A tightening inheritance tax (IHT) backdrop is reshaping how advisers approach drawdown and intergenerational planning, with the family home playing a growing role in retirement income conversations, according to a report from later life lending platform Air.
The report, The Home Belongs in the Plan, produced with Technical Connection and Ad Lucem, points to upcoming changes that will bring unused pensions into the potentially taxable estate from 6 April 2027 as a key driver of changing client behaviour and adviser strategy. The "best practice" drawdown and estate planning strategies are increasingly being reassessed on an "all-asset" basis, rather than focusing narrowly on pensions and investments, the report noted. According to the regulator's retirement income market data for the year to 31 March 2025, the total value withdrawn from pen...
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