Inheritance Tax at 40% is due on the portion of a person’s estate that exceeds £325,000. This can be reduced to 36% if 10% or more of the estate is given to charity.
There are other ways to reduce your liability for Inheritance Tax by transfering or gifting money before death. 28% of people planning to retire this year think they’ll leave an inheritance, compared to 52% in 2001. Instead, people are now choosing to financially support their loved ones while they are alive.
The article attached explains how gifts can reduce your liability for Inheritance Tax.