Government Says There Are No Plans for a 10% Inheritance Levy

The Government has said it has no plans to introduce a blanket 10% levy on inherited estates to help fund social care, following reports that such a proposal was being considered.

The speculation followed renewed attention on a proposal backed by Andy Burnham when he was Health Secretary in 2010. The proposal suggested introducing a 10% levy on estates after death to help fund a National Care Service, and has resurfaced as part of the wider debate over how to pay for adult social care.

However, a Government spokesperson has now said there are no current plans to introduce such a levy. Ministers have stressed that the reports do not reflect current government policy.

The long-term funding of adult social care remains a significant challenge for successive governments, and different approaches continue to be debated. However, no changes to Inheritance Tax or the introduction of a new 10% levy have been announced.

For families, nothing changes today. Inheritance Tax rules remain in place, and there are no confirmed plans to introduce a blanket 10% charge on inherited estates. While future reforms to social care funding remain possible, they would require a formal government announcement before taking effect.