Overview
- Financial planners, in reporting across May 23–24, 2026, urged people to create or update wills and Lasting Powers of Attorney now because HMRC is expected to treat pensions as part of estates for inheritance tax from April 2027.
- A Lasting Power of Attorney is a standard legal form that costs about £92 and lets someone manage your money or health decisions if you lose capacity.
- Advisers warned common mistakes include married couples assuming all assets pass automatically to a spouse and unmarried partners failing to make wills, which can leave loved ones without access to pensions or other assets.
- Experts cautioned against informal fixes such as transferring property without checking the seven‑year rule or creating gifts with reservation of benefits, because those moves can fail to reduce IHT and create unintended tax bills.
- If people delay, more families could face bigger inheritance tax bills and disputes over who inherits, so advisers say seeking professional estate planning now could prevent costly legal and financial consequences after the rule change.