As the April 2027 changes to IHT relief for pensions take effect, clients who have never had to think about IHT will need to start.  

And that means advisers who may not have much experience with business relief will need to get more comfortable with it as an option.

We’re already seeing this shift; firms with little or no previous exposure to business relief are having to build their process, often from a standing start.

If that sounds like your firm, don’t panic – here’s how to approach it:

• Ask the right questions

• Build a business relief panel

• Nail the underlying research

We can help you get it right - let’s dive in! ‍

‍

Step one: ask the right questions

Before building anything, you should be clear on what the process needs to answer. The questions we hear most often from advisers include:

• How do we determine whether business relief is suitable for a client?

• What type of business relief products should we be considering?

• How do we evaluate the suitability of a business relief product from across the whole market?

• Can we centralise the research process, or does it need to be handled on a case by case basis?

A good process should be able to answer these consistently, rather than leaving each adviser to work it out from scratch every time a business relief conversation comes up. ‍

‍

Step two: build a business relief panel

The most effective way we have seen firms answer these questions is by creating a business relief panel. Think of it as similar to a Centralised Investment Proposition (CIP), but focused specifically on the business relief market.

Done well, there are 3 key benefits for your firm:

• A clear framework for when business relief products can and should be recommended to clients

• A panel of suitable providers, so advisers are not starting their research from zero every time

• A way of identifying diversification benefits through different combinations of products ‍

‍

Step three: get the underlying research right

A panel is only as good as the thinking behind it.  

Our process for selecting products looks closely at the businesses behind each product, not just the headline terms, alongside the relative strength of the underlying investment.  

This gives advisers confidence in what they are recommending, which is even more important if business relief is new territory for the firm.

Even for firms already comfortable in this space, a centralised approach creates benefits: consistency across the firm, efficiency in the advice process, and peace of mind that recommendations are backed by robust and repeatable due diligence. ‍

‍

Building your process ahead of April 2027

Firms that build this capability now, rather than reacting to it later, will be in a far stronger position to support clients through the changes ahead.  

If you’re starting to see more business relief conversations coming through and want help building a panel or a process that fits your firm, our friendly team would love to talk it through. Book a chat now.

‍