The UK government is considering significant changes to inheritance tax to address a looming budget deficit. Chancellor Rachel Reeves is reportedly exploring reforms, potentially impacting millions of families.
The Treasury aims to fill a £50 billion spending gap within the upcoming budget. This move comes as the nation grapples with economic pressures and seeks ways to bolster public finances. Inheritance tax, currently levied at 40% on estates above £325,000, is now on the table.
Families are bracing for potential changes, with some fearing a "fresh inheritance tax grab." The Conservative party has already criticized the proposals, labeling them as "politics of envy." Inheritance tax is a levy on the value of assets passed on after someone dies.
The government's focus on inheritance tax reform highlights the difficult choices facing policymakers as they strive to balance fiscal responsibility and public sentiment. Will these changes impact your estate planning?
