There are people in the UK who are expecting an inheritance and will use it to help them financially, however there are some wealthy individuals in the country who may not get a windfall.
Private bank Brown Shipley surveyed of over 4,000 UK consumers including a representative sample of over 800 of the nation’s ‘wealthy’, who are defined as those with more than £100,000 ($126,000 €112,000) in assets that they can readily access, 350 of whom had more than £250,000 in assets.
The research found 48% of the wealthy individuals will leave an inheritance, and this increases to 53% of those with £250,000 of investible assets.
The bank says that one-in-five (around 10 million) UK adults fall under the definition of ‘wealthy’, which means that five million may not receive an inheritance.
Planning
While half plan to leave an inheritance, 39% plan to gift some of their wealth to their families.
Regardless as to whether the wealthy plan to leave money when they pass on – the lack of planning for the future is of concern.
Only 40% said they had plans in place to pass on their wealth to minimise the tax paid by beneficiaries.
Some 34% said they will put in place plans in the next five years to minimise tax on their beneficiaries; while 22% said they never will.
Alan Mathewson, chief executive of Brown Shipley, said: “It is worrying that so many haven’t made plans for their estates.
“Solid financial planning is about wealth preservation today and having a wealth plan to meet future needs and we believe all can benefit from putting their estate in order, today.”
