The government’s earnings from inheritance tax (IHT) increased by 3% to £5.2 billion from April to October compared to £5bn in the same seven-month period last year.
Official figures from HM Revenue & Customs today also show that receipts from capital gains tax (CGT) rose by 5% to £1.4bn over the same timeframe.
The revenue from stamp duty was up by 21%, according to the data.
Winkworth Sherwood legal director Samantha Warner says: “IHT revenues continue to steadily rise due to the prolonged freeze on IHT thresholds.
“The nil-rate band (NRB) and the residence nil-rate band (RNRB) have not been adjusted for inflation or rising property values, which means more estates are becoming liable for the tax as asset values increase.
“It remains a persistent and unavoidable inheritance tax planning issue, and one that should not be ignored.”
Quilter tax and financial planning expert Rachael Griffin says: “HMRC’s latest tax receipts offer a stark reminder of how much of the heavy lifting in the tax system is now being done quietly and without ministers having to announce a headline rise in taxes.
“This is the final snapshot of public finances before the chancellor delivers the budget next week.”
She says that a decade of frozen IHT thresholds and rising house prices mean that more people who “may not feel hugely wealthy” are being caught by the tax.
“This upward drift is only set to accelerate once pensions become liable to IHT from 2027, which will turbocharge future receipts and draw significantly more households into scope.
“Against this backdrop, rumours of a lifetime gifting cap take on new weight.
“Such a change would represent a major structural shift and could introduce significant complexity into intergenerational financial planning.”
Evelyn Partners head of estate planning Ian Dyall says: “While IHT receipts continue their predictable upward trend, IHT reliefs have not featured prominently in the months of speculation around possible tax-raising measures anticipated in the Autumn Budget.
“After all, IHT reforms announced at the last Budget, including bringing unspent pension pots into the scope of IHT from April 2027 and slashing agricultural and business property reliefs from next April, have yet to take effect.
“The UK’s rather complex gifting regime did appear in early Budget speculation but whether or not the chancellor decides to review it, families should do their own review – at least those building up significant IHT liabilities.”
