British expats in Spain face 40% pension tax blow as new UK inheritance rules loom
British expatriates living in Spain are facing a significant financial hit as new UK pension and inheritance tax rules are set to take effect from 6 April 2027. The changes mean that pension pots left unused at death could be brought within the scope of inheritance tax, potentially exposing beneficiaries to a combined tax burden…
- New UK rules from April 2027 pull pensions into inheritance tax scope.
- British expats in Spain could face combined tax rates near 40%.
- Advisers recommend reviewing estate plans ahead of the deadline.