{"id":584991,"date":"2025-11-21T15:57:12","date_gmt":"2025-11-21T15:57:12","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/584991\/"},"modified":"2025-11-21T15:57:12","modified_gmt":"2025-11-21T15:57:12","slug":"the-uks-most-hated-tax-rakes-in-5-2bn-in-just-seven-months-politics-news","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/584991\/","title":{"rendered":"The UK’s ‘most hated tax’ rakes in \u00a35.2bn in just seven months | Politics | News"},"content":{"rendered":"

Receipts for Britain\u2019s \u201cmost hated tax\u201d hit \u00a35.2 billion in the first seven months of the tax year, figures have revealed.
His Majesty\u2019s Revenue and Customs (HMRC<\/a>) got \u00a3200 million more in inheritance tax (IHT) between April and October, compared to the same period in the previous tax year.
IHT, often dubbed the country\u2019s \u201cmost hated tax\u201d, has been on the rise for the last two decades.<\/p>\n

Chancellor Rachel Reeves<\/a> confirmed last year pension assets would be made liable for inheritance tax by April 2027.
Nicholas Hyett, investment manager at Wealth Club said: \u201cThe \u2018hokey-cokey\u2019 Budget is just days away, and recent IHT history provides the blueprint we expect the Chancellor to follow.\u201d<\/p>\n

He added: \u201cThe reality though is that the government is close to the bottom of the barrel where IHT is concerned. And in that too IHT is foretelling the fate of wider tax policy. Next year the government is going to find it can\u2019t get any further with tinkering and threshold freezes. If it wants to raise more money it\u2019s going to have to front up to the voter and visibly raise taxes \u2013 it\u2019s just a shame there\u2019s no death duty on political administrations, because the Treasury would be in for a windfall.\u201d
IHT\u2019s main nil-rate threshold has been frozen at \u00a3325,000 since 2009.<\/p>\n

Mr Hyett said that can squeeze an extra \u00a380,000 from an estate without the government having to \u201craise\u201d taxes at all.
He warned: \u201cThe Chancellor is set to repeat the trick with various other tax allowances \u2013 including freezing income tax thresholds into next decade.
\u201cTargeted IHT reliefs have come under attack in recent years \u2013 including business relief, agricultural relief and the alternative investment market. All of these changes are sold as closing loopholes and targeting the wealthy without affecting \u201cworking people\u201d, never mind that they have been damaging for small businesses, family farms and UK capital markets. We expect the Chancellor to make a song and dance about targeting \u201cspecial interests\u201d again in the budget through salary sacrifice and some form of \u201cmansion tax\u201d \u2013 though in practice tinkering around the edges like this has profound knock-on effects, not least on activity in the housing market.\u201d
The Office for Budget Responsibility (OBR) forecasts total IHT liabilities for 2024\/25 will rise 11.6% on the previous year to \u00a38.4 billion.
It estimated that receipts will potentially reach \u00a314 billion by 2030.<\/p>\n

Ian Dyall, Head of Estate Planning at wealth management firm Evelyn Partners, said: \u201cWhile IHT receipts continue their predictable upward trend, IHT reliefs have not featured prominently in the months of speculation around possible tax-raising measures anticipated in the Autumn Budget.<\/p>\n

\u201cAfter all, IHT reforms announced at the last Budget, including bringing unspent pension pots into the scope of IHT from April 2027 and slashing agricultural and business property reliefs from next April, have yet to take effect. \u00a0<\/p>\n

\u201cThe UK\u2019s rather complex gifting regime did appear in early Budget speculation but whether or not the Chancellor decides to review it, families should do their own review \u2013 at least those building up significant IHT liabilities.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Receipts for Britain\u2019s \u201cmost hated tax\u201d hit \u00a35.2 billion in the first seven months of the tax year,…\n","protected":false},"author":2,"featured_media":584992,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[180894,51,1016,3121,619,16,15],"class_list":{"0":"post-584991","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-budget-2024","9":"tag-business","10":"tag-hmrc","11":"tag-inheritance-tax","12":"tag-rachel-reeves","13":"tag-uk","14":"tag-united-kingdom"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/115588513541409890","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/584991","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=584991"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/584991\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/584992"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=584991"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=584991"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=584991"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}