The Office for Budget Responsibility (OBR) has uprated its forecasts for inheritance tax (IHT) receipts following the chancellor’s move to charge pensions and certain farms under the tax.
Releasing its forecast documents this afternoon following chancellor Rachel Reeves’s maiden Spring Statement, the OBR said: ‘Inheritance tax (IHT) receipts are forecast to raise £8.4bn in 2024-25, an 11.6% increase on 2023-24 largely driven by higher asset prices in the second half of 2024, combined with frozen tax-free thresholds,’ the OBR said.
‘Receipts are then forecast to rise to £14.3bn in 2029-30,’ it said.
