Legal News

What problem is the government diagnosing with the current trusteeship and governance model? What is the government really trying to achieve with this consultation? The pensions landscape is shifting. Change is already evident through the rise of master trusts and the growing tendency for schemes to appoint professional trustees, including professional corporate sole trustees. Further major reforms are expected under the Pension Schemes Bill, paving the way for defined contribution ( DC) megafunds and giving trustees expanded duties and powers: conducting value for money assessments, offering guided retirement solutions within DC arrangements, permitting payment of surplus to employers, and facilitating transfers to defined benefit ( DB) superfunds for DB schemes. Alongside this, the government seeks to widen the range of scheme investments and to boost allocation to UK productive assets. However, consolidation of DC schemes and the spread of...

Pre-action disclosure in probate claims and orders for costs ( Dahlman v Oxley & Palmers Solicitors) Dahlman v Oxley & another [2025] EWHC 2962 ( Ch) What are the practical implications of this case? This judgment operates as a practical guide for both Applicants and Respondents on managing pre-action disclosure requests in probate disputes. For Respondents, the message is straightforward: unjustified or unexplained delay in answering valid Larke v Nugus enquiries and producing the Will file creates a genuine risk of an adverse costs order on a pre-action disclosure application. For Applicants, consistency of approach in correspondence is emphasised. Proposed respondents must be clearly warned of the intended application and that costs will be pursued. If the position later shifts and it is suggested that, notwithstanding lateness, costs will not be sought if disclosure is provided voluntarily, that concession substantially weakens the...

The Commissioners for His Majesty’s Revenue and Customs v Sintra Global, Inc and Parul Malde [2025] EWCA Civ 1661 What are the practical implications of this case? It is settled law that HMRC must substantiate any penalty it imposes. Yet the Court of Appeal in Sintra makes clear that this obligation does not extend to proving the correctness of the underlying tax charge. Consequently, the taxpayer carries the onus of showing the liability is mistaken, while HMRC remain responsible for the penalty’s tailored aspects, including culpability and quantification. The ruling matters most where only the penalty is appealed and there has been no prior determination of the core tax position. The Court of Appeal brings the burden of proof in penalty disputes into line with that which would have applied on an appeal against the substantive assessments themselves. This averts...

In this issue: Trusts Court of Protection UK taxation for Private Client Updates to HMRC Manuals Tax avoidance, evasion and non-compliance Regulatory compliance for Private Client Budgets and Finance Bills Family enterprises and ownership frameworks Disputed trusts and estates Pensions, insurance and tax-efficient investments Scotland, Wales and Northern Ireland International Question of the week Additional Private Client updates this week Daily and weekly news alerts Lex Talk®Private Client: a Lexis+® community New and updated content Dates for your diary Trackers Latest Q& As Useful information Trusts HMCTS issues guidance on applications to recover funds paid into the High Court, Chancery Division HM Courts & Tribunals Service ( HMCTS) has issued guidance on making applications to recover money held by the High Court ( Chancery...

What was the background? The Trustee is a trust company incorporated in Jersey, and the Settlor, B, is a national of Country D who has never been UK resident or domiciled. The F Trust is a Jersey discretionary settlement created on 30 March 2017 to hold a high‑value London property already owned by the Settlor, with seven adult beneficiaries (besides the Settlor herself as a beneficiary). The structure was put in place on the advice of English solicitors ( HL) as a tax planning step, with the express aim of limiting the Settlor’s liability to UK inheritance tax ( IHT) before new rules commenced on 6 April 2017. Before the trust was set up, the Property was owned via a chain of British Virgin Islands companies, with the Settlor as the ultimate beneficial owner, and the shares in those entities were treated as...

See Q& A: Where (i) an individual A dies having named B as the sole executor, (ii) B proves the Will, obtaining a grant of probate, and then dies without yet fully completing the administration of A's estate, (iii) B leaves a Will appointing executors C, D and E, and (iv) C dies after the grant of probate has been duly issued to C, D and E in B's estate, who is entitled to finalise the administration of A's estate?......

Tower One St George Wharf Ltd v HMRC [2025] EWCA Civ 1588 What are the practical implications of this case? FA 2003, s 53 ordinarily requires SDLT to be computed by reference to the market value where property is transferred to connected companies. By contrast, FA 2003, s 54 sets out several departures from that market value basis. Under Case 3 in FA 2003, s 54(4), an exception applies if the transfer forms part of a distribution of the vendor’s assets and the property has not been within the scope of an SDLT group relief claim during the prior three years. The Court of Appeal’s interpretation of FA 2003, s 54(4) confirms that Case 3 is only disapplied where SDLT group relief was actually obtained, and not merely claimed without success, contrary to HMRC’s position. Significantly, the Court of Appeal also upheld HMRC’s power to rely on FA...

Why is this legislation required? The government points to two main reasons for introducing this scheme. First, there is inconsistency over which tax advisers must register with HMRC. Making registration mandatory will create uniformity across HMRC’s services for all tax advisers. Second, following an October 2024 consultation, the government reported strong support for compulsory registration to ensure advisers are suitably trained, meet minimum standards, and to deter so-called ‘bad actors’ from entering the market. Which advisers will be required to register with HMRC? Subject to the exemptions noted below, a tax adviser may not interact with HMRC unless they are registered. ‘ Interaction’ is defined widely and includes any communication with, or filing of a document to, HMRC. For registration, a ‘tax adviser’ means either: an organisation that, in the course of its business, assists another person with their tax affairs, or an...

In this issue: Probate Court of Protection UK taxes for Private Client HMRC Manuals updates Tax avoidance, evasion and non-compliance Budgets and Finance Bills Contentious trusts and estates Pensions, insurance and tax-efficient investments International Question of the week Daily and weekly news alerts Lex Talk®Private Client: a Lexis+® community New and updated content Dates for your diary Trackers Latest Q& As Useful information Private Client Highlights 2025/2026 Probate Court grants administrator liberty to distribute estate, but without determining disclaimer question ( Lowe v Daniells) The Chancery Division considered a CPR 8 application issued by the administrator of Jean Phyllis Norman’s estate for directions on the residue. The defendant, identified as the residuary legatee in the Will, had for seven years failed to engage with the...

Question of the week: A and B owned property as tenants in common. On A’s death, his interest in one property passed to C, and his interest in the other went to D and E. B has now lost capacity, but there is a registered lasting power of attorney appointing C and D as attorneys. Can C and D, acting for B, transfer the legal title so the first property stands in the joint names of B & C, and the second is held by B, D and E? See Q& A: A and B held property as tenants in common. After A died, his share in one property was left to C and his share in another was left to D and E. B lacks capacity, yet a registered lasting power of attorney names C and D as B’s...

The Tower One St George Wharf Ltd v HMRC [2025] EWCA Civ 1588 A corporate group developed a residential scheme, with the concluding phase being the transfer of a 50‑storey tower block to a special purpose vehicle ( SPV) to ring‑fence risks, contain potential liabilities and improve financial flexibility. After consulting tax advisers, the group executed a set of same‑day steps intended to ‘step up’ the tax cost of the project, so the SPV would be treated as acquiring it at market value without tax charges arising en route. In broad terms, the property‑owning company granted a 999‑year lease to another group entity, B64. The appellant, incorporated to serve as the SPV, then acquired the shares in B64, and the lease was subsequently transferred to it by way of distribution. After an HMRC enquiry, the appellant accepted the planning had not produced the...

Kaur v Kaur & others ( Re the Estate of Raj Kaur) Resolving family affairs in the administration of an estate Kaur v Kaur & others ( Re the Estate of Raj Kaur) [2025] EWHC 2806 ( Ch) What are the practical implications of this case? This decision serves as a stark caution to private clients reviewing their personal finances and to solicitors guiding them through planning. The narrative is far from unusual. The siblings’ father arrived in the UK in the 1960s and, through hard graft, built a chain of grocery shops and later a supermarket, acquiring a family home and, notably, jewellery. On his death, these assets passed to their mother, who was unable to read or write and had limited English. The parents likely regarded their achievements as modest, yet after some six decades of gentrification in their hometown, they had in fact...

In this issue: UK taxes for Private Client HMRC Manuals updates Tax avoidance, evasion and non-compliance Budgets and Finance Bills Family businesses and ownership structures Digital assets and cryptoassets Charity and philanthropy Contentious trusts and estates Pensions, insurance and tax efficient investments Scotland, Wales and Northern Ireland International Question of the week Additional Private Client updates this week Daily and weekly news alerts Lex Talk®Private Client: a Lexis+® community New and updated content Dates for your diary Trackers Latest Q& A Useful information UK taxes for Private Client CIOT raises concerns over proposed high-value council tax surcharge The Chartered Institute of Taxation ( CIOT) has shared remarks from Leigh Sayliss, chair of its Property Taxes Committee, on the government’s proposal for a high-value council tax...

See Q& A: What are the specific conditions under which a payment to settle a contested claim to an estate is treated as a potentially exempt transfer? It is assumed that proceedings have been commenced under the Inheritance ( Provision for Family and Dependants) Act 1975 ( I( PFD) A 1975). The tax position of any payment made by A to B will hinge on all the surrounding circumstances. For further detail on claims brought under the Inheritance ( Provision for Family and Dependants) Act 1975 ( I( PFD) A 1975), see Practice Note: Family provision claims—settlement and taxation. The basic position is that an order made pursuant to I( PFD) A......

3i Plc v Decesare (as representative member of the 3i Group Pension Plan) and other companies [2025] EWHC 3023 ( Ch) What are the practical implications of this case? It is commonly understood that a ruling fixing the meaning of terms in one instrument does not bind a later court faced with different wording, yet earlier decisions can still carry weight as illustrations of how particular expressions might be interpreted elsewhere, in light of the reasoning for preferring one construction over another. In British Broadcasting Corporation v BBC Pension Trust [2024] EWCA Civ 767 (the BBC case), the Court of Appeal examined an amendment power which barred changes from operating in relation to active members whose interests were said by the scheme actuary to be affected, save where specified exceptions applied. No amendment was to take effect for active members unless one of several...

In this issue: Budgets and Finance Bills UK taxes for Private Client HMRC Manuals updates Tax avoidance, evasion and non-compliance Family businesses and ownership structures Contentious trusts and estates Pensions, insurance and tax efficient investments International Question of the week Daily and weekly news alerts Lex Talk® Private Client: a Lexis+® community New and updated content Trackers Latest Q& As Useful information Budgets and Finance Bills Finance Bill 2026 published Finance ( No 2) Bill 2024–26 was released on 4 December 2025 with explanatory notes. Also known as Finance Bill 2026 ( FB 2026), it was presented in the House of Commons and received its first reading on 2 December 2025. For insights into the principal Private Client measures in FB 2026, see News Analysis: Private...

See Q& A: A Will leaves a legacy to a named individual upon them reaching the age of 25. If the legatee is aged 20 when the testator dies, can the legatee disclaim the legacy? Upon the testator’s death, the legatee is 20 years of age; nevertheless, the Will provides that the bequest is conditional on the legatee reaching the age of......

HMRC v Michael Breen [2025] UKFTT 1415 ( TC) Ordinarily, at the FTT each party bears its own costs as a general rule, usually. There are, however, exceptions to that default position, for instance where a party acts 'unreasonably in bringing, defending or conducting proceedings' ( FTT Rules, SI 2009/273, rule 10(1)(b)). In this matter, the taxpayer, Mr Breen, failed to engage with the enquiry and, after lodging his appeal, with the FTT process. That extended to non-compliance with case management directions (the Directions) as well as two Unless Orders. Consequently, his appeal was automatically struck out in November 2020. His bid to have the proceedings reinstated succeeded in the FTT. But HMRC overturned that reinstatement at the Upper Tribunal ( UT) in 2023 (the UT Decision). The UT concluded there had been 'serious and significant' breaches with no...

In this issue: Budget and Finance Bills Spouses, civil partners and cohabitants UK taxes for Private Client HMRC Manuals updates Charity and philanthropy Contentious trusts and estates International Question of the week Additional Private Client updates this week Daily and weekly news alerts Lex Talk® Private Client: a Lexis+® community New and updated content Dates for your diary Trackers Useful information Budget and Finance Bills Budget 2025 The Chancellor of the Exchequer, Rachel Reeves, presented the government’s 2025 Budget on Wednesday, 26 November 2025. For insight into consultations and statements affecting Private Client practitioners, see News Analysis: Budget 2025— Private Client analysis. For coverage of corporate tax matters, see News Analysis: Budget 2025— Tax analysis. A significant number of tax measures are intended to be enacted via Finance Bill 2025–26 ( FB...

The Court of Appeal held that the four children of Fahad Al- Rajaan, the former director of the Public Institution For Social Security ( PIFSS), were properly added as parties so that the authority can attempt to reclaim proceeds said to derive from the alleged scheme from Al- Rajaan’s heirs if it ultimately succeeds in its case. Delivering the written judgment of a three-judge panel, Justice Richard Arnold said the High Court was right to conclude that PIFSS had a good arguable case that the children would be necessary and proper parties to any enforcement action. He said: ‘ Since it would be appropriate to join the Al- Rajaan children as defendants were they present within the jurisdiction, in order for the question of Mr Al- Rajaan’s liability to be determined as between PIFSS and the Al- Rajaan children, it follows that they are...