Inheritance tax receipts reached £5.2bn in the first seven months of the 2025/26 tax year, according to new data published by HM Revenue and Customs.
The figure is £0.2bn higher than the same period last year and reflects a continued rise in receipts over the past two decades.
Stephen Lowe, director at Just Group, said: “Inheritance Tax remains a goldmine for the Treasury and looks set to offer the Chancellor another bumper year with takings driven by rising asset prices, frozen thresholds and a tightening of the exemption regime announced at the Autumn 2024 Budget.
“This trend of record-beating receipts looks set to continue given reforms announced at last year’s Budget are still to be implemented and rumours abound that the IHT regime will once more be in the Chancellor’s revenue-raising Red Box next Wednesday.
“In a changing tax environment, it is important that anyone who is uncertain or concerned that their estate may be subject to Inheritance Tax gets an up-to-date valuation of their estate, including a recent assessment of their property wealth.
“Estate planning is complex and difficult and it’s not made any easier when the rules are changing.
“Many families who wish to manage their estate efficiently will benefit from professional financial advice.”
Will Hale, CEO of Key Advice & Air, said: “These latest figures confirm that IHT receipts are on course to reach a record-breaking £9bn+ in 2025/26.
“Given recent changes already made to IHT, including bringing pensions into the net, one might think that Rachel Reeves may look elsewhere in the upcoming Budget in order to boost the coffers of the Treasury.
“However, with any increase to income tax apparently being ruled out, customers must prepare themselves for a further raid on monies looking to be passed to others.
“Whether changes are to be made to the seven-year rule or we see the introduction of a lifetime cap on gifting, or something completely different, is difficult to predict – as is when any amendments are likely to be phased in.
“Therefore, it is imperative that customers seek expert advice. And, with over £3.7trn in property equity in the hands of the over 55s, it is crucial that this advice considers how products such as modern lifetime mortgages can form part of efficient intergenerational wealth planning.”
