British Expats Are Handing Over Billions to HMRC - Unnecessarily!

A Growing Problem for Expats

Over 5 million British expats are living abroad, many having left the UK years ago. Yet despite building new lives overseas, their financial ties to Britain remain strong and increasingly dangerous.

Collectively, British expats hold more than £760 billion in UK-situs assets:

• £147 billion in pensions

• £66 billion in ISAs

• £550 billion in UK property

Until recently, many assumed that pensions at least were safe from inheritance tax. But with forthcoming changes, pensions are expected to fall squarely within the scope of UK IHT. Add in ISAs and UK property and suddenly expats are sitting on a ticking tax bomb.

British Expats Face IHT on Pensions and UK Assets — How to Protect Your Wealth

Why Expats Are Exposed

The problem is simple: if your assets are UK-situs, they remain firmly under HMRC’s reach. No matter how long you’ve lived abroad, the following apply:

• Pensions: Currently in the spotlight, with proposals to include them fully within IHT, potentially creating a 40% tax charge on what many thought was safe.

• ISAs: Count towards your UK estate for IHT.

• Property: Already fully within scope of IHT and subject to capital gains and income tax along the way.

The result? Expats risk handing over hundreds of billions unnecessarily to HMRC, simply because their wealth has not been restructured internationally.

The Simple Solution

The good news is that this is avoidable. With proper planning, much of your wealth can be moved outside the scope of UK inheritance tax. The key is working with an international financial planner who understands cross-border rules and can restructure your holdings.

Typical strategies include:

• Transferring pensions into internationally recognised structures that sit outside UK IHT.

• Repositioning investments away from ISAs and into tax-efficient global solutions.

• Reviewing UK property ownership to mitigate inheritance and succession tax risks.

Take Back Control

The UK Treasury is relying on expats staying passive. With £760 billion in UK-situs assets and pensions now threatened with IHT, HMRC stands to collect more than ever from non-residents.

But this doesn’t have to be your story. With the right planning, you can protect your family, reduce unnecessary tax and ensure your wealth passes as you intend, not to HMRC.

✅ If you’re a British expat holding pensions, ISAs, or property in the UK, now is the time to act. At Max Foresight, we specialise in helping expats restructure their wealth so it’s outside the scope of UK inheritance tax. Contact us today to secure your legacy. info@maxforesight.com