Don't panic! Call for calm after Budget pensions IHT change

clock • 3 min read

Lisa Webster calls for a calm response to the IHT changes announced in the Budget earlier this month...

The announcement that pensions will fall within an individual's estate for inheritance tax (IHT) purposes shouldn't have come as a huge shock to those in the industry. The shocks came back in 2014 when George Osborne announced pension freedoms, including the unexpectedly generous treatment of death benefits, followed by Jeremy Hunt's scrapping of the lifetime allowance last year. Although I wouldn't be as bold as to say I predicted IHT applying to pensions, I did state that some kind of tax on death benefits was an obvious way to go – and was always more likely than the heavily rumour...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Tax planning

Autumn Budget changes making advisers consider trusts for IHT planning

Autumn Budget changes making advisers consider trusts for IHT planning

Uptick in client concern about intergenerational planning

Isabel Baxter
clock 05 June 2025 • 2 min read
Partner Content: What do advisers need to do to help clients with the great wealth transfer?

Partner Content: What do advisers need to do to help clients with the great wealth transfer?

Access the Professional Adviser educational content portal

Professional Adviser
clock 04 June 2025 • 1 min read
Thinking outside the tax box: The need for a modern approach

Thinking outside the tax box: The need for a modern approach

'Act now to ensure clients are resilient and well-positioned for the future’

Andrew Aldridge
clock 30 May 2025 • 4 min read