{"id":192725,"date":"2025-12-20T02:00:20","date_gmt":"2025-12-20T02:00:20","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/192725\/"},"modified":"2025-12-20T02:00:20","modified_gmt":"2025-12-20T02:00:20","slug":"hmrc-rake-in-an-extra-5-8bn-as-inheritance-tax-grows-as-treasurys-most-dependable-money-spinner","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/192725\/","title":{"rendered":"HMRC rake in an extra \u00a35.8bn as inheritance tax grows as Treasury’s ‘most dependable money-spinner’"},"content":{"rendered":"

The Treasury collected \u00a35.8billion in inheritance tax during the first eight months of the current financial year, according to fresh data released by HMRC this morning.<\/p>\n

The figures, covering April to November 2025, mark an \u00a384million increase compared with the same period in 2024\/25, when receipts stood at \u00a35.7billion.<\/p>\n

This represents a one per cent rise year-on-year, putting the Exchequer on course for another record-breaking haul from the levy.<\/p>\n

The latest statistics underscore how inheritance tax has become an increasingly reliable source of government revenue, with experts suggesting the tax is steadily capturing a growing share of household wealth.<\/p>\n

Shaun Moore, tax and financial planning expert at Quilter, said the figures reflect a tax system increasingly shaped by deliberate policy decisions rather than temporary measures.<\/p>\n

“With the nil-rate band still fixed at \u00a3325,000, rising property values and accumulated savings mean more estates are being drawn into IHT, often among families who would not traditionally consider themselves wealthy,” he said.<\/p>\n

Mr Moore noted that what was previously considered a levy affecting only a small minority is gradually becoming a wider concern for ordinary households.<\/p>\n

The continuation of frozen thresholds at the recent Budget means this trend is now firmly established, with the tax’s reach expanding without any formal rate increases.<\/p>\n

\"Couple<\/p>\n

Inheritance tax brings in \u00a35.8billion for HMRC<\/p>\n

| GETTY <\/p>\n

The Office for Budget Responsibility projects inheritance tax will generate \u00a38.7billion across the full 2025-26 financial year, representing a 4.5 per cent increase on the previous year.<\/p>\n

Looking further ahead, receipts are expected to climb substantially over the coming years, reaching \u00a314.5billion by 2030-31.<\/p>\n

This growth will be driven by rising house and equity prices, combined with the effects of policies announced in the Autumn Budget 2024.<\/p>\n

LATEST DEVELOPMENTS:<\/p>\n

The pressure on households is set to intensify from 2027, when pensions will be brought within the scope of inheritance tax for the first time.<\/p>\n

Mr Moore warned that pensions now represent one of the largest components of wealth for many families, meaning future liabilities could prove considerably larger than anticipated.<\/p>\n

Stephen Lowe, director at retirement specialist Just Group, described inheritance tax as “a quiet but powerful revenue engine for the Treasury” that is on track for another bumper year.<\/p>\n

\"PersonInheritance tax can be reduced by giving gifts – but rules do apply | GETTY\"ManLeaving money to charity is completely free from inheritance tax | GETTY<\/p>\n

“With record-breaking takings rolling in and last year’s Budget reforms still feeding through, Inheritance Tax is securing its spot as one of the Treasury’s most dependable money-spinners,” he said.<\/p>\n

Mr Lowe urged anyone concerned their estate may fall within the scope of the levy to obtain an up-to-date valuation, particularly of their property holdings.<\/p>\n

He added that estate planning has become increasingly complex as rules continue to shift, suggesting many families would benefit from seeking professional financial advice to manage their affairs efficiently.<\/p>\n","protected":false},"excerpt":{"rendered":"The Treasury collected \u00a35.8billion in inheritance tax during the first eight months of the current financial year, according…\n","protected":false},"author":2,"featured_media":192726,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[138,246,18262,300,111,139,69,244,245,51066],"class_list":{"0":"post-192725","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-business","9":"tag-finance","10":"tag-inheritance-tax","11":"tag-money","12":"tag-new-zealand","13":"tag-newzealand","14":"tag-nz","15":"tag-personal-finance","16":"tag-personalfinance","17":"tag-sgg"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/192725","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=192725"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/192725\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/192726"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=192725"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=192725"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=192725"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}