For people inheritance tax planning in Cheshire and Oswestry, the latest tax data from HM Revenue & Customs (HMRC) will raise a lot of questions, particularly for businesses and families.
Figures show that £6.6 billion was raised in revenue over the first three quarters of the 2025/26 tax year. This amounted to a £200 million increase on the corresponding period the previous year.
Whilst the figures mean the Government is on course to meet OBR targets, experts have warned that more estates will be caught by the inheritance tax (IHT) net. This means more people will need to take early, proactive measures as part of their estate planning. This trend is likely to continue with frozen thresholds, pensions and the pressure on reliefs all widening the tax net for the foreseeable future.
With the nil-band set at £325,000, an increase in property values as well as accumulated savings, are exposing more estates to tax. Pensions will also be brought into inheritance tax from 2027. This is likely to impact families not traditionally included amongst the most affluent taxpayers.
Structural changes to IHT mean family businesses should carefully plan their succession by the spring. On April 6, the new cap on agricultural and business reliefs enters force, meaning lots of people could face a steeper IHT bill after someone passes away.
Estate planners recommend you take action to arrange the transfer of assets now, using trusts if necessary. You should also get your estate valued, including an assessment of your overall property wealth.
