Inheritance Tax (IHT) affects a rapidly growing number of people, most of whom would prefer their hard-earned assets to pass to their families rather than The Chancellor when they die.

Yet a large proportion of their wealth or estate, including the family home, investments, insurance policies not in trust or even family heirlooms, might have to be sold in order to meet the IHT liability on death if proper steps have not been taken to help protect their wealth.

There was a time when IHT was solely the concern of the very wealthy. These days have gone. The major contributory factor has been the dramatic rise in house prices in the last decade.

For the 2024/25 tax year the Nil-rate band is set at the first £325,000 of an individual's estate and is therefore not liable to Inheritance Tax. For married couples and registered civil partners it is currently £650,000, where the full unused allowance has been passed to the surviving spouse. Anything in excess of this amount is potentially taxed at 40%.

Trusts are not regulated by the Financial Conduct Authority.