Good morning and welcome to your Morning Briefing for Friday 19 September 2025. To get this in your inbox every morning click here.
IHT receipts jump as Treasury eyes another record year
Inheritance Tax (IHT) receipts have soared, following a record-breaking 2024/25 financial year that saw a total of £8.2 billion collected, according to HMRC figures. The increase marks the continuation of a trend driven by rising asset values and the freezing of tax-free thresholds.
The data shows that £3.7 billion was collected between April and August, a £190 million increase on the same period last year.
William Burrows: Gilt yields signal new strength in annuities
With gilt yields at their highest levels since 1998, the income from annuities is at the highest level for a long time. What does this mean for financial advisers and their clients?
An annuity is the only financial policy that can convert capital into guaranteed income for life and they can be used in a number of different ways to achieve better retirement income outcomes.
Compliance burden eats into adviser time, finds Rathbones study
Rising regulatory and administrative burdens are limiting the time financial advisers can dedicate to clients, according to a new study by Rathbones Group. The findings highlight a growing conflict between advisers’ desire to provide holistic financial planning and the practicalities of a demanding regulatory landscape.
The independent survey of 100 independent financial advisers found that the majority are feeling the strain. A significant 77% stated that compliance requirements are restricting the time they can spend on financial planning. Meanwhile, 69% said that portfolio management tasks are taking precedence, and nearly half, 49%, cited a lack of administrative support as a key constraint.
Quote Of The Day
Ongoing tight monetary conditions may risk deeper economic weakness in 2026 and beyond, which could eventually curb inflation and justify rate cuts, but not yet.
-Janet Mui, head of market analysis at wealth manager RBC Brewin Dolphin comments on BoE interest rate
Stat Attack
A significant number of people in the UK are unaware of the total value of their pension savings, with this lack of knowledge being particularly prevalent among older generations. Even those who are aware of their pension amount often lack confidence that their savings will be sufficient for the retirement lifestyle they desire. The stats show:
47%
of UK adults do not know how much is in their pension savings.
67%
of the Silent Generation and 52% of Baby Boomers cannot estimate their pension savings.
27%
of those who know their pension amount are not confident it will fund their desired retirement lifestyle.
33%
of Gen X are unsure their savings are adequate.
8%
of Gen Z express concern about their retirement savings.
Source: Standard Life
In Other News
HLPartnership has hired former PRIMIS and Tenet executive Scott McAllister to strengthen its sales and recruitment team.
The move is designed to support the network’s nearly 1,100 appointed representative firms with business expansion and talent acquisition.
McAllister, whose experience includes adviser recruitment and business development, will work alongside Sales and Recruitment Director Tom Barnett to drive the network’s growth and development plans.
He highlighted HLP’s culture and its advanced CRM as key reasons for joining.
UK government borrowing climbs to higher-than-expected £18bn in August (yahoo!finance)
Major brokerages expect no more BoE rate cuts in 2025 after September pause (Reuters)
UK households prefer cash, as they plough record sums into Isas (Financial Times)
Did You See?
The Bank of England has decided to maintain the current interest rate, a decision influenced by the persistent level of inflation.
While stable rates offer some relief for borrowers, they pose a challenge for savers and investors as they continue to chip away at the value of capital and future income. The outlook for a rate cut is uncertain, with economists predicting that a change will only occur when there are clear signs of a significant retreat in inflation.
