FBUK Magazine Edition 3 June 2025

Figure 2: Actions Since Budget

A large proportion of impacted family businesses have taken measures to mitigate BPR already

What additional steps, if any, might you take to mitigate any potential impacts of changes to BPR in the future (before April 2026) (% of respondents, N=3,357)

What measures have you already taken to mitigate any potential impacts of changes to BPR, if any? (% of respondents, N=3,357)

Take(n) legal advice

68%

66%

55%

44%

Pause(d) or cancel(ed) planned investments

Defer(red)/reduce(d) investment

41%

38%

Reduce(d) headcount or pause(d) recruitment

23%

23%

16%

46%

Gift(ed) shares or assets to family members Reduce(d) or cancel(led) charitable contributions or community activities

15%

16%

7% 6%

22%

Downsize(d) business

Intentionally hold(held) back business/asset growth beyond the £1m valuation threshold Take(took) out insurance to cover future inheritance tax costs

9%

6%

24%

3%

13%

Sell (sold) assets and/or shares to non-family

Close(d) business and liquidated

0% 0% 0%

7%

Relocate(d) business assets overseas

5%

Sell (sold) off business entirely)

12%

9%

5%

Other (please specify)

3%

7%

Not sure/ don’t know

6%

1%

(Do) nothing/ no change

80% 70% 60% 50% 40% 30% 20% 10% 0%

0% 10% 20% 30% 40% 50% 60% 70%

Figure 3: Regional Impact from BPR

Away from the hard economic numbers, one of the most concerning impacts of the policy change is on the role family businesses play as champions of their local communities and supporters of local charities. The owner of one business based in the South-East told us: “ We have historically been very active in the local community. We were planning on providing land

and building a football pitch for the benefit of young people to help them get off the streets. But this has now been cancelled as we provide for IHT liabilities” The findings underline what we have been saying to policymakers for years: that BPR and APR are examples of how tax policy can be used to create good growth, to incentivise businesses to invest by giving them

confidence to make long-term commitments to their business, their workforce and their local community. We will continue to use these data to push for a full reversal or amendment to the decision taken during last Autumn’s Budget. Please visit our website to download a copy of the full report. Send it to your MP and highlight the impact in their constituency. www.familybusinessuk.org

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