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Britons are being cautioned about a surge in pension scams as fraudsters take advantage of confusion surrounding upcoming changes to the inheritance tax (IHT) system. With new regulations set to take effect in April next year, any funds remaining in defined contribution pensions after an individual's death will be subject to IHT. This includes most workplace and private pensions.
Criminals are reportedly targeting vulnerable individuals by promoting overseas investment schemes that promise to shield their savings from the impending tax implications. These scammers present their offers as a "safe haven," exploiting the anxiety many feel regarding the new IHT rules.
As the date for the new regulations approaches, it is crucial for individuals to remain vigilant and sceptical of unsolicited offers related to their pensions. Authorities are urging the public to thoroughly research any investment opportunities and to consult with trusted financial advisors before making decisions regarding their pension funds.
The warning comes as part of a broader effort to combat financial fraud, which has seen an increase in recent years. The government and financial institutions are working together to raise awareness and provide resources to help individuals protect their savings from scams.
Source: www.theguardian.com – https://www.theguardian.com/money/2026/may/10/pension-scams-inheritance-tax-loopholes-iht-rules-savings