Pensions and IHT: Preparing for the New Regime

A major shift in pension taxation is on the horizon which could have serious implications for your estate planning. This brand-new Special Report is designed to help you understand and navigate the upcoming changes with confidence.

Announced in the Autumn 2024 Budget by Chancellor Rachel Reeves, the new rules will come into effect on 6 April 2027, bringing most pension savings into the scope of inheritance tax (IHT). This marks a dramatic departure from the current system, where pensions are typically excluded from IHT calculations.

Why you need to prepare now

The government estimates that 50,000 additional estates will be liable for IHT in 2027/28 alone. And that number is expected to grow. Whether you're still contributing to your pension or already drawing from it, these changes could significantly increase your estate’s tax burden.

This Special Report is essential reading for anyone with pension savings - including final salary schemes and personal pension plans. It offers clear, actionable insights to help you plan ahead and protect your legacy.

What’s inside?

• Chapter 1: A clear overview of the current IHT rules for pensions, valid until April 2027
• Chapter 2: A breakdown of the upcoming changes and how they affect different types of pension
• Chapter 3: Tax-planning strategies to help you prepare and potentially reduce or avoid IHT
• Chapter 4: Appendices with practical tools, examples, and guidance to support your planning

Whether you're an accountant, taxadvisor or individual looking to safeguard your estate, this guide will help you make informed decisions before the new rules take effect.