IHT on pensions overhaul risks fuelling scams against 'fearful' public

Claire Trott calls for clarity on 2027 Budget reform that will bring pensions into estate tax scope

Sahar Nazir
clock • 3 min read

Financial advisers have been urged to brace themselves for the far-reaching inheritance tax (IHT) implications of a Budget reform that will pull most pensions into the taxable estate from April 2027 – a move that could drive up scams and confusion if not handled carefully, according to St James’s Place head of advice Claire Trott.

Speaking on Thursday (15 May) at Timeline's Adviser 3.0 2025 conference, Trott described the upcoming change — announced with little advance notice in the Autumn Statement — as one of the most significant shifts in pension taxation in recent memory, cautioning that the government's communication and legislative approach has left advisers and providers in the dark. "For a change that is so huge, it wasn't particularly leaked," Trott said. "The government spends a lot of time planning this, but there are still so many questions around how it will work." Scam risk and the growing importa...

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