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Inheritance Tax

Asked by Andrew RosindellReform UKTreasuryTabled Answered 28 April 2025UIN 44419

The question

To ask the Chancellor of the Exchequer, whether life insurance policies written in trust will be subject to taxation following the changes made to Inheritance Tax rules at the Autumn Budget 2024.

Answered by James Murray

As announced at Autumn Budget 2024, from 6 April 2027 most unused pension funds and death benefits will be included within the value of a person’s estate for inheritance tax purposes. No changes were announced to the taxation of life assurance policies written into trust.

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