Poor Inheritance Tax planning will cost UK adults £1.3bn this year, research by unbiased.co.uk reveals.Although the research also finds people are improving the way they plan when it comes to IHT liabilities, it warns that because house prices are rising at a much faster rate than the IHT threshold, any gains from this improvement could be temporary. The website, which promotes the benefits of independent financial advice, says the most widespread cause of IHT tax wastage is the inclusion of the proceeds of life assurance policies in personal estates. It says if these were written in trust they would not be subject to IHT. Such errors are thought to account for up to £119m per year in unnecessary tax wastage. But far more tax waste results from a lack of IHT planning within personal estates. The value of this waste has been quantified at £1,184m for this year alone. David Elms, chief executive of unbiased.co.uk, says: “Our research demonstrates that although people are improving the way they plan for IHT, they still have some way to go. “Property prices have outstripped the IHT threshold in the past few years and this tax is now a genuine concern for most home owners in this country.” He adds: “It is vital that people seek advice from an independent adviser so they can make informed decisions with regard to IHT.” Paul Wilcox, chairman and technical director of The WAY Group, an IHT planning product provider that works through IFAs, says: “Getting advice on minimising the effect of IHT from IFAs is important because they are not tied to a certain product or strategy. “IHT planning is becoming more sophisticated and it requires the skills and lack of bias of an IFA.”
Bridging lender, Link Lending, has chosen Phoebus Software to supply its loan origination and servicing platform. Phoebus Software has produced a bespoke version of its software suitable for Link Lending’s bridging loan process, and further developments including online case tracking, decisions in principle, and KFIs are in the pipeline.John Maclean, managing director of Link Lending, […]
Alliance & Leicester has revealed that nearly a quarter of parents in the UK can’t afford to buy their own properties and instead rely on renting or living with their own parents.
Select & Protect has launched a commercial insurance proposition called Bonus Underwriter.A range of commercial insurance products, underwritten by Norwich Union, have been launched by the company to enhance their introducer status offering.In addition to buildings, contents and MPPI policies, brokers and intermediaries can now offer their clients a range of commercial insurance cover for […]
The government has launched a National Housing and Planning Advice Unit to provide independent advice on improving housing market affordability.The Unit will help strengthen the housing market evidence base and analysis currently available to the regional planning bodies. This will help to ensure that new homes identified in regional plans have a positive impact in […]
As the Pensions Regulator starts to bare its teeth and the changes mentioned in the Budget and Queen’s Speech start to come into force, it is essential that you understand your scheme and the processes you need to undertake to ensure it remains compliant. Our second re-enrolment guide looks at how to audit the key areas of your auto-enrolment scheme.
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