Our Inheritance Tax Services in London

1. Property and Main Residence Planning

For many clients, the London home is the single biggest asset. We provide inheritance tax advice on London property, including:

• How the nil-rate band and residence nil-rate band may apply, including the additional nil rate band available for the main residence. This allowance can be transferred to a surviving spouse or civil partner, subject to certain conditions and estate value thresholds.
• How leaving your home to children or grandchildren affects IHT, clarifying that these beneficiaries are considered lineal descendents for inheritance tax purposes and may qualify for specific reliefs.
• Whether downsizing or restructuring ownership could help
• How buy-to-let or additional properties impact your estate

We help you protect the family home where possible while still planning sensibly for the future.

2. Gifting Strategies and Family Support

Using gifts effectively can significantly reduce future IHT. We advise on:

• Annual gift allowances and exemptions
• Regular gifts from income
• Larger lifetime gifts and the “7-year rule”: Gifts made during your lifetime are known as potentially exempt transfers. If you die within seven years of making such a gift, it may be subject to inheritance tax.
• Small gifts exemption: You can give small gifts of up to £250 per person per year, which are exempt from inheritance tax and do not affect your annual gift exemption. These small gifts can be a useful part of your overall gifting strategy.
• Gifting deposits for London property purchases for children
• Balancing generosity to family with your own long-term needs

Our goal is to help you support your family now, ensuring that more of your money goes to your loved ones rather than being lost to tax, and without creating unexpected tax problems later.

3. Trusts, Wills and Estate Structure

Trusts and carefully drafted wills are powerful tools in inheritance tax planning. We work with solicitors to:

• Review your current will from an IHT perspective
• Explore whether trusts could help manage and protect family wealth
• Clarify who receives what and when, in line with your wishes
• Use letters of wishes to guide trustees and executors
• Highlight the importance of having a Lasting Power of Attorney in place to ensure your estate and future decision-making are protected if mental capacity is lost

We ensure your structure is not only tax-efficient but also practical and understandable. Our expert guidance and expertise provide peace of mind that your estate is robustly structured and tax-efficient.

4. Business and Shareholder Inheritance Tax Planning

If you own a company, shares or other business assets, the right structure can dramatically reduce IHT. We provide:

• Guidance on Business Relief, including business property relief (BPR) and agricultural property relief (APR), and when these tax reliefs may apply—including upcoming changes to BPR and APR expected from 2026 and 2027
• Advice on passing shares to family or co-owners
• Support with succession planning and potential exits
• Coordination with your accountant and legal team

Our London inheritance tax specialists understand the realities of business ownership and succession. We offer tailored IHT planning and advice on maximizing available tax relief for business property.

5. Life Insurance and Funding the IHT Bill

Sometimes the most practical approach is ensuring any inheritance tax due can be paid without forcing the sale of key assets, which might otherwise need to be sold to cover taxed amounts owed for inheritance tax. We help you:

• Assess whether life assurance could be appropriate
• Arrange policies written in trust so the payout falls outside your estate
• Plan for liquidity so your beneficiaries can pay IHT without stress

This can be particularly valuable for estates centred around property or a family business.

6. Full Estate Planning Review

For many clients, the best starting point is a comprehensive review of the entire estate. This includes:

• Properties, investments, savings and pensions
• Business interests and shareholdings
• Existing wills, trusts and life policies
• Current and projected inheritance tax exposure (including a review of your use of tax free allowances to minimize your IHT liability)

We then provide a clear, written plan showing recommended actions to reduce IHT and pass on wealth more efficiently.

Understanding Inheritance Tax in the UK

Inheritance tax is normally charged at 40% on the value of your estate above your available allowances. The nil-rate band and other thresholds apply to the total value of all your worldwide assets, not just UK property. If the value of all your worldwide assets exceeds the threshold, your estate may have to pay inheritance tax.

Key points to be aware of:

• Each person has a standard nil-rate band (currently £325,000).
• An additional residence nil-rate band may apply if you leave your main home to direct descendants.
• Married couples and civil partners can often combine allowances.
• Gifts can reduce the value of your estate but are subject to specific rules and time limits.
• Some business and agricultural assets may qualify for substantial IHT reliefs and specific tax relief, which can help reduce the overall tax burden.

Effective planning is important to minimize the tax burden on your estate and protect family wealth. For example, if an individual leaves their main home to their children, they may benefit from both the nil-rate band and the residence nil-rate band, potentially increasing the total amount that can be passed on before inheritance tax is due and reducing the inheritance tax liability.

Because the rules are complex and frequently updated, tailored inheritance tax advice is essential – especially where London property values are involved.

Common Inheritance Tax Questions from London Clients

Many people searching for “inheritance tax advice London” ask similar questions, such as:

• Will my London home take my estate over the inheritance tax threshold?
• How much can I give my children or grandchildren without paying IHT now?
• Should I set up a trust, and if so, what type?
• How does downsizing or moving out of London affect my IHT position?
• Are my pensions included in my estate for inheritance tax purposes?
• Can my business be passed on to family in a tax-efficient way?

Our dedicated team of specialist advisers provides expert advice tailored to your individual circumstances. We answer all of these in straightforward, jargon-free language as part of your advice.

Our Inheritance Tax Advice Process

Step 1 – Free Initial Consultation

We begin with a confidential call or online meeting to:

• Understand your circumstances and goals
• Get an overview of your assets and family situation
• Confirm whether specialist IHT advice is likely to benefit you

There is no obligation to proceed.

Step 2 – Detailed Assessment of Your Estate

If you decide to go ahead, we collect detailed information about your:

• Properties and investments
• Savings and pensions
• Business interests
• Existing wills, trusts and policies

We then estimate your potential inheritance tax liability based on current rules. Our expertise ensures a thorough and accurate assessment of your inheritance tax position.

Step 3 – Tailored Inheritance Tax Plan

You receive a clear, written plan outlining:

• Your current estimated IHT position
• Practical steps to reduce or manage the tax
• Pros and cons of each option
• An implementation roadmap and typical timescales

Our focus is always on strategies that fit your values, family dynamics and desired lifestyle, and are designed to help you pass on wealth efficiently to the next generation.

Step 4 – Implementation and Ongoing Support

We support you in putting the plan into action by:

• Working with your existing solicitor and accountant
• Helping you prioritise actions and paperwork
• Reviewing your position periodically as life or legislation changes to ensure your estate plan continues to protect assets for future generations

Inheritance tax planning is not a one-off event; it’s a process that evolves with you.

Why Choose Our Inheritance Tax Advice in London

• Over a decade of experience in inheritance tax and estate planning
• Our dedicated team of inheritance tax specialists provides expert guidance throughout the process
• Extensive work with London homeowners, landlords and business owners
• Clear, upfront fees – no surprise costs
• Meetings available in central London or online across the UK
• Friendly, plain-English advice with a focus on practical outcomes

Client comment:“We were unaware just how much inheritance tax our children might have faced on our London property. The advice we received helped us update our wills and create a clear, tax-efficient plan for the future.”

Book Your Free Inheritance Tax Consultation in London

If you’re looking for inheritance tax advice in London and want to understand how much IHT your family might face – and what you can do about it – we’re here to help.

Contact us to arrange your free, no-obligation consultation.

Take the first step towards reducing your inheritance tax bill and protecting your family’s wealth.