“The family tax… is a real problem,” warned Jo Bamford, heir to the JCB empire, during a recent discussion on the implications of inheritance tax for family-owned businesses in Britain. Bamford’s comments come in light of the Labour government’s 2024 Budget announcement that introduced a reduced inheritance tax rate of 20 percent on family businesses valued over £2.5 million.
Jo Bamford further stated, “It could quite easily become an American business,” emphasizing the potential consequences of the tax policy on the future of JCB, a company known for its construction equipment and machinery. The remarks underscore a growing concern among family-run firms about the sustainability of their operations under the current tax regime.
In a related development, Autostructures UK, a supplier to JCB for over 30 years, has entered administration after nearly seven decades in business. Established in 1958 as Alexander Socket Screws Limited, the company has been a crucial partner for JCB, highlighting the challenges faced by suppliers in the current economic climate.
Despite these challenges, the JCB Group recently celebrated a significant achievement, winning the Dacia Best Group Award at the Renault & Dacia Awards on April 1, 2026. Kevin Lynch, a representative from JCB, remarked, “We are incredibly proud to receive the Dacia ‘Best Group Award.’” He added, “This recognition is a testament to the hard work and dedication of our teams across Canterbury, Ashford, and Medway.”
The award reflects JCB’s commitment to excellence and the high standards maintained by its dealership teams, which have been trained and accredited accordingly.
Historically, both farms and family-run firms had benefited from a longstanding carve-out from inheritance tax, but recent changes have raised alarms among business owners. The introduction of the inheritance tax on family-owned companies has prompted discussions about the viability of keeping such businesses in the UK.
As the JCB family navigates these challenges, the future of the company remains uncertain, particularly in light of the potential for relocation. Jo Bamford’s statements resonate with many in the industry who fear that the burden of taxation could drive family businesses away from their roots.
Details remain unconfirmed regarding any immediate plans for JCB in response to the inheritance tax implications, but the situation continues to evolve as stakeholders monitor the impact of government policies on family-owned enterprises.
