Adviser: Peter Rose APFS, Chartered Financial Planner & Pensions Specialist · Inheritance tax planning, estate planning, pension IHT · All client details have been anonymised.
Situation
A couple in their late sixties came to Aetas Wealth having been referred by their solicitor. Both were retired professionals with three adult children and four grandchildren. Their estate consisted of the family home, investment portfolios, ISAs, cash savings and two defined contribution pension pots that had not been drawn on. They had Wills in place but these had been written over fifteen years earlier. Neither had considered what the combined estate might look like from an inheritance tax perspective, and neither had factored in the Finance Act 2026 pension changes.
Challenge
When Aetas Wealth mapped the combined estate, both the nil-rate band and residence nil-rate band would be exhausted, with substantial taxable value remaining. The pension pots — previously outside the estate for IHT purposes — would come within scope from April 2027, adding further to the taxable estate. The couple wanted to ensure a significant portion of what they had built passed to their children and grandchildren, but also needed to ensure their own income and security came first.
Approach
The work began with a full estate map and cash flow modelling to establish what was genuinely surplus to their needs. From that foundation, the work covered four areas: a structured annual gifting programme using both spouses' annual exemptions; Wills reviewed and updated by the solicitor; pension drawdown sequencing reviewed in light of the April 2027 changes; and AIM-listed investment for Business Relief considered for a portion of the surplus investment portfolio.
Outcome
The couple left with a clear picture of their estate for the first time. Their Wills had been updated. Their pension planning had been restructured. A gifting programme was in place. And they had a written financial plan covering their own income needs and the estate strategy together. They described the greatest value as simply knowing: knowing what the exposure was, knowing what they could do about it, and knowing their plan was consistent with their own financial security.
Ready to talk?
If you have not reviewed your estate planning recently, or if you are uncertain how the Finance Act 2026 pension changes affect your position, the first conversation is free and carries no obligation.
Get in touchRelated: Inheritance tax planning · Pension IHT 2027 · IHT is rising
This case study is anonymised. Names and identifying information have been changed. It is intended to illustrate how financial planning can help and does not constitute advice for your own situation. Aetas Wealth is a trading style of Insight Financial Associates Limited, authorised and regulated by the Financial Conduct Authority (FRN 458421). Companies House 05054886. The value of investments can fall as well as rise. The FCA does not regulate Wills, Trusts or Tax advice.