Giving while you live — the normal expenditure exemption
With the April 2027 pension inheritance tax change now confirmed, Fidelity looks at how the 'gifts from normal expenditure' exemption can help clients pass on wealth tax-efficiently while they're still around to see it used. To qualify, gifts must be part of a regular pattern (annual, monthly, or tied to a specific purpose like school fees), come from income rather than capital, and not reduce your standard of living.
Where the conditions are met, there's no cap on the amount that can be gifted and immediately exempt from IHT — a substantially more generous allowance than the £3,000 annual exemption most people know about.
Original commentary by Fidelity, published in the 2plan Wealth Management Newsletter, Edition 50 (April 2026). Tax rules can change and specific outcomes depend on individual circumstances.More families caught by inheritance tax — trusts and protection
Once seen as a tax on the very wealthy, IHT is now touching many more families as frozen thresholds and rising asset values pull more estates into charge. Zurich looks at how a mix of trusts and life insurance written in trust can help — payouts from a life policy held in trust typically fall outside the estate for IHT purposes and pass directly to beneficiaries without going through probate.
The point Zurich makes: this doesn't reduce the tax bill itself, but it can provide a lump sum to pay it, which makes settling the estate much easier for grieving family members. Trusts and protection aren't right for every situation, but they're a genuine option worth exploring early.
Original commentary by Zurich, published in the 2plan Wealth Management Newsletter, Edition 50 (April 2026). Estate planning and trusts are not regulated by the Financial Conduct Authority.Time in the market beats timing the market
LGT Wealth Management makes the case for staying invested through volatility using stark numbers from BlackRock: an investor who stayed fully invested from January 2006 to December 2025 would have finished with $806,201, versus $497,945 for one who missed just the 5 best days of the market, and $358,660 for one who missed the 10 best days.
The uncomfortable truth is that the market's best days often cluster right after the worst ones — meaning investors who sell out during volatility miss the recovery when it comes. LGT quotes Peter Lynch: more money has been lost by investors trying to anticipate corrections than in the corrections themselves.
Original commentary by LGT Wealth Management, published in the 2plan Wealth Management Newsletter, Edition 50 (April 2026). BlackRock data cited spans 1 January 2006 to 31 December 2025. Past performance is not a guide to future returns.The silent tax-grab from frozen thresholds
Fiscal drag — where frozen tax thresholds mean more people are pulled into higher tax bands over time as their wages and asset values rise — is quietly costing UK households more than most headline tax rises. Quilter walks through three specific areas to watch: potential caps on National Insurance relief through salary sacrifice, further tightening of income tax thresholds, and the interaction between IHT and pension planning.
The take-home point: tax, savings, pensions and inheritance planning are increasingly intertwined, and looking at any one in isolation is likely to leave money on the table. A holistic review with your adviser is more valuable than ever.
Original commentary by Quilter, published in the 2plan Wealth Management Newsletter, Edition 50 (April 2026). Tax treatment varies according to individual circumstances and is subject to change.A simple guide to passive investing — and why diversification still matters
Passive investing tracks a market index rather than trying to pick individual stocks — cheaper, simpler, and historically effective over long holding periods. L&G Asset Management explains the mechanics but adds an important caveat: today's market-cap-weighted indices are heavily concentrated in a small number of very large US technology companies, which increases single-stock and single-sector risk.
For investors who want to stay in passive strategies but reduce that concentration, L&G suggests alternative weightings — equal-weight indices, or factor-based approaches — which spread risk more evenly. Passive doesn't have to mean 'index whatever's biggest'.
Original commentary by L&G Asset Management, published in the 2plan Wealth Management Newsletter, Edition 50 (April 2026). The value of investments can go down as well as up.Staying alert to financial scams
2plan's piece focuses on the ongoing rise in financial scams and how advisers can help protect clients — particularly those in vulnerable circumstances or dealing with economic abuse. The support offered is confidential and tailored to individual circumstances, not a one-size-fits-all response.
The core message: if something feels wrong, or if a decision is being pressured, contact your adviser through a channel you've used before — and never through a number or email that arrived in the suspect message itself.
Original commentary by 2plan Wealth Management Ltd, Edition 50 (April 2026).Want the full detail?
The individual articles referenced above appear in full in the PDF version of the newsletter, along with charts, further examples, and adviser commentary. If any of the above prompts a question about your own circumstances, get in touch.