HSBC LIFE UK ENHANCES ADVISER SUPPORT WITH IHT CALCULATOR
- Advisers can calculate IHT liabilities based on future estate value and gifting plans
Recent HMRC data* shows that total IHT (inheritance tax) receipts for April 2023 to March 2024 climbed to £7.5 billion – £0.4bn higher than the same period last year. Government forecasts also estimate IHT receipts will grow to £8.4 billion in the 27/28 tax year**.
As a result of these increases and to enhance the support it provides for advisers and their clients, HSBC Life (UK) Limited (“HSBC Life (UK)”) is launching an Inheritance Tax (IHT) calculator designed to estimate current and future client liabilities including gifting plans and increased asset values.
Advisers can select a range of options including current IHT liabilities for clients, future liabilities based on increased asset values as well as options including gifts already given and future gifting plans.
Guidance in the calculator also includes information on IHT asset reliefs such as Business Relief and Agricultural Relief as well as exempt gifts including annual exemptions, small gifts exemptions, normal expenditure out of income and marriage gifts exemptions.
Mark Lambert, Head of Onshore Bond Distribution, HSBC Life (UK) Ltd, said: “Advisers are seeing increasing demand for support with tax planning from clients and that increase will no doubt continue given the freeze in IHT nil rate bands and the growing number of clients becoming higher rate and additional rate taxpayers.
“One of HSBC Life (UK)’s strategic priorities is to deliver good outcomes for clients by supporting advisers. Our new IHT calculator will help provide guidance for them and their clients on tax planning and potential future liabilities.”
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Notes to Editors:
- IHT Calculator
- * HMRC tax receipts and National Insurance contributions for the UK (monthly bulletin) – GOV.UK (www.gov.uk)
- ** https://obr.uk/forecasts-in-depth/tax-by-tax-spend-by-spend/inheritance-tax/
Media enquiries to:
HSBC Life
Ellis Ford ellis.ford@hsbc.com
Citigate Dewe Rogerson
Seb Zickus +44 (0)20 7025 6494 seb.zickus@citigatedewerogerson.com
About HSBC Life (UK) Limited
HSBC Life (UK) Limited is part of the HSBC Group, one of the world’s largest banking and financial services organisations. HSBC Group serve more than 40 million customers worldwide through a network that covers 64 countries and territories in its geographical regions: Europe, Asia, North America, Latin America, and Middle East and North Africa. We aim to be present where the growth is, enabling businesses to thrive and economies to prosper, and, ultimately, helping people to fulfil their hopes and realise their ambitions.
HSBC Life (UK) Limited was founded in the UK in 1988 and offers insurance services to meet protection and investment management needs. Our services and solutions are available through HSBC banking channels and selected third parties, including advisers and aggregators. For more information on HSBC Life (UK) Limited range of services go to https://www.life.hsbc.co.uk/ and for more information on HSBC please go to https://www.hsbc.com
About HSBC Life
HSBC Life is the insurance business of the HSBC Group. We manufacture life and health insurance products in Hong Kong, mainland China, Singapore, India*, France, UK, Malta, Mexico, and Argentina. HSBC Life offers a range of insurance products to meet the protection, education, retirement, wealth growth and legacy planning needs of our customers. Our services and products are available through HSBC banking channels, selected third parties, including financial advisers and aggregators. *Through our joint venture, Canara HSBC OBC Life Insurance.
HSBC Holdings plc
HSBC Holdings plc, the parent company of HSBC, is headquartered in London. HSBC serves customers worldwide from offices in 62 countries and territories. With assets of US$3,039bn at 31 December 2023, HSBC is one of the world’s largest banking and financial services organisations.
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