Changes to the law in relation to pensions and Inheritance Tax is due to come in to force in April 2026. This means that now is a good time to review the provisions of an existing Will or to put a new Will in place.
From the 6th April 2027, pension funds and pension death benefits will be considered as part of a deceased person’s estate for Inheritance Tax purposes. This changes the historical tax-efficient nature of pension funds, whereby they generally sat outside of the estate and were not considered for Inheritance Tax purposes.
It is therefore important to review your Will to ensure your estate will still pass in accordance with your wishes. As part of this you can review your pension nominations and consider how that will be impacted by these new rules. Our experts at Johnson Astills can guide you with this and accordingly aid you with the preparation of a new Will or Codicil.
Reviewing your Will provides you with the opportunity to:-
- Ensure that your wishes are up to date
- Review your pensions and beneficiary nominations
- Consider your Inheritance Tax position, and what this will mean for your family members on your death.
If you would like to review or draft a new Will in light of the above changes, our expert solicitors at Johnson Astills would be pleased to assist you. For further information, or to arrange an initial appointment, please call our Leicester Office on 0116 255 4855 or our Loughborough Office on 01509 610 312, or fill in our free online enquiry form and one of our friendly team members will be in touch.
