Autumn Statement 2025 | Expert Insights
Response on Inheritance Tax
Inheritance Tax continues to feel like a moving target, and the latest updates do little to change that impression. With the nil rate band and residence nil rate band now frozen until 2031, more families will find themselves drifting into the IHT charge simply because asset values keep rising. It’s classic fiscal drag, and it means proactive planning is becoming increasingly important rather than optional. The extension of the £1 million cap on Business Property Relief and Agricultural Property Relief to 2031 was widely expected, but the real game-changer is the new ability for spouses to transfer unused APR and BPR between them. This finally brings these reliefs in line with the transferable nil rate band and removes a long-standing complication in estate planning. It will make life easier for many families, although it still makes sense for spouses to keep estates relatively balanced to avoid unnecessary pressure on the survivor.
Lisa Wilson
Partner and Head of Tax Cowgills
Made with FlippingBook Learn more on our blog