“The family tax is a real problem,” said Jo Bamford, the owner of JCB, as he expressed deep concerns over the recent inheritance tax reforms in the UK. Bamford warned that these changes could push JCB, one of Britain’s largest family-owned manufacturing firms, to consider relocating its operations to the United States.
Founded in 1945, JCB has been a cornerstone of the UK manufacturing sector, operating 11 factories and employing over 8,000 people. However, the new reforms, which set a £2.5 million threshold for business assets, impose a 20 percent tax on any value exceeding that limit, raising alarms among business owners.
These reforms were introduced during Labour’s maiden Budget in 2026, reversing previous exemptions that allowed family-owned businesses to pass down assets without incurring inheritance tax. Bamford’s comments highlight the potential impact on investment and the future of family businesses in the UK.
“It could quite easily become an American business,” Bamford added, underscoring the urgency of the situation. He emphasized the importance of family investment in Britain, stating, “You want us, as a family, to invest here in Britain.”
Concerns about the reforms are not isolated; several wealthy individuals have already relocated from the UK due to unfavorable tax policies. The Treasury, however, defended the changes, asserting that they are designed to protect small family businesses.
As the debate continues, the implications of these reforms for JCB and other family-owned firms remain significant. The removal of non-domiciled tax status has already influenced the decisions of many affluent individuals, further complicating the landscape for UK businesses.
While Bamford has expressed a commitment to maintaining JCB’s operations in Britain, the looming threat of relocation due to tax pressures casts a shadow over the future of the company. The situation remains fluid, with further developments expected as stakeholders respond to the reforms.