Inheritance tax (IHT) receipts are climbing sharply. HMRC collected nearly £190 million more between April and August this year than in the same period last year – a rise of around 5%. That’s not a coincidence. It’s the inevitable result of frozen thresholds, rising property values, and tightening rules.

The nil-rate band has been stuck at £325,000 since 2009. Meanwhile, the average UK home has surged well beyond that. Add in pension pots, savings, and investments, and it’s no wonder more “ordinary” families are being dragged into the IHT net.

This is no longer just a tax on the very wealthy. Increasingly, middle-class families find themselves facing the 40% IHT charge, often at the worst possible time – following the death of a loved one.

So, what should you be doing?
1) Know your numbers. Work out the potential IHT bill on your estate if you died tomorrow. Awareness is the first step.
2) Use your allowances. From annual gifting to the residence nil-rate band, every exemption counts.
3) Think long-term. Trusts, life insurance and succession strategies can reduce or even eliminate exposure – but only if planned in advance.

Doing nothing is the biggest risk of all. HMRC is quietly benefiting from families who fail to plan.

As the Inheritance Guru, I help families turn a looming tax bill into a manageable even avoidable issue. With receipts at record highs, there has never been a more urgent time to review your estate.