Reeves's business inheritance tax shake-up 'will cost exchequer 1bn more than it raises' warn economists

The Treasury has "underestimated the impact" of reforms to business property relief (BPR), potentially costing the UK £1.26bn more than maintaining the status quo.

Indeed, the anticipated fall in investment due to tighter relief on inherited business assets is projected to significantly overshadow any gains from increased inheritance tax.

Kemi Badenoch plans to highlight at the Business Property Relief Summit that Labour's tax policy risks stifling investment and growth within family businesses.

Analysts predict that over half of family businesses will reduce investment due to the proposed inheritance tax changes, potentially resulting in a loss of 125,678 jobs.

Read at Business Matters