The boss of JCB has named his younger son as his heir to the business, instead of his elder son and presumed heir.
In an interview with the Telegraph, Lord Bamford said that his third child, George, would take over from his as head of the digger manufacturer rather than elder son Joseph, known as Jo.
It is understood that Jo had attempted to persuade his father to give up the reins of the company in what Lord Bamford viewed as an attempted coup.
Since then George has been installed as deputy chairman of JCB.
Lord Bamford said: “In terms of us remaining a family business, that is very important, and we do have plans.
“I’m very lucky and highly privileged to be in charge of this business at the moment. I don’t intend to be forever, I am 80, for heaven’s sake.”
When asked who would eventually take over the business, he confirmed that “it will be George”, but it is understood that the succession plan has not yet been formalised at board level.
End of speculation
Lord Bamford’s confirmation of his successor ends years of speculation and rumour about what is going on in the JCB boardroom.
Jo joined the company board in 2006, after stating working at the family firm in 2004, with George and eldest child Alice joining three years later.
Jo went on to gain more senior roles including head of major contracts, which appeared to be him being prepped to take over.
Meanwhile, George makes his own range of watches under the Bamford brand, which he will continue to own and oversee, but JCB is becoming his full-time job as he prepares to take over.
JCB boasts 22 factories in four continetns and employs 19,000 people, with a turnover of £6.5bn.
City AM interview
Speaking in an interview with City AM in April, Jo warned that the government’s inheritance tax crackdown on family firms could force his father’s business empire overseas.
He said his father, who is a Conservative and Reform UK donor, could move the firm abroad to safeguard jobs and prevent businesses from being sold off.
Jo said: “The family tax… is a real problem. It could quite easily become an American business.
I love being in Britain…. But I would say to a political party of any stripe, look, there’s only so much you can ultimately do.”
Both farms and family-run firms had previously benefited from a longstanding carve-out from the unpopular levy in order to allow them to be passed down freely.
But they were brought into the tax’s orbit amid fears it was being abused as a loophole by the super-rich.
Under the changes all shareholdings in a family business worth more than £2.5m will be subject to a reduced inheritance tax rate of 20 per cent.
Jo said: “When you’re hunting down family businesses or farms or any those two things, it is quite contentious, but you want people to hold on to these things long term.”
Apart from being on the JCB Board, Jo has forged a career in the clean energy sector, founding hydrogen fuel firm Ryze Power.
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