Warnings of tight timetable as HMRC sets out pension IHT process

‘A very short timescale for such a significant change’

Isabel Baxter
clock • 4 min read

The government faces a race against time to implement its new inheritance tax (IHT) rules for pensions, after HMRC published further detail on how the regime will work, the profession has warned.

The second technical note, published on 27 August, provided further information on the processes that will apply when unused pension pots become subject to IHT from 6 April 2027. However, with less than eight months until implementation, those in the advice profession have warned that the timetable remains tight, with further legislation and detailed guidance still to come. Nucleus technical services director Andrew Tully said he believed the profession will generally be ready to make the necessary system and process changes, but warned this depended on the government avoiding any sub...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Tax planning

IHT on pensions: Getting the practicalities right

IHT on pensions: Getting the practicalities right

Practical refinements needed to make reforms work effectively

Emily Deane
clock 15 October 2026 • 4 min read
Why a higher CGT rate may not mean most business owners pay it

Why a higher CGT rate may not mean most business owners pay it

While it is entirely possible that CGT rates could rise sharply in the Budget, Chris XX remains sceptical that the majority of genuine business owners will ultimately pay tax at the full headline rate...

Chris Riley
clock 14 October 2026 • 4 min read
Budget Media Watch: Chancellor will not hike CGT to match income tax

Budget Media Watch: Chancellor will not hike CGT to match income tax

Smaller rise possible

Alex Sebastian
clock 14 October 2026 • 2 min read