Rural Labour MPs have blasted Andy Burnham’s cash deal for farmers as an “utter joke” as the Prime Minister braces for a backbench revolt.
Labour was left scrambling to help thousands of farmers who were left empty-handed after missing out on vital funding to help them manage their land on Tuesday.
The money was made available under a post-Brexit scheme but was hoovered up without farmers being warned in advance when applications would open.
In a group chat of Labour MPs, which was leaked to The Sun, a furious row broke out about the Government’s handling.
Barrow & Furness MP Michelle Scrogham criticised the scheme’s rollout.
She said: “FFS this is basic organising and shouldn’t be run like sodding festival tickets.”
Cannock Chase MP Josh Newbury agreed that Tory backbencher Alicia Kearns had a “good point” after she accused Whitehall of failing to give farmers sufficient notice of when the scheme would open.
Scarborough & Whitby MP Alison Hume said she had received messages from farmers claiming that “Labour has sold us down the river”.
Andy Burnham is facing a backlash from rural Labour MPs
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Meanwhile, Northumberland MP David Smith branded the rollout a “disaster”.
He added: “Disaster disaster disaster. Already getting emails about it. Utter joke, it looks like first come first served.”
The row is the latest flashpoint in Labour’s increasingly difficult relationship with the farming community.
Farmers have been angered by a series of policies since Labour came to power, most notably changes to Agricultural Property Relief and Business Property Relief announced in the 2024 Budget.
The changes, dubbed the “tractor tax” by critics, meant 100 per cent inheritance tax relief would eventually be restricted, prompting thousands of farmers to take to the streets in tractor protests across the country.
A series of tractor tax protests have taken place across Britain
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Thousands gathered in London to protest against the plans in November 2024, with further tractor demonstrations following in the months afterwards.
Labour subsequently changed course on the inheritance tax proposals, announcing in December 2025 that the threshold for 100 per cent Agricultural and Business Property Relief would rise from £1million to £2.5million.
Couples can now pass on up to £5million of qualifying agricultural or business assets between them before the new inheritance tax rules apply, while qualifying assets above the threshold receive 50 per cent relief.
However, the latest row centres around the second application window for the Sustainable Farming Incentive, which opened on Tuesday with £233million available to farmers and land managers in England.
Labour’s lost support in rural constituencies since the 2024 General Election
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The fund was intended to give farmers financial support in return for measures, including improving soil health, protecting waterways and creating space for wildlife.
However, the entire £233million budget was exhausted within hours of the window opening, leaving thousands of farmers unable to secure funding.
Labour managed to win 40 of Britain’s most rural seats at the 2024 General Election, up from just three in 2019.
Despite Labour receiving a boost following the release of today’s YouGov MRP poll, the mega survey suggested Mr Burnham would hold on to just 16 of its rural seats.
Reform UK would pick up 17 of Labour’s rural seats, with the Tories registering seven gains.
Andy Burnham appointed Stephen Morgan as farming minister | X/STEPHEN MORGAN
Farming Minister Stephen Morgan said: “Farmers will receive almost a third of a billion pounds each year for three years under new SFI26 agreements.
“That’s nearly a billion pounds invested in resilient farming.
He added: “I know some farmers who wanted to join SFI26 will be deeply disappointed not to have secured an agreement during Window 2, particularly given the challenges the sector has faced this year.
“I have heard those concerns and am determined to work closely with farmers as we learn lessons from this year and shape SFI27, including exploring alternatives to a first-come, first-served application process.”