People not planning to pass on money, finds Lloyds TSB

A new report suggests that people today have a lower expectation of receiving some form of inheritance.

14:22 29 November 2004

A new report suggests that people today have a lower expectation of receiving some form of inheritance on account of increased life expectancy.

The 'Wealth Watch' study by Lloyds TSB Private Banking explored the attitudes of the rich and general public towards inheritance.

It found that handing down wealth to the next generation is not an obligation for today's rich with more than half (54 per cent) of the well-off surveyed admitting they felt no responsibility to leave a financial legacy to their loved ones.

The population at large also appear to believe that there is a trend towards leaving less inheritance.

Only a quarter of the general public expect to gain from someone's will while the remaining three quarters (72 per cent) have no anticipation at all.

Simon Brown, head of retail development and wealth management at Lloyds TSB Scotland, said there was a need to prepare for passing on wealth.

"The rich seem to be under no compulsion to pass on their wealth to the next generation, but whatever they expect to happen, it is still important to arrange inheritance tax planning," he commented.

"They may not feel obliged to bequeath money to their loved ones, but they certainly won't want to leave it to the tax man."