Inheritance tax (IHT) in the United Kingdom applies to the transfer of wealth after death. It can affect property, savings, investments, and other assets. Although it applies to a smaller portion of estates, those crossing certain value limits may face a 40% tax charge on amounts above available allowances.
Inheritance tax thresholds have been frozen for several years, so rising asset prices can bring more families into scope.
This guide reviews the 2025/26 allowances, rates, and reliefs and outlines legal provisions under HMRC regulations. It offers factual, compliance-based guidance for individuals and families who wish to manage their affairs effectively.
The value of professional guidance
Early, informed action is the foundation of effective IHT planning. By reviewing current rules, seeking professional guidance, and monitoring legislative changes, individuals can ensure their estate plans align with their wishes.
Regular updates can help owners respond to shifts in property values, personal circumstances, and policies, allowing them to preserve more of their assets for future generations.
Regularly reviewing your inheritance tax plan can help you adapt to legislative changes and protect your assets. We’re here to help.
GUIDE: Inheritance tax essentials