New figures show UK savers uninformed about IHT

According to new research, over one third of adults in Britain who plan to pass on their wealth to others possess no concrete plans.

The figures also found that while more than half of respondents planned to provide an inheritance to their offspring, only 20 per cent have considered their retirement income needs or how much it will cost them for care in the future, should they require it.

Over 22 per cent of people are planning to leave others an inheritance, and 17 per cent of those aged either 55 or more were concerned about lacking knowledge on how much inheritance tax (IHT) they will need to pay or exactly how to manage this process effectively.

Close to half of those surveyed were unsure if the current seven-year rule for IHT applied to them or were entirely unaware of it.

Additionally, 85 percent of respondents aged 55 and upwards were unaware that new IHT rules will become law in January 2022. This will remove the need to file relevant forms for up to nine out of ten estates not subject to IHT.

Despite these troubling statistics, 65 percent of adults aged 55 and over intend to bequeath their wealth to family members and friends.

UK savers with questions regarding IHT and retirement planning in Chester, London and other cities often consult wealth managers for help. Able to supply tax mitigation strategies and guidance on preparing for the future, wealth management firms offer strong support.

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