Inheritance Tax

Phil Brickell Excerpts

Wednesday 14th October 2026 Commons Chamber

[Phil Brickell (Bolton West) (Lab)]

The wording of the motion in the name of the Leader of the Opposition

“calls on the Government to cut public spending in order to abolish Inheritance Tax on family homes, farms and businesses.”

That is abolition without conditions, without qualification, without any taper whatsoever, and without any reference to the growing cost of social care or the vital contribution that inheritance tax receipts make to supporting our ageing population. Let me be clear that it is the Conservatives who are proposing a tax break, paid for by cuts to public spending, for those who have inherited or accumulated considerable wealth. It is a tax break for the wealthiest 5.5% who are forecast to be subject to IHT this year.

Let us be honest about what the Conservatives are proposing. They are proposing to abolish a progressive, redistributive tax in its entirety, at a potential cost of £10.8 billion a year, to benefit a small minority of the very wealthiest estates. I have no objection to people wanting to pass something on to their children—it is a natural and valuable part of being a parent—but the question before us is not whether families should be able to pass on their hard-earned assets fairly, but whether the right priority for this country is to abolish inheritance tax altogether, regardless of the cost, and I think the answer is clear.

I do not want to dwell too much on figures, but one figure is worth remembering. My constituency is a varied one—it has affluent areas and not so affluent areas—yet at the last general election, fewer than 1% of estates in my Bolton West constituency were expected to fall within the inheritance tax threshold. So I have to ask, on behalf of my hard-working constituents: who exactly are the official Opposition speaking to with this proposal, because it will do precious little for the overwhelming majority of people in Bolton, Blackrod, Horwich and Westhoughton? It will not help the small business owner struggling with rising costs in Westhoughton, it will not help the single mum in Horwich managing the weekly shop, it will not help the pensioner in Blackrod worried about their energy bills and it will not help the young person in Bolton trying to get on the first rung of the housing ladder.

It is designed to benefit a small minority with the largest estates. Let me reiterate the remark of my hon. Friend the Member for Welwyn Hatfield (Andrew Lewin) that this is a return by the official Opposition to their “comfort zone”. Most families in my constituency—and, I wager, in the country at large—would far rather see that money used to tackle the cost of living crisis, improve public services and give working people some breathing room.

The official Opposition may have concerns about the tapering of the personal allowance for earners over £100,000 and the high marginal tax rates that can create, or the economic distortions that follow. Those are legitimate subjects for debate, but they are not the motion before us today. If the Conservatives wanted to bring forward proposals that would genuinely help ordinary families, they had plenty of alternatives. They could have focused on cracking down on aggressive tax avoidance and evasion, which deprives the public purse of billions of pounds that could otherwise fund our public services. They could have tackled the tangled web of professional enablers who help wealthy individuals—and, yes, some businesses—to conceal assets, exploit loopholes and avoid paying what they owe. They could have proposed a fairer tax system that levels the playing field between online giants and high street businesses. Those are debates worth having. Those are the sorts of proposals that could command support across this House. Instead, the Conservatives have deliberately chosen to pursue a narrow partisan agenda that benefits those who are asset-rich, while offering precious little to those who need help the most.

That brings me to the wider question of priorities, because this Government understand that helping people with the cost of living means taking practical action on the bills they pay, the services they rely on and the businesses that sustain their communities. This Government have pursued those, including through scrapping VAT on electricity bills for this winter. Those are practical measures. They speak to the everyday concerns of working people, families and, yes, small businesses. That is what responsible government looks like. Yet the Conservative party, by contrast, wants us to believe that the answer to the pressures facing this country is to spend less on public services so that a small minority can pay less tax on their estates. I must say that it sounds remarkably like they have learned little from the Liz Truss debacle. What they are proposing means less money available for public services, less money to support vulnerable people and less capacity to address the pressures facing our country.

If the official Opposition are serious about rebuilding their support across the United Kingdom, about speaking to people in every community and about demonstrating that they are ready to govern again, they should scrap this motion. They should focus on the issues that speak to the country at large. Politics is about priorities. In choosing the complete abolition of inheritance tax as the subject of today’s Opposition day debate, they have sent a very clear signal: tax cuts for a small minority over support for the many and the interests of the wealthiest estates over the needs of children growing up in poverty. They have chosen to spend billions on a policy that will do precious little for my constituents across Bolton West. That is why I will not be supporting the motion.