Conservative leader Kemi Badenoch has promised to scrap inheritance tax on family homes if her party wins the next general election.

Badenoch said the Conservatives will also allow couples leave an extra £1m tax-free to their children if the party is elected into government.

She made the promises in a speech at the Conservative Party conference today.

Badenoch said: “We are not abolishing inheritance tax at this conference. Government is about tough choices. Conservatives will not announce a tax cut without telling you how we are going to pay for it.

“But, just because I can’t give you everything you want, doesn’t mean I can’t give you anything you want.

“The Labour Party think it is selfish to pass on what you have earned to your children. We don’t.

“The Conservatives are and always have been the party of home ownership.

“Passing on your home to your family is one of the most human instincts of all. So, conference, the next Conservative government will legislate so nobody will ever pay inheritance tax on their family home.”

The measure got a standing ovation from the party faithful.

Badenoch said the number of families paying inheritance tax would fall by more than half under her proposed measures, and that she would stop the tax altogether as soon as the country could afford it.

The Conservative party also has Stamp Duty in its crosshairs, and has pledged to axe the tax on main homes if reelected.

Timothy Douglas, head of policy and campaigns at Propertymark, said: “A strong, stable and accessible housing market is vital, particularly as people continue to face pressures around affordability, supply and the cost of moving home. The announcements at Conservative Party conference put taxation and the cost of doing business firmly in the spotlight.

“The commitment to remove inheritance tax from the family home will also be welcomed by homeowners and families planning for the future. For many, the family home is their most significant asset, so providing greater certainty around passing it on will be important. The detail will matter, and any changes must be clear, workable and considered alongside the wider taxation and housing policy landscape.”