Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

Family-owned firms call on Chancellor to rethink inheritance tax overhaul

by December 17, 2024
December 17, 2024
Family-owned firms call on Chancellor to rethink inheritance tax overhaul

The owners of tens of thousands of family-run businesses and farms have urged Chancellor Rachel Reeves to revisit the inheritance tax changes announced in her recent Budget, warning they could trigger forced sales, job losses, and a marked reduction in investment.

In an open letter sent over the weekend, Family Business UK—representing 32 trade associations and about 160,000 family enterprises—called on Reeves to consult more widely and consider the longer-term fallout of the new measures.

These changes, set to take effect from August 2026, tighten inheritance tax relief so that family businesses passing on more than £1 million of assets will face a 20 per cent levy. The Office for Budget Responsibility estimates this will raise £520 million by 2029-30. However, Family Business UK argues the measures could lead to a £1.25 billion net fiscal loss due to diminished activity and job cuts.

Neil Davy, the organisation’s chief executive, described the reforms as a “hammer blow” to enterprises that often form the backbone of local economies. “In many cases, heirs may have no option but to sell up rather than continue running the business,” he said. “This risks driving valuable British assets and family farms into the hands of overseas buyers who pay little to no tax here.”

The letter also noted that some family business owners have postponed investment and frozen recruitment, as staff grow anxious about future impacts on their livelihoods.

Family Business UK is calling on the Chancellor to initiate a formal consultation on the policy, seeking a constructive solution that preserves the long-term interests of these enterprises and the jobs and investment they support.

While Labour maintains it must restore public finances after inheriting a multibillion-pound funding gap from the previous government, the letter’s signatories insist that tax reforms should not come at the expense of Britain’s family-owned economy.

Read more:
Family-owned firms call on Chancellor to rethink inheritance tax overhaul

0
FacebookTwitterGoogle +Pinterest
previous post
Top Republican touts ‘real motivation’ behind House DOGE Caucus’ mission before first meeting
next post
Revolut’s earliest crowdfunders set to pocket life-changing returns

You may also like

Brewdog founder slams the UK as ‘least work-oriented’...

January 15, 2025

UK private sector employment hits decade low amid...

February 12, 2024

IWG Founder Sells £68.5m in Shares to Repay...

May 29, 2024

Securing Critical and Sensitive Information for any Business

February 9, 2024

Getting to Know You: Gareth Lloyd, Co-Founder, White...

October 17, 2023

The Role and Benefits of AI in Test...

April 26, 2024

Overcoming content challenges for SMEs: tips for resource...

April 28, 2023

Boxing legend Chris Eubank launches Trust Huddle, set...

November 11, 2024

Spring statement 2025 key points: what businesses need...

March 26, 2025

Five months of travel chaos loom as Avanti...

January 3, 2025

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Trump ally stands firm against ‘big, beautiful bill’ despite pressure: ‘It’ll completely backfire’

      June 8, 2025
    • Rubio condemns assassination attempt on Colombian presidential candidate Miguel Uribe

      June 8, 2025
    • Obama WH physician says Biden doc should have performed cognitive test

      June 8, 2025
    • Trump warns of ‘serious consequences’ if Elon Musk funds Democrats

      June 7, 2025
    • Musk jokes about reconsidering stance on Big Beautiful Bill after Schiff’s praise

      June 7, 2025
    • Musk deletes explosive posts about Trump and Epstein files

      June 7, 2025

    Categories

    • Business (8,152)
    • Investing (2,019)
    • Politics (15,571)
    • Stocks (3,136)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved