Financial advisers feel the effects of Reeves’ final tax raid as Healey’s Budget looms

Financial advisers are feeling the effects of Rachel Reeves’ final Budget, as families brace for billions of pounds of tax rises regardless of what chancellor John Healey announces at the despatch box later this week. From April next year, the sweeping shake up to the tax system announced by Reeves in 2025 will come into force. Financial advice firms say they have been hit by a deluge of requests and inquiries as Brits scramble to prepare. Two thirds of firms said they had seen an increase in enquiries over inheritance tax (IHT) and estate planning, according to the Personal Investment Management Financial Advice Association (PIMFA). Under Reeves’ overhaul of IHT, pensions will be pulled into the tax’s scope, meaning families who inherit unspent pots will be required to pay tax on them. The Office for Budget Responsibility (OBR), estimates it to raise £1.5bn annually by 2030. Advisers have previously warned the change, coupled with frozen tax thresholds, will subject ordi