Covid-19: Death Duties and Inheritance Tax

Baroness Bennett of Manor Castle Excerpts

Thursday 24th June 2021 Lords Chamber

[Baroness Penn (Con)]

My Lords, I am glad to hear the noble Lord’s support for fiscal responsibility and repairing the public finances. As I set out, a number of measures were taken at the Budget to do this. These included freezing the income tax personal allowance until April 2026; increasing the rate of corporation tax to 25% from April 2023; freezing the pensions lifetime allowance and annual exempt allowance; and measures to tackle tax avoidance, evasion and non-compliance, which will raise an additional £2.2 billion by 2025-26.

[Baroness Bennett of Manor Castle (GP)]

My Lords, given that a large proportion of most inheritances arises from property values, do not the current tax arrangements contribute to inequality not only between individuals, as the noble Baroness, Lady Bryan, said, but between regions? Given the Government’s levelling-up agenda, could they not use a wealth tax or inheritance taxes to increase that levelling up?