From April 2026, the UK government will cap full Business Property Relief (BPR) from Inheritance Tax (IHT) at £1 million per person. Any business assets above this threshold will only qualify for 50% relief, significantly increasing the IHT liability on death.
For many business owners, this isn’t just a tax change – it’s a business continuity threat. If your estate faces a six-figure tax bill, your successors may be forced to sell shares, assets, or even the business itself to settle it.
This reform shifts IHT from a distant concern to an urgent planning priority. If your business is valued above £1 million, you could be exposed to a substantial tax charge — one that could disrupt succession, dilute ownership, or damage long-term value.
At Burgis & Bullock, we’re urging business owners to act NOW – not later.
Key actions to take now:
- Commission a professional business valuation
- Review your estate and succession plans
- Explore lifetime gifting or trust structures
- Consider restructuring ownership
The earlier you act, the more options you have. Don’t let tax reform dictate your legacy.
If you have any queries, please contact your local B&B office https://www.burgisbullock.com/contact-us/
are you ready for the next phase of making tax digital?