No more IHT relief on pensions: How to maximise alternative tax-efficient vehicles

Substantial changes to inheritance tax (IHT) have always been under sharp scrutiny in the lead-up to any government Budget. However, it has remained relatively untouched – until now. The Autumn Budget 2024, introduced by chancellor Rachel Reeves, brought significant changes to the tax treatment of pensions, specifically in relation to inheritance tax (IHT). As of April 6, 2027, pension funds and death benefits from pensions will be included in an individual's estate for IHT purposes. In recent years pensions have been exempt from IHT, meaning if the pension holder died before age ...