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HMRC Tightens Inheritance Tax Property Valuations With 23.5% Rise in VOA Referrals

The surge signals stricter, tech-driven checks on probate house values.

Overview

  • HMRC referrals to the Valuation Office Agency, which reviews property values for tax, rose 23.5% to 14,631 in the year to September 30, 2025, according to research reported Friday.
  • Official figures show inheritance tax receipts reached £8.5 billion in 2025/26, a £200 million increase on the previous year.
  • HMRC is using artificial intelligence and data matching to spot gaps in probate valuations, leading solicitors to report more frequent VOA enquiries.
  • Lawyers warn executors who understate a property’s value face extra tax, interest, and possible personal liability for errors on inheritance tax returns.
  • Cooling London prices and weaker sales activity, including Foxtons’ 35% drop in first‑quarter sales revenue, are shifting where disputes arise and making accurate valuations harder.