Private Wealth: Key reflections from the first half of 2026

Inheritance tax planning feels more personal than ever.

For many families, Inheritance Tax planning has moved from a future consideration to an active need now. From 6 April 2026, the rules surrounding Agricultural Property Relief (APR) and Business Property Relief (BPR) changed significantly. Full relief now applies only to the first £2.5 million of qualifying agricultural and business assets, with relief above that amount available at 50%. In practical terms, this can create an effective 20% Inheritance Tax exposure on qualifying assets above the allowance.

These rules can affect family farms, owner-managed businesses and assets built up over many years with the hope that they will pass smoothly to the next generation. If you have not reviewed your position recently, it is worth doing so now. Early advice can make a meaningful difference, particularly where there are succession plans, trusts, partnership arrangements or competing family priorities to consider.

Further changes are expected from 6 April 2027, when many pensions that currently sit outside an individual’s estate will be included in the value of the estate for IHT, with unused pension funds and certain death benefits potentially subject to tax of up to 40%. This will ultimately lead to more estates becoming liable to IHT.

You can find more information on this here. This makes it particularly important to review pension nominations, death benefits and how these sit alongside your Will and wider estate plan. A nomination made years ago may no longer reflect your family circumstances, your wishes or the tax position your loved ones may face.

Estate administration will also become more complex with pension scheme administrators now forming a key part of the process.

Planning in a digital age

We are also seeing growing interest in how technology may change the way personal legal documents are created and stored. The Wills Bill 2025 has paved the way for electronic Wills, with safeguards intended to protect against fraud and undue influence. However, electronic Wills will only become valid in England and Wales once the Government approves the necessary reforms, which was expected in 2026. But until then, traditional paper Wills remain the legally binding option.

The Powers of Attorney Act 2023 is also expected to modernise the creation and registration of Lasting Powers of Attorney, but no launch date has been confirmed yet. For anyone considering putting LPAs in place, do not wait for the system to change if you need protection now. LPAs give people you trust the ability to step in if you cannot make decisions yourself, and delay can leave families in a difficult position.

Artificial Intelligence: Useful support, but not a substitute for advice

Artificial Intelligence has become part of everyday conversation, and it is easy to see why people are curious about whether it can help with estate planning. For someone with straightforward circumstances, AI may help organise information, prompt useful questions or provide a starting point.

However, a Will is one of the most important documents a person will ever make. It needs to reflect not only what someone wants to happen, but also the legal and practical consequences of those choices. AI cannot properly assess family dynamics, identify risks, advise on Inheritance Tax, review your business interests, or recognise where a decision may increase the likelihood of a dispute.

Professional legal advice ensures that a will is properly drafted, legally valid, and suited to an individual’s specific needs. Our team can ask the right questions, explain the implications of different decisions, and help avoid costly mistakes that may only come to light after death.

Reducing the risk of disputes

Estate planning is about passing on wealth, but it is also about protecting family relationships. As family structures become more complex and more people rely on inheritance for financial security, disagreements over Wills and estates can become more likely. Blended families, informal promises, unequal lifetime support and different expectations between generations can all create tension if intentions are not clearly recorded.

Open communication can make a real difference. It is not always easy, and it will not be right in every family situation, but explaining the reasons behind key decisions can help manage expectations and reduce misunderstandings later. A professionally prepared Will, supported, if appropriate, by a Letter of Wishes or a Statement of Reasons, can provide valuable context when it is needed most.

The best planning is personal. It should be shaped around your family, your assets, your concerns and your aspirations for the future.

If 2026 has prompted you to think about your arrangements, the coming months are a good opportunity to review whether they still reflect your wishes and put plans in place with greater peace of mind.

If you would like to discuss your circumstances or review your existing arrangements, we would be pleased to help. By taking the time to plan today, you can make things clearer and easier for the people who matter most tomorrow.