New tax changes force British families to re-plan their money future
Fresh tax-law updates make people think different about their savings and property choices. Recent budget changes hit hard on pension inheritance second homes and family businesses
The new budget by Rachel Reeves changed how britʼs think about their money-management (its quite different now)
Starting from apr-2027‚ pension-holders face big changes in inheritance rules; many people need to re-think their plans. Here are key points to consider:
- Moving £20k yearly from pension to ISA could be smart
- Second-home buyers now pay 5% extra tax instead of 3%
- Family business inheritance gets £1m tax-free limit
- Spouse-to-spouse pension transfer stays tax-free
- Trust-based pension plans need review
The stamp-duty changes hit quick - properties worth £350k now need £22‚5k in tax payments which is way more than before. People who made deals before oct-31 dont need to worry about new rates
For business owners its getting more complex: Mike Ambery from Standard Life points out that money-management needs careful planning - pension-to-isa moves might cost extra in taxes. The new rules mean family companies worth over £1m face 20% tax when passed down
Remember money taken from your pension beyond the 25pc tax-free cash is subject to income tax
The death-in-service benefits changed too; police officers families might lose up to 40% of payments. For big estates worth £2m-plus the tax could reach 91% when combining different tax types
