The Conservative Party has revealed its recommendations to axe inheritance tax and to have a lighter touch to pension regulation. These recommendations, along with others, are detailed in the economic competitiveness report, which has recently been published.
Also suggested, is the removal of mortgage regulation, as the Conservative Party believes that it is the lenders who take the risk, not the borrowers. Inheritance tax was originally enforced to target the rich, but more commonly, it is the ordinary homeowners who have to pay the tax, as the rich receive expert advice on avoiding it.
The report also includes a proposal put forward by the Co-chairman of the group, John Redwood, to enable sophisticated investors to sign a disclaimer and then buy an unregulated product at their own risk. Other items include: ending forced annuitisation, flexible lifetime saving accounts, and encouraging the use of final salary pension schemes.
Our view
All these ideas will appeal to the voter, the question is whether revenue can be raised easily to replace these promises. We guess, we will only see if Labour is ousted.
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