UK Inheritance Tax Set to Affect Pension Funds from 2027 – What You Need to Know
UK inheritance tax changes from April 2027 will affect pensions. Mike Coady discusses how these changes could impact your estate planning and pension strategies
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Jaques, a 52-year-old South African entrepreneur, had accumulated substantial wealth over his career but faced the challenge of passing it on to his children, who lived abroad. He was uncertain about how to efficiently transfer his wealth while ensuring his legacy was protected.
Skybound helped Jaques design a comprehensive estate plan that included a legacy trust and an education fund for his children. We structured his assets for seamless cross-border transfer, using tax-efficient wealth management solutions to minimise tax implications. The plan also included investment strategies that provided flexibility, ensuring Jaques' wealth would be preserved and effectively passed to the next generation.
Jaques now has a clear, well-organised strategy for transferring his $4.2M across three continents. His wealth is structured to ensure that his children will benefit from his legacy without the complexities of cross-border legal issues.
“Skybound gave me peace of mind, knowing that my wealth will pass on to my children as I intended, without any complications.”
Pierre, a French expat in the Gulf, received a $150K bonus and was unsure how to allocate the funds to meet his long-term financial goals. With multiple priorities, education, retirement, and aligning his investments with his personal values, he needed guidance.
Skybound helped Pierre invest his lump sum into a diversified investment portfolio and planned for future growth with regular contributions. We allocated part of the funds to an education savings plan, set aside for retirement savings, and invested in ESG funds that aligned with his values. This approach created a well-rounded, tax-efficient portfolio designed for both financial growth and alignment with his principles.
Pierre now has a diversified investment portfolio that balances his financial goals with his values, ensuring long-term growth while staying true to his principles. With ESG investments and a structured savings plan in place, he’s confident that his financial future is secured.
“Skybound helped me make sure my bonus works for me across multiple areas of my life, andI’m proud to invest in line with my values.”
David, a 38-year-old Australian expat in Singapore, had no pension and dreamed of retiring by age 55. Without a clear strategy, he wasn’t sure how to make it happen.
Skybound helped David develop a personalised retirement plan, focusing on creating a passive income stream through global tax-efficient savings solutions and a diverse investment portfolio. We introduced a regular savings plan that allowed him to build long-term wealth, while ensuring inflation was accounted for to keep his future income growing with living costs.
By age 55, David is on track to receive $3,000 per month from his investments, with income growing in line with inflation. His regular savings plan and offshore investment solutions now provide him with the financial security he needs, with ongoing visibility through the Skybound Wealth App.
“I never imagined I’d be on track to retire at 55, but now I’m on track to do just that!”
Mark, a 49-year-old British engineer, was relocating to the UAE and needed help managing his two old UK pensions. He was unsure about how to handle the pensions and whether they would be properly managed after his move.
Skybound facilitated a streamlined SIPP consolidation, transferring his pensions into a Self-Invested Personal Pension (SIPP). This consolidation provided greater flexibility and control over his retirement funds, especially when it came to currency management for his new life in the UAE.
The transfer allowed Mark to consolidate his pensions into a tax-efficient, flexible income plan, with no loss of benefits and better control over his investments.
“Skybound made the whole process simple and seamless, giving me the confidence that my pensions are in the right place and will work for me as I move forward.”
Lucy, a British expat in Dubai, was self-employed with irregular income streams. Despite her efforts, she lacked a structured savings plan and often felt overwhelmed by her financial situation.
Skybound worked with Lucy to create a tailored financial plan that stabilised her cash flow and brought consistency to her savings. We introduced automated savings through tax-efficient investment strategies like SIPP (Self-Invested Personal Pension) and offshore investment solutions, ensuring long-term growth even during income dips.
Lucy was also introduced to our Skybound Wealth App, which gave her clear, real-time visibility into her financial progress, helping her always stay on top of her plan.
In six months, Lucy built a rainy-day fund covering four months of expenses and continued contributing to her SIPP, even during income dips. With full control over her savings and investments, she now feels empowered by Skybound’s personalised approach and tech-driven solutions.
“For the first time, I feel confident I can invest monthly, and that my moneyis working for me.”
Ian P
Reinhard Mahn
Ammar Abbas