The Labour government will strengthen the original proposals set out by the Conservatives in the March Budget with tougher transition rules and a new residence based regime for inheritance tax (IHT) set to come into force from 6 April 2025.

Full details on rebasing dates will not be available until the autumn Budget and there will be no further consultation.

On inheritance tax, the plan is to replace the current domicile based IHT system with a new residence based system as soon as 6 April 2025, based on whether the non dom has been resident in the UK for the last 10 years.

This will affect the scope of property brought into UK IHT for individuals and trusts.