Conservative plans for £2m IHT limit dismissed

The Conservative Party's plans to increase the inheritance tax (IHT) limit to £2 million are unlikely to come to fruition.

That is the view of one financial advisor, who believes reports that the Conservatives plan to double their original proposal of a £1 million threshold, should they get elected, are wide of the mark.

Alex Pegley, of Calculis independent financial advisors, told ifaonline.co.uk: "It's easy to make these statements when you're not in power."

"It's a nice little earner for the government and relatively painless for them to collect. Tax has got to come from somewhere."

One opponent to increased IHT is Yvette Cooper, chief secretary to the Treasury, who told the Telegraph newspaper that a rise in the limit would be "more tax cuts for millionaires."

Reports state that the new Conservative proposals would see a £1 million allowance per partner in married couples, transferable to the surviving partner upon death.