Inheritance tax (IHT) receipts reached £7.1 billion from April 2025 to Jan 2026, according to HM Revenue & Customs (HMRC) data released this morning. That is £100m higher than the same period last year.

The Office for Budget Responsibility forecast that IHT will raise £9.1billion in the current tax year. Combined with measures confirmed in recent Budgets and legislation, this suggests the government remains on track to meet that target with two months still to go.

But rising receipts come with increased public criticism that the inheritance tax system is unfairly affecting the middle class – a group historically seen as outside the reach of death duties.

Wealth Club Investment Manager Isaac Stell commented: “The government has made a pig’s ear of inheritance tax reform. Crackdowns on farmers and business owners proved unpopular and ultimately unworkable, forcing a partial retreat on relief thresholds. But years of frozen allowances, combined with new rules that will bring pensions into the scope of IHT, mean more ordinary families, not just the wealthy, are being pulled into the tax net.

“At the same time, HMRC’s tougher enforcement is adding further pressure at what is already a difficult time for bereaved families.”

Key Advice & Air chief executive Will Hale said: “The year-on-year growth in IHT receipts may have slowed, with receipts for April 25 to Jan 26 £100m higher than the same period last year. However, the direction of travel remains clear. Increasing the tax take on people’s wealth at death continues to be viewed by this government as a key strategy as they seek to address the pressures facing public finances.”