{"id":126127,"date":"2026-09-30T07:00:00","date_gmt":"2026-09-30T06:00:00","guid":{"rendered":"https:\/\/en.econostrum.info\/uk\/?p=126127"},"modified":"2026-09-30T00:33:41","modified_gmt":"2026-09-29T23:33:41","slug":"major-pension-update-expected-this-autumn","status":"publish","type":"post","link":"https:\/\/en.econostrum.info\/uk\/major-pension-update-expected-this-autumn\/","title":{"rendered":"Major Pension Update Expected this Autumn as New Tax Rules Move Closer"},"content":{"rendered":"\n

Financial planners have warned that many families will need to keep clearer records of pension arrangements because personal representatives<\/strong> will be required to identify pension schemes held by someone who has died and include their value when assessing an estate.<\/p>\n\n\n\n

The change means certain unused pension funds and death benefits will become part of the inheritance tax system. According to financial planning firm Hymans Robertson<\/strong>, the full impact of the rules is not yet known because further government guidance has not been released.<\/p>\n\n\n\n

Further HMRC Guidance Expected as Pension Rules Approach<\/strong><\/h2>\n\n\n\n

HMRC has been publishing technical notes<\/a> about the upcoming changes, with additional guidance planned before the new rules begin. According to Angela Davis<\/strong>, a chartered financial planner at Hymans Robertson<\/a>, a further technical note<\/strong> is expected in autumn covering areas including international aspects, intestacy, charities and trusts.<\/p>\n\n\n\n

The firm said that until these details are available, it remains unclear how some parts of the changes will affect pension holders and their families. Full guidance and supporting materials are expected in spring 2027<\/strong>.<\/p>\n\n\n\n

Under the current inheritance tax system, individuals can pass on assets up to a set allowance without paying the tax. The standard allowance<\/strong> is \u00a3325,000, while an additional allowance of \u00a3175,000 may apply when a main residence is passed to a direct descendant. Unused allowances can also be transferred between spouses or civil partners.<\/p>\n\n\n\n

Inheritance tax is charged at 40 per cent on the value of an estate above the available allowances. HMRC has said that more than 90 per cent of estates will still not pay inheritance tax<\/a>, including on pension funds.<\/p>\n\n\n\n

The department said it wants to help people understand how taxation of unused pension funds <\/strong>and death benefits will operate, adding that further guidance will be published before the changes take effect.<\/p>\n\n\n\n

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\ud83d\udea8 From April 2027 your unused pension becomes part of your estate for inheritance tax.

For decades, pensions were the most efficient way to pass wealth to your family, sitting completely outside your estate.

That ends for deaths on or after 6 April 2027.

The key points:

-\u2026 pic.twitter.com\/km6mnXu8c7<\/a><\/p>— Jared Ashmole (@InvestorJared) September 29, 2026<\/a><\/blockquote>