The Secretary of State has been challenged about the impact of to inheritance tax for farming businesses and whether he will be a “champion” for Northern Ireland in the government.
It comes as Hilary Benn is facing his first appearance in front of the Northern Ireland Affairs Committee since he took the role.
Following a brief introduction to the committee, Mr Benn was pressed about Labour’s reforms announced in last month’s budget which impacted farmers across the UK.
Under the changes, the full 100% relief from inheritance tax will be restricted to the first £1 million of combined agricultural and business property relief, above which landowners will pay inheritance tax at 20%, compared with 40% on other estates.
The new tax, which come in from April 2026, can be paid in instalments over 10 years interest free, rather than immediately, the government said.
Mr Benn was asked by DUP leader Gavin Robinson whether he would be “the government’s champion in Northern Ireland or Northern Ireland’s champion within the government”.
Mr Robinson highlighted the higher “density” of farms in family or sole ownership in Northern Ireland than in England or Wales and that there would be a “disproportionate hit” in Northern Ireland.
Mr Robinson demanded to know whether the Secretary of State had raised this with the Treasury or was “prepared to do so”.
Replying, Mr Benn said: “My role is to be both – of course I am an advocate for Northern Ireland in the government. But I am also a cabinet minister who upholds collective cabinet responsibility.
“As and when more information emerges about the impact [of the farming changes]. Then of course that needs to be considered by those who are taking the policy forward. There is a fundamental difference of view about how people are going to be impacted.”
Earlier in the meeting, Mr Benn had confirmed he met with the Ulster Farmer’s Union over the matter.
“I completely understand the concern that has been expressed because this is a big change. We have had a long period since 1992 were there has been 100% property relief when it came to farms.
“There is obviously an argument going on as to how many estates it will apply.
“If since 1992 you haven’t had to think about this at all and now you are going to have to think about it… that is something, with all of the other things that farmers have got to deal with, of course it is not welcome to them they have to add that to the list.
“Farming is absolutely vital to the future of the world the country and Northern Ireland.”
Meanwhile, Mr Benn was asked by the committee to give a timescale for the repeal and replacement of the Legacy Act.
Political parties and victim groups were almost universally opposed to the previous government’s Legacy Act, which halted inquests into events from the Troubles and set up the Independent Commission for Reconciliation and Information Recovery (ICRIR).
Labour had indicated it would repeal the Act, however, the new Government is continuing with the ICRIR and is challenging a critical judgment by the Court of Appeal in Belfast on the Legacy Act.
When asked to give a timeline, Mr Benn replied: “The short answer is as soon as possible but it is quite a complex process.
“In the end if we search for the absolutely perfect we will still be arguing about it in 10 or 20 years time and many of those families do not have the luxury of time.”