More than half of the British public wants inheritance tax (IHT) to be abolished, according to a new poll by YouGov, commissioned by law firm Kingsley Napley.
The survey found 54% of Brits want it to be abolished, up from 49% last year. The number of people who now oppose increasing the rate of IHT has also grown, with 76% opposing an increase, up from 69% last September.
It comes ahead of changes to IHT that will bring people’s pensions into its scope from April 2027. Pensions in the UK have been exempt from IHT until now. Fears are growing that further changes to the IHT regime, such as changes to gifting rules, will be proposed in the upcoming Autumn Budget.
James Ward, partner and head of private client at Kinglsey Napley, said: “Inheritance tax is effectively this country’s wealth tax. It is only paid by 1 in 20 estates and whilst it is not a big money spinner for the Treasury in the scheme, it will no doubt be tempting for the chancellor to squeeze more revenue out of these estates given her other pledges.
“We have had a busy summer of clients wanting to estate plan ahead of possible IHT related Budget measures. However interestingly, our research shows that only 5% of the general public have taken advice on mitigating any IHT that may be due on their estate.
“Many may therefore be missing an opportunity to protect their estates for loved ones left behind.”
