APR/BPR Judicial Review Heads To Court This Week

A High Court judicial review challenge to the Government’s proposed reforms to Agricultural Property Relief (APR) and Business Property Relief (BPR) from inheritance tax has been listed for an urgent two-day hearing before a Divisional Court at the Royal Courts of Justice on 17–18 March 2026.

The claim is being brought by Alvarez & Marsal LLP together with farmers and business owners Thomas Martin and George Martin, alongside the campaign group Farmers and Businesses for Fair Tax Relief. The claimants are represented by Collyer Bristow LLP.

Ordinarily, judicial review cases are determined by a single High Court judge. In this instance, however, the Court has directed that the matter be heard by a Divisional Court comprising a panel of senior judges drawn from the High Court and the Court of Appeal.

Such courts are convened only in cases of exceptional public importance or where the issues raised are likely to have significant constitutional implications or establish a new legal precedent.

The challenge concerns the Government’s proposed changes to inheritance tax reliefs affecting agricultural and family-owned businesses. Under the reforms announced in the Autumn Budget, the Government plans to restrict 100 per cent inheritance tax relief under APR and BPR to the first £1 million of qualifying assets, with relief above that threshold reduced to 50 per cent from April 2026.

The claimants argue that the Government acted unlawfully in introducing the reforms without conducting a proper consultation with those most affected. They contend that, despite previous commitments to consult meaningfully with taxpayers and industry stakeholders, the Government instead carried out only a limited technical consultation addressing narrow aspects of the proposed changes. According to the claim, this approach failed to reflect the significant impact the reforms may have on farming families, family-owned businesses and the wider agricultural and commercial sectors.

Permission to bring the claim has already been granted by the Court, which ordered that the matter proceed by way of a “rolled-up” hearing. This means that the Court will consider both whether permission should formally be granted and the substantive merits of the claim at the same time during the two-day hearing in March.

The proceedings will therefore provide the first opportunity for the Court to determine whether the Government’s consultation process complied with its obligations under public law.

The case also raises broader constitutional issues. Both the Government and the Speaker of the House of Commons have argued that matters of Parliamentary privilege and the separation of powers are engaged. In light of this, the Speaker has been granted permission to participate in the proceedings as an intervener.

If the challenge succeeds, the Government could be required to revisit and potentially restart its consultation process, which may delay or alter the planned implementation of the reforms.

Commenting on the listing of the case, James Austen, partner at Collyer Bristow LLP with primary conduct of the claim, said the decision to convene a Divisional Court reflects the seriousness of the issues involved. “The listing of this case before a Divisional Court underscores its importance, as does the urgency with which the Court will now hear it,” he said.

“The issues raised in this judicial review are profound: they concern the standards by which Government should consult before implementing reforms with far-reaching consequences for families and businesses across the country. We welcome the decision to convene a senior multi-judge panel and look forward to presenting the claimants’ case in full at the Royal Courts of Justice in March.”

The outcome of the case is likely to be closely watched by the farming and family business communities, many of whom rely on APR and BPR to pass agricultural and commercial assets between generations without incurring inheritance tax liabilities that could threaten the continuity of their enterprises.

Of course, we will be sharing details of the findings in due course.