The post OPG introduce new way to report a concern appeared first on Ashton Grace.
]]>A new online form is now available. According to the OPG, the online form will make it quicker and easier for people to raise concerns about an attorney, deputy or guardian. It should also help to redirect people who are trying to raise a concern that the OPG doesn’t have the legal authority to investigate.
It is still possible to raise a concern about an attorney, deputy or guardian by email and telephone (0300 456 0300).
This seems like a step in the right direction to protect vulnerable individuals.
OPG guidance on raising a concern
Please get in touch if you would like more information on Lasting Powers of Attorney.
The post OPG introduce new way to report a concern appeared first on Ashton Grace.
]]>The post Assisted Dying Legalised in England and Wales appeared first on Ashton Grace.
]]>
The Terminally Ill Adults (End of Life) Bill applies to the England and Wales only. It was brought by Labour MP Kim Leadbeater.
On the passage of the Bill, MPs, including government ministers, had a free vote. The Bill will allow terminally ill people the right to end their own lives. It still has further steps to go before becoming law and this is expected to happen in 3 years time.
Assisted dying has already been legalised in 27 jurisdictions, including Belgium, Canada and the Netherlands, and is reaching advanced stages of the legislative process in the Isle of Man and Jersey.
The post Assisted Dying Legalised in England and Wales appeared first on Ashton Grace.
]]>The post What the Autumn Budget means for Estate Planning appeared first on Ashton Grace.
]]>From an estate planning perspective, there were several seismic announcements that will likely result in far more estates having to pay inheritance tax when the proposed changes come into effect. Below, we set out the Budget’s key changes to estate planning concerning UK residents.
FROZEN ALLOWANCES
- The Nil Rate Band remains frozen at its current value of £325,000 until 6 April 2030.
- The Residence Nil Rate Band remains frozen at its current value of £175,000 until 6 April 2030.
- The taper threshold for the Residence Nil Rate Band will also remain at £2 million.
The Nil Rate Band has been at this level since 6 April 2009.
Potential impact: As property and asset prices continue to rise, it means many estates could pay (more) inheritance tax than before.
What can you do?
- Review your existing Will to ensure your wishes are up-to-date.
- Seek professional advice to ensure you are utilising the allowances, exemptions and other options available to you if you are concerned the value of your estate will attract inheritance tax.
PENSIONS
The Chancellor announced that “unused” pension funds on death and death benefits will be included in the value of a person’s estate for inheritance tax purposes.
From 6 April 2027:
- Unspent pension funds (including SIPPs) will now fall into a person’s estate when they die, where they had previously been exempt.
- Anything above the Nil Rate Band (and other allowances that may apply) will attract the full inheritance tax at 40%, although transfers to a surviving spouse/civil partner may remain exempt.
Potential impact: Adding the value of unused pension pots to a person’s estate for inheritance tax purposes will take more estates above the £2 million threshold. This is the level at which the Residence Nil Rate Band allowance starts to reduce and therefore more inheritance tax becomes payable. Also, where individuals have used their pensions contributions as an estate planning tool, they may need to revisit these plans and consider other options for tax efficiently passing on their wealth to the next generation.
What can you do? Speak to an experienced estate planner to receive advice on your inheritance tax planning options.
AGRICULTURAL AND BUSINESS PROPERTY RELIEF
The Chancellor announced reforms that will affect family business owners of commercial and agricultural assets, and those who hold shares on the alternative investment market (AIM).
From 6 April 2026:
- The 100% rate of relief from inheritance tax for business and agricultural property will only apply for the first £1 million of combined agricultural and business property. Previously, there was no cap.
- For assets above £1 million, the rate of relief will be 50%.
- Shares held on AIM, no matter the value, will qualify for a rate 20% inheritance tax instead of 0%.
Potential impact: Business owners may have to re-evaluate their succession plans to ensure their family-owned business can survive as a trading entity without having to be sold, or carved up, to settle an inheritance tax bill.
What can you do?
- Make succession planning for your business a priority if it’s important that your business can continue to trade when you pass away or became seriously ill.
- Speak to an estate planner to ensure your partnership agreement is fit for purpose (or equivalent if you have another business structure), your Will is up-to-date and any specific gifts of agricultural or business property assets that may be included are still effective, that you have maximised your allowances and exemptions, and you have appropriate Lasting Powers of Attorney in place.
CAPITAL GAINS TAX
Effective from 30 October 2024:
- The lower rate of capital gains tax has risen to 18% from 10%.
- The higher rate of capital gains tax has increased to 24% from 20%.
From an estate administration perspective, the main rate of capital gains tax that applies to Personal Representatives when administering a deceased persons estate has increased from 20% to 24%. The increased rate of capital gains tax will reduce the value that is received into an estate when capital assets are disposed of.
Potential impact: There is an extra administrative burden for Personal Representatives as they’ll have ‘gains’ which are subject to different rates throughout the 2024/2025 tax year. Specialist help may be required to ensure the correct amount of capital gains tax is applied during the administration period when administering an estate.
Please note, we still await the finer detail of these reforms as draft legislation is not yet available for the changes to pensions or business and agricultural property.
In summary, the proposed inclusion of unused pensions being added to the value of an estate for inheritance tax purposes is very significant. That reform, coupled with freezing the Nil Rate Band and Residence Nil Rate Band further, will drag more estates into the inheritance tax regime. It’s essential that concerned persons seek specialist advice for effective estate and succession planning.
Please get in touch if you would like to receive advice and assistance with making your Will or estate planning.
The post What the Autumn Budget means for Estate Planning appeared first on Ashton Grace.
]]>The post CMA guidance: Will writing, online divorce and pre-paid probate services appeared first on Ashton Grace.
]]>- Misleading advertising which offered an initial low fee for advice but did not indicate the final fee could increase significantly;
- Being presented with unfair contract terms e.g. the exclusion of liability and failing to offer cancellation rights;
- Pressure selling.
In April 2024, following consultation earlier in the year, the draft form of the CMA’s guidance was published and was positively received, in the main, by several professional societies.
The CMA has now published the final guidance for these sectors.
The guidance sets out the requirements of consumer law and provides some practical checklists and case study examples to illustrate the types of issue and potential consumer law breaches that were identified.
The CMA also published:
- An open letter to unregulated businesses operating in the legal services sector; and
- Guides for consumers on what to consider when choosing a Will writer and/or choosing a divorce service provider.
All in all, it is a welcome step to protect consumers from poor practice in the legal services industry.
The post CMA guidance: Will writing, online divorce and pre-paid probate services appeared first on Ashton Grace.
]]>The post Cryptocurrency legally recognised in Digital Assets bill appeared first on Ashton Grace.
]]>‘Digital assets’ is a very general term that can be applied to a host of things including email accounts, digital files, digital records, crypto assets, non-fungible tokens (digital art) and carbon credits etc.
So it’s hugely important that on 11 September 2024, the Property (Digital Assets Etc.) Bill (The Bill) was introduced in Parliament. It meant that for the first time in British history, some digital assets could be considered personal property under the law! Previously, they were not included in the scope of England and Wales property law leaving some owners in a legal grey area if their digital assets were interfered with.
Currently there are two categories of personal property, “things in possession” (e.g. gold, money, cars) and “things in action” (e.g. debts, shares). The Bill introduces a third category of “thing” which allows certain digital assets to attract personal property rights – ergo crypto-tokens and other assets can be legally recognised.
This is groundbreaking!
The law has been updated to afford greater legal protection to Bitcoin and other digital assets. The Bill protects owners and companies against fraud and scams and should help judges deal with complex cases where digital assets are disputed or form part of settlements e.g. in divorce cases.
The result of The Bill is:
- Tech savvy owners of some digital assets will benefit from increased legal protection
- Britain maintains its position as global leader by being one of the first countries to implement law that recognises the existence of digital assets
- English and Welsh law is at the forefront of the global tech industry
Honestly, that’s not bad at all!
The post Cryptocurrency legally recognised in Digital Assets bill appeared first on Ashton Grace.
]]>The post 3 Money Saving Moves you can make before the Budget appeared first on Ashton Grace.
]]>| Are you feeling jittery in the run up to the budget on 30th October (which arguably wasn’t helped by the speeches at the labour party conference this week)? You are not alone. It is widely expected that there will be changes to inheritance tax (IHT), capital gains tax (CGT), pensiong jittery in the run up to the budget on 30th October (which arguably wasn’t helped by the speeches at the labour party conference this week)? You are not alone. It is widely expected that there will be changes to inheritance tax (IHT), capital gains tax (CGT), pensions and business rates. Added to that, talk by the labour government of the “broadest shoulders” bearing the load in the face of a £22 billion treasury black hole has many people worried. They are people who have second homes, people who have built up their pensions, people who have sensibly saved and invested their money, people who run businesses. Often referred to as ‘middle England’, such people are concerned they are going to be punished for their financial prudence by the Chancellor in the upcoming budget. So, I wanted to offer some calm and clarity before the budget, hopefully. – This email isn’t to speculate on how the IHT rules could change – we’ll know soon enough. – It’s to remind you of the action you can take now which could benefit your estate. I’m talking about gifts! The gifts mentioned below could take your money out of the IHT net for you ahead of the budget, if the shoe fits. That’s because these gifts fall outside of your estate immediately for tax purposes ergo they will not be included in the value of your estate when you pass away: 1. £3,000 annual gift exemption – you can give away up to £3,000 to one or more people e.g. your children and/or grandchildren. The allowance is available every tax year and if you didn’t use it during the previous tax year, you can bring it forward to this tax year creating a £6,000 gift instead. For a married (civil partnership) couple, this could amount to making £12,000 worth of gifts before the budget. *You get to see the money benefit your family and can ensure it’s used sensibly. 2. £250 small gift allowance – you can give £250 to as many different individuals as you want! But you can’t mix this gift with any other gift allowance. 3. Wedding/civil ceremony gifts – Do you know anyone getting married before the budget? You can give £5,000 to a child, £2,500 to a (great-) grandchild or £1,000 to anyone else. The gift needs to be made before or on the day of the wedding. Remember, these are gifts that count as being handed over immediately for IHT purposes. Think about whether you should take advantage of the existing IHT rules before any possible changes in the budget. If it’s worth pursuing, ensure: – You can afford to make the gift – The gift is not considered in isolation – the value of your estate and your personal circumstances should always be borne in mind – You have researched all suitable gifts as this is not an exhaustive list of your gift allowances or making gifts. Or you can have a chat with us – professional advice should always be sought prior to making gifts to reduce the value of your estate. If you would like to have a chat, about making a gift, simply book a consultation. This email does not constitute legal advice and is for informational purposes only. |
The post 3 Money Saving Moves you can make before the Budget appeared first on Ashton Grace.
]]>The post Pass on something wonderful! appeared first on Ashton Grace.
]]>The week is all about championing the power of making a charitable gift in your Will, after you have taken care of family and friends.
We’ve experienced many clients make their Wills and include gifts to wide ranging charities; from animal welfare and protection, to wildlife and medical research. Each client could give personal reasons they felt it was necessary to make a charitable gift and it’s always moving to hear their stories, not something you forget.
So we wanted share Remember A Charity week with you – an annual celebration on the impact of legacy giving – in case you weren’t aware of it!
Did you know that legacy gifts are on the rise? Roughly 30p in every £1 donated to charity comes from gifts in Wills. That’s amazing!
Remember A Charity week is a reminder that you can take care of your loved ones and leave a gift in your Will at the same time.
If you would like to make your Will, please get in touch.
The post Pass on something wonderful! appeared first on Ashton Grace.
]]>The post Social Care Cap Scrapped appeared first on Ashton Grace.
]]>
In fairness, there has been a 25 year history of postponing plans to reform social care.
In more recent times, the former Conservative government had committed to introducing a cap on the amount a person in England needed to contribute towards their care in their lifetime. These reforms were due to be implemented in October 2023 but were delayed until October 2025.
However, the new Labour government has announced that these changes will be cancelled as part of their attempts to tackle a ‘black hole’ in the public finances. Added to that, social care was not included in Labour’s manifesto, so it is not likely that it was a hard decision to make.
Current Rules
Under the current funding rules, if a person has capital:
- Over £23,250, they will be expected to pay all social care fees themselves – known as ‘self-funding’;
- Between £14,250 and £23,250, they are treated as if they have an extra income. For every £250 (or part of £250) above £14,250, they are expected to contribute an extra £1 a week income towards their social care costs;
- Below £14,250, their capital is fully disregarded when considering whether they should pay for their own social care.
Scrapped Care Changes
Under the scraped changes to social care reform:
- The upper capital limit of £23,250 would have risen to £100,000;
- The lower capital limit of £14,250 would have increased to £20,000;
- A person with capital between £20,000 and £100,000 would have been expected to contribute towards their social care in part.
The social care reforms would also have introduced an £86,000 cap on the amount an older or disabled person would have to pay towards their support at home or in care homes. However, not all care costs would have counted towards the cap e.g. payments towards daily living costs such as rent, food and utility bills.
These abandoned changes would have enabled more people to receive support from the state.
The Future?
Chancellor Reeves has stated that Health Secretary West Streeting will be working with the sector to improve social care. For now, we will be left with the current rules despite many in the industry considering them unsatisfactory and many older people having to go without care, rely on their family and friends, or pay for care themselves with one in seven facing costs of £100,000.
It’s no wonder then that many senior clients are routinely interested in creating Wills that have the potential to protect the value of their home from being used to pay for care fees when they have passed away.
The post Social Care Cap Scrapped appeared first on Ashton Grace.
]]>