under pressure, tax quickly becomes more than a compliance exercise. It becomes a strategic consideration that can influence cashflow, investment decisions and long-term plans.
Employment rights reform is firmly on the agenda, with a number of changes under the Employment Rights Act 2025 coming into force across 2026 and 2027. Much of the discussion focuses on principles, fairness, flexibility and protection for workers. These aims are widely recognised and supported.
If you’re running a business in the current environment, feeling under pressure doesn’t mean you’ve failed — it means you’re operating in a higher cost, more uncertain economy. What matters most is recognising when those pressures are starting to affect decision making, cash flow or long term viability, and knowing when to seek advice.
Advising businesses facing financial difficulty, I see first-hand the pressure that company directors experience when debts begin to mount and they experience cashflow worries, creditor demands and tax arrears.
Armstrong Watson’s Business Confidence Survey, conducted in March 2026, explores how businesses feel about the year ahead, their expectations for trading conditions, and the challenges shaping decisionmaking as the new tax year begins.
At the start of a new tax year, there are some considerations sole traders and partnerships should make when it comes to tax planning over the next 12 months.