Case Study: Cornwall
Employment amongst 16-64-year-olds in Cornwall is already below the regional and national averages. These estimates suggest that St Austell and Newquay, North Cornwall, and South East Cornwall are in line for some of the most substantial drops in employment due to APR changes. One affected respondent in the region shared their concern:
% change in FTE jobs
-0.23%
-1.23%
“The challenge is to continue farming with the tax looming over us. It’s a hard enough industry as it is with elements out of our control: weather prices etc. Why are we bothering with it if our children won’t be able to carry on?
Another respondent from Cornwall said: ‘[I am] potentially having to sell off assets to cover IHT due to relief being cut, therefore leading to business reduction or termination. Staff numbers will therefore be reduced’
Source: CBI Economics Survey (2025)
Case Study: Blyth and Ashington
Blyth and Ashington, a constituency in Northumberland, is emblematic of many areas across the UK where family-owned businesses play a foundational role in the local economy. These businesses are often long-established, locally rooted, and asset-rich but cash-constrained – making them particularly vulnerable to changes in inheritance tax policy.
The area has a proud industrial heritage, with ongoing efforts to regenerate and diversify the local economy. Family businesses in sectors such as manufacturing, logistics, and services continue to provide stable employment and contribute significantly
to community life. However, they also face heightened economic pressures, including labour shortages, rising costs, and uncertainty around succession.
% change in GVA
One local business owner told us:
-0.32%
-1.03%
“Any significant IHT levied on the business would be extremely difficult to meet as most of the value is tied up in assets. The only option would likely be to close. The business is over 100 years old and has long served the local community”.
Source: CBI Economics Survey (2025)
29
Made with FlippingBook - professional solution for displaying marketing and sales documents online