International Women’s Day is a global day celebrating the social, economic, cultural, and political achievements of women. The day also marks a call to action for accelerating women’s equality.

IWD has occurred for well over a century, with the first IWD gathering in 1911 supported by over a million people. Today, IWD belongs to all groups collectively everywhere.

What motivates you professionally?

A good, inspiring manager!

Davinya

HR Business Partner

I have always enjoyed a good challenge, and for me, the most fulfilling part of my job is being able to apply my skills to solve a problem for the business, be it analysing a dataset to identify a trend, or building a new forecast or model to help with decision-making. Working to solve new problems has also been great for picking up new skills along the way!

Kristiina

Finance Analyst

Tackling challenges.

Christelle

Investment Director

Helping the Real Estate team to find solutions and to manage risk appropriately. I also enjoy working with great people, sharing knowledge by training junior members of the team and in an environment where we are happy to challenge each other and have robust discussions.

Wensde

Head of Legal, Real Estate

What is your role and what does it involve?

A HR Business Partner
collaborates with business leaders to align HR strategies with organisational goals. We are responsible for talent management, employee relations, organisational development, and change management. We analyse data, provide HR guidance, and drive initiatives to support business success and employee engagement.

Davinya

HR Business Partner

As a Finance Analyst, my day-to-day work involves looking after the accounting and financial reporting for our IEP funds. I collaborate with various stakeholders in the business to get the most up to date information and then use this to prepare the accounts, monitor and report the performance of our investments, and analyse the key performance indicators that ultimately help management in deciding on future strategy.

Kristiina

Finance Analyst

I am an Investment Director within the Media Team which entails deploying capital in Film & TV projects as well as managing assets under our management to achieve optimum returns to our investors.

Christelle

Investment Director

I’m the Head of Legal in Real Estate so as well as providing internal legal advice on real estate fund matters, I work with my colleagues to execute real estate transactions efficiently and with an eye to managing legal risk.

Wensde

Head of Legal, Real Estate

How has being a ‘woman in finance’ impacted you professionally and/or personally?

It’s allowed me to work with many talented individuals who have helped me enhance and develop transferable skills. It’s also enabled me to flourish and know what kind of person and manager I’d like to be.

Davinya

HR Business Partner

I am very lucky in that here at Ingenious, we have a very inclusive workplace culture and I’ve always felt supported by the leadership as well as the fellow colleagues. At the start of my career, coming from a non-finance background, I struggled for quite a while with imposter syndrome, which can still manifest occasionally; however, over the years I have learnt that most people are willing to share their advice and experiences to help you grow professionally.

Kristiina

Finance Analyst

It has been challenging as I was unable to fully commit to a career in media finance whilst raising my two children. Since then, it has been all about working hard and finding the right balance between my professional and personal life.

Christelle

Investment Director

Professionally, the culture in Finance has changed a lot in the last few years with a better gender balance and more flexibility by hybrid working. That has created an improved culture in Finance as it is not dominated by a particular view. Personally, I can achieve a better balance between family and professional aspirations.

Wensde

Head of Legal, Real Estate

Share with us a woman who inspires you most or a quote that inspires you most.

My mother. She’s juggled working, being a wife and a mother at a young age. It’s been hard, especially when we were young. Having to return to work full-time after 6 months of maternity leave and trusting a stranger to look after her kids. It was a challenge, in her words, ‘I just did it. I had no choice.’ Her continuous strength and love inspires me every day!

Davinya

HR Business Partner

There are countless women that I draw inspiration from in various capacities, from professional successes to their social impact and personal qualities. I greatly admire Malala Yousafzai for fighting for women’s rights to education and being so steadfast in her convictions in the face of significant personal danger. As cliched as it sounds, I also draw inspiration from my Mum for the consistent work she has put in every day into raising her family whilst maintaining her career. One quote that I feel aligns closely with what I believe in is from another brilliant woman, Michelle Obama: “Success isn’t about how much money you make; it’s about the difference you make in people’s lives.

Kristiina

Finance Analyst

“Strong women don’t have ‘attitudes’, we have standards”. Marylyn Monroe.

Christelle

Investment Director

Barbara Hepworth. One of the most influential sculptors of the mid-20th Century and she had triplets in 1934! I walk past her Winged Figure on the John Lewis building on Oxford Street each day I come to our London office. The scale and beauty of its form, created by her, inspires me.

Wensde

Head of Legal, Real Estate

London, UK – Ingenious today announces that Ingenious Real Estate has closed a new 27-month £18.9m development funding facility with housing developers, Eutopia Homes, with joint venture partner Housing Growth Partnership (HGP). Eutopia Homes has signed a building contract with Living Heritage, the contracting arm of the Gr8Space group, illustrative of the firm’s commitment to delivering quality new housing in Exeter.

The project aims to bring 92 residential units to the market, contributing to the city’s active housing market and enriching the choice and standard of living for its residents. With enabling works already underway, the primary construction phase is scheduled to commence in March 2024, aiming for completion by late 2025.

We are delighted to be working with Eutopia Homes on their exciting Isca Gardens project in Exeter. In providing debt funding, we are excited to see the journey towards the delivery of 92 high-quality, efficient, and affordable homes.  We continue to see growth and performance in the developments we support. Our team is continuing to expand in both size and expertise and we remain confident and committed to supporting the UK residential real estate sector and providing flexible funding solutions to great projects and great teams.

An integral aspect of this development is incorporating 18 ‘Affordable Private Rental’ units tailored for the city’s key workers. This innovative initiative not only addresses the acute housing demand among essential personnel but also represents a pioneering venture for Exeter. Distinguished by its sustainable ethos, the development will showcase a car club, electric charging points, and substantial cycling infrastructure. Moreover, the project includes financial contributions to support the establishment of a new cycle highway, reinforcing Eutopia Homes’ commitment to fostering sustainable communities.

Tom Brown

Managing Director at Ingenious Group

We are delighted to close the funding and award the construction contract for our second Exeter scheme. This purpose-built rental product, designed with residents’ interests in mind, aligns perfectly with our vision. Our inclusion of affordable market rental units for key workers underscores our commitment to addressing pressing needs in the city.

Scott Hammond

CEO at Eutopia Homes

Employing modern construction methodologies, Eutopia Homes will collaborate closely with Living Heritage to reduce waste and streamline delivery efficiency. The implementation of lightweight gauge steel (LGS) combined with off-site production will significantly enhance the project’s Environmental, Social, and Governance (ESG) performance while minimising its ecological footprint. The development will also integrate solar panels on the roof and air source heat pumps, promoting cleaner and greener living for future residents.

We are thrilled to reach this milestone with Eutopia Homes. This project will bring much-needed new rental stock to Exeter, transforming the Exmouth Junction area. Our support for this high-quality and sustainable development resonates with Exeter City Council’s ambition to achieve net-zero emissions by 2030.

John McKeon

Investment Director at HGP

The Ingenious Real Estate team has extensive experience providing senior debt and capital to experienced mid-market developers in the residential, commercial and mixed-use sectors partnering with a range of commercial relationships built up over many years.

ENDS

Notes to Editors

For more information, please contact:

Jamie Brownlee / Thomas Lodge / Gabriela Sarosiek

Greentarget (for Ingenious)

+44 20 3963 1889

ingenious@greentarget.co.uk

This document is a press release for information only and is not to be distributed to retail clients. Ingenious is a trading name of Ingenious Capital Management Limited, which is authorised and regulated by the Financial Conduct Authority under Firm’s Reference Number 562563.

Registered Address:  Parcels Building, 14 Bird St, London, W1U 1BU, United Kingdom.

As interest rate increases continue to bite and the costs and challenges of property development, especially in London, remain high, we expect to see a continuation of the market trends we have seen in 2023 going into the New Year. It’s reassuring to note that as we enter 2024, there is a noticeably more stable outlook for inflation compared to what we were faced with at the beginning of 2023.

Buy-to-let market

Whilst buy-to-let (BTL) investors are benefitting from double-digit increases in rents across the UK, the costs to many private landlords from higher interest rates and the increased tax burden, means we expect many private investors will continue to exit the market, which will further reduce the supply of rental stock. Looking forward, the landscape of the UK residential rental market continues to shift towards purpose-built accommodation owned and managed by financial institutions. Large pension funds and insurance companies are taking the lead here and will increasingly dominate the larger developments with significant financing opportunities arising in the mid-market development space.

Support for first-time buyers

First-time buyers are crucial to the health of the wider market, economy and support our way of life here in the UK. This crucial cohort of potential buyers are currently faced with increasingly expensive mortgages requiring high deposits or the challenges and costs associated with renting. The government should look closely at how they can carefully intervene in this area to allow first-time buyers access to the market in a way that does not unduly inflate property prices and provides good value for taxpayers.   

Residential prices holding firm

The UK continues to face a shortage of housing infrastructure, which will continue to support property prices despite the higher costs of borrowing. Widespread predictions of a noticeable decline in residential prices linked to higher borrowing rates seem to have been overstated. Indeed, there are noticeable factors that are applying the break to price falls. With residential rents experiencing a year-on-year increase of approximately 12%, there is both opportunity and liquidity within the Build to Rent, Private Rented (PRS), Purpose-Built Student Accommodation (PBSA), and Co-Living spaces. We are firmly focused on serving the needs of developers operating in those sectors alongside those operating in the Build to Sell market.

Impact of a potential change of government

Housing remains a fundamental political issue here in the UK and ranks highly on the list of concerns for voters up and down the country. As such, it is imperative for every political party, regardless of its affiliation, to include comprehensive policies addressing the core issues of supply and affordability in their manifesto commitments. We don’t expect to see a significantly different approach should a change of national government take place during 2024. Many of the issues on the ground relate to local planning policies and decisions, which continues to be a big challenge for developers to navigate. The position on the ground locally seems unlikely to be radically altered by a change in national politics.     

Market outlook

The New Year will bring with it a new and exciting set of challenges and opportunities for growth and progression in what we do. We are looking forward to continuing to work with borrowers and investors and delivering for them. The dynamic landscape of the markets that we serve and the wider economy requires us to evolve to stay relevant in addressing diverse challenges, including the climate crisis and changes in the way we are all living. 2024 will see Ingenious broaden the reach of our widely embraced development lending product. This expansion aims to offer extended terms for stabilisation to specialised developers within the rental sectors. Additionally, special lending terms will be introduced for developers with a specific focus on minimising embedded carbon in their construction practices.

We’re delighted that five Ingenious-backed films have been nominated for the National Film Awards. These nominations honour creative vision, attention to detail and commitment to storytelling. Congratulations to all the nominees.

You can register your profile and vote here.

Best Actress 2023
Jennifer Saunders (Allelujah)
Emma Mackey (Emily) 

Best Actor 2023  
Rory Kinnear (Bank of Dave)

Best  Supporting Actor 2023
Paul Kaye (Bank of Dave)

Best Supporting Actress 2023  sponsored by Youth & Earth
Phoebe Dynevor (Bank of Dave)

Best Thriller 2023 sponsored by Ivy Niche
Unwelcome

Best Independent Film 2023 sponsored by Telephononos
Bank of Dave

Best Screenplay 2023  
Frances O’Connor (Emily)

Outstanding Performance 2023  
Bally Gill (Allelujah)

Best Feature Film 2023 
Emily
Bank of Dave

Best Producer 2023
Iain Canning | Joanna Laurie | Emile Sherman | Christophe Spadone | Florian Zeller (The Son) 
Karl Hall | Neil Jones | Piers Tempest | Matt Williams (Bank of Dave)

With the implementation date for Consumer Duty fast approaching, we consider below how Business Relief (BR)-qualifying services may be impacted by the new regulatory framework.

What does the new Consumer Principle “Must act to deliver good outcomes for retail customers” mean when applied to BR?

Traditionally, financial plans are considered through the lens of agreeing an objective at the outset. In the BR world, most customers approach the investment seeking a clear objective: mitigation of the impact of Inheritance Tax (IHT) on their investment upon death. If a client sets out this objective, failing to mitigate the effects of IHT on death would mean, at least in part, failing to achieve a good outcome.

In addition to the primary objective, the emphasis on considering the specific client’s needs means financial plans must consider the bigger picture. So what should this look like for BR clients? In addition to considering investor risk tolerance and the general suitability of an investment, this could be summarised in the following way:

  • Mitigate the impact of Inheritance Tax whenever death occurs.
  • Protect and carefully grow wealth over the long term so the best possible legacy can be passed on to beneficiaries.
  • Ensure fees and charges are reasonable while maximising the utility of the service to deliver fair value
  • Offer flexibility, for instance, a facility for regular withdrawals or complete withdrawal if necessary.
  • Consider any further specific needs of each client. They might be vulnerable and require particular assistance, or they could benefit from a care planning service.

This approach raises the bar for manufacturers, financial advisers and research firms and might require advisers to consider different solutions to those previously advised.

Proactively avoid foreseeable harm

As with any investment, inherent risks are associated with an investment in a BR-qualifying service. The Consumer Duty guidance puts further emphasis on the importance of proactively avoiding foreseeable harm to an investor and assessing the limitations of an investment.

An inherently unpredictable risk for BR customers is that of an investor dying before IHT mitigation is achieved (BR investments must be held for two years before they qualify for IHT relief). Many investors considering BR investments are older, and with this, the risk of dying within the qualifying period becomes higher. It is an obligation for all parties, including investment managers, financial advisers and research firms to consider how this foreseeable harm could potentially negatively impact a financial plan, resulting in a poor investor outcome. The question then arises as to what can be done to protect the client against this eventuality. A possible solution is to consider insurance that covers the IHT liability for the first two years of the investment before it qualifies for BR. However, this would need to be weighed up with the impact of potentially higher charges, looking to find an option that protects growth while keeping costs and charges at a reasonable level, ensuring the best possible outcome for the investor. This is explored further in the next section.

Deliver fair value

Thinking about fair value of BR-qualifying services, how comprehensively is the best possible outcome met, relative to the cost, and how can this be evidenced? In the case of the outcome specified earlier, the checklist could include the following:

  • Effectiveness, including timing, of IHT mitigation
  • Investment return over the long term, after fees
  • Flexibility of access to the investment
  • Extra services for the investor, for instance, a care planning service
  • Availability of information to enable the investor to understand the investment fully

If a service provides a better return for investors than other services with comparable investment strategies, this is a reasonable indicator of whether the service is of fair value.

The same method can be used to assess the insurance value mentioned above. This might be prohibitively expensive, thus eroding the value of assets to the point that it is not worth it for an investor to gain the desired IHT mitigation before the two-year qualifying period. However, if that cost is kept to a minimum or even included at no additional cost to the investor, offering immediate IHT mitigation, then this becomes a key consideration in assessing the fair value of a service.

IEP Apex has been carefully designed to offer a solution that aims to achieve the best possible outcome for investors while delivering fair value. For qualifying investors, IHT mitigation is achieved from the outset, for no additional charge, meaning that foreseeable harm is significantly reduced in comparison to standard Business Relief services.

London, UK – Ingenious Real Estate today announces the completion of a new loan to support the development of a low-carbon modular residential scheme on Sutton Road in Southend-on-Sea, with a 69% LTGDV.  The borrower is part of QB Technology, a UK-based innovative modular construction company that uses modern methods of construction and advanced digital tools to produce highly-engineered modular building systems off-site.

The apartments will benefit from private balconies, undercroft parking and cycle storage. Each unit uses light gauge steel frames the size of shipping containers which are fitted out on an assembly line at QB Technology’s factory in West Sussex. Completed units are then delivered to the site where they will be connected together. This will decrease site waste and increase efficiencies by reducing construction time due to disruption from inclement weather.

The scheme will reduce carbon output both during development and once in use. The modular construction will decrease the use of carbon-intensive materials such as concrete, and produce homes with greater airtightness, large windows, and solar shading to minimise heating requirements. The development will use a PV solar panel array to supply over 10% of the building’s electricity.

Ingenious has funded schemes which use pre-fabricated panels before,  such as a loan facility with property developer, Citu, to fund 120 units at the Climate Innovation District in Leeds. It has also funded low-carbon schemes such as The How in Cambridgeshire, a development of 19 sustainably built, energy-efficient houses.

Most recently, the firm has agreed a bridging loan against an asset in South West London; a £26m loan financing deal to support the development of a mixed-use scheme in East Ham, London; and an industrial development facility to fund the 48 industrial units near Poole.

We are delighted to have supported the development of an innovative low-carbon focussed site, providing sustainable homes with lower operating costs for buyers. This deal complements our growing portfolio of low-carbon developments and we’re proud to continue providing flexible financing solutions for sustainable projects while maintaining our commitment to our investors. Low operating cost homes have never been more vital for buyers, and we will continue to source exciting new low-carbon focussed developments in the coming months.

Tom Brown

Managing Director of Real Estate at Ingenious

About Ingenious Real Estate

Formed in 2013, Ingenious Real Estate focuses on providing senior development and bridging finance to well-designed schemes in locations across the UK that have a proven demand. Typical loan terms are 18-30 months, and the team has since completed more than £600 million worth of transactions. The current portfolio balance is weighted towards residential.

ENDS

Notes to Editors

For more information, please contact:

Jamie Brownlee / Thomas Lodge / Gabriela Sarosiek

Greentarget (for Ingenious)

+44 20 3963 1889

ingenious@greentarget.co.uk

This document is a press release for information only and is not to be distributed to retail clients. Ingenious is a trading name of Ingenious Capital Management Limited, which is authorised and regulated by the Financial Conduct Authority under Firm’s Reference Number 562563.

Registered Address:  15 Golden Square, London, W1F 9JG, United Kingdom.

Published in Professional Adviser and Financial Investor 24

As the shoots of Spring arrive, the general rhetoric is that the worst of the cost of living crisis could be behind us, or it is at least losing some of its recent bite. However, recession or no recession, it seems likely that we will feel the pinch for quite some time.

What does this mean for the area of later life planning?

Many in this cohort are retired and don’t need to worry about the potential of job market instability or lack of wage growth. They may also be mortgage-free, so rising interest rates are not of great concern. While volatility might see their savings dip, they can often weather turbulence, not being required to call on lump sums for house purchases, school fees, and the like. Spending is often discretionary.

While this all paints a rather rosy picture, the real sting for retirees comes from inflation, especially in the context of relatively low interest rates, something that hasn’t been an issue throughout the economic downturns of recent memory. High inflation impacts all demographics, and fuel and general living costs have a painful impact on people operating a tightly controlled (even if very comfortable) budget. At the same time, interest rates remain low, and there is little opportunity to offset the increased outgoings with higher income.

Overcoming inertia

This environment can create short-term pessimism that results in long-term financial planning inertia – compounded by a generation that has not experienced this set of economic circumstances for a long time. For clients whom advisers believe should be considering estate planning, putting off decisions can severely impact a positive outcome for them and their families. Between April 2022 and January 2023, Inheritance Tax receipts grew by almost 10%1. House prices have increased since the pandemic2, even if they have fallen marginally of late, and so more estates will creep above the Government’s nil rate band of £325,000. What’s more, the nil rate band is frozen until 2026 and so won’t take into account any asset price inflation. At the same time, people are very conscious of the high cost of care and don’t want to lose control of their savings. The average cost of a care home is £600 per week, which rises to over £800 in a nursing home3.

Still, considering the threat posed by inertia alongside a few more positive pieces of news and data, perhaps now isn’t such a bad time to re-visit those seemingly intimidating financial plans. Household energy bills will offer some respite from the cost of living during the warmer months and inflation is widely reported to have reached a peak, falling for the third month in a row to 10.1%4 in the year to January, with more declines forecast to the end of the year. Your estate planning clients might remain cautious, but at the same time, begin to consider that not acting upon an estate plan holds the most significant risk of not achieving the most desirable outcome.

We have discussed this issue with financial advisers; they have shared a few tips to help overcome inertia with later-life clients.

  1. Simplify goals: Your client needs to clearly understand what they want to achieve in the long term, but this can sometimes seem too challenging. Instead, break larger goals into achievable steps and highlight quick wins.
  2. Present the facts: Popular news flow can paint a rather gloomy socio-economic picture, and headlines might cause your clients to shut down altogether. A simple, factual assessment of their situation, presented within the context of the broader economy, can help them to understand the most relevant benefits and risks to their financial plan.
  3. Demonstrate extra value: All estate plans seek to mitigate against the impact of Inheritance Tax, but can you deliver additional value, for instance, assistance in planning for potential care needs, to your clients as part of the solution you recommend? If so, make sure you communicate this additional value to them.
  4. Stay flexible: Especially in times of economic uncertainty, demonstrating where a plan offers flexibility is important and can make a cautious client feel more confident in actioning a plan.
  5. Keep your client motivated: Long-term financial plans are just that – long term. Keep your client motivated and engaged by communicating with them regularly and celebrating their small successes.

1 HM Revenue & Customs, 21 February 2023

2 Propertydata.co.uk, 18 January 2023

3 Age UK, February 2023

4 ONS, 15 February 2023

Important information

The information, data and analyses presented herein do not constitute investment advice; are provided as of the date written; and are subject to change without notice. Every effort has been made to ensure the accuracy of the information provided, but Ingenious Capital Management Limited (hereafter; ICML) makes no warranty express or implied regarding such information. Nothing within this document constitutes investment, tax, legal or other advice. Our investments are considered high risk and investment decisions regarding them should be made with careful consideration. Except as otherwise required by law, ICML shall not be responsible for any trading decisions, damages or losses resulting from, or related to, the information, data, analyses or opinions or their use. 

Investments with particular tax features will be dependent on your personal circumstances and tax rules may change in the future. Past performance is no guarantee of current or future returns and the investor may receive back less than invested. The price of investments and the income deriving from them can go down as well as up and are not guaranteed. To find the full details of the risk factors and associated mitigation techniques of the fund(s), please refer to the relevant fund documents. Ingenious Capital Management Limited is authorised and regulated by the Financial Conduct Authority under FRN 562563. Registered Address: 15 Golden Square, London, W1F 9JF.

Advisers often talk to us about how their clients don’t view estate planning as something that is relevant to them, or that they simply believe there are too many negative associations for them to act, meaning they miss out on the benefits of early planning. While some estate planning solutions can provide poor outcomes and don’t reflect a good value service to clients, this doesn’t have to be the case with modern solutions. Here are the most common challenges we come across and how we believe you can support estate planning clients to overcome them and achieve a positive outcome.

What does this mean for the area of later life planning?

Many in this cohort are retired and don’t need to worry about the potential of job market instability or lack of wage growth. They may also be mortgage-free, so rising interest rates are not of great concern. While volatility might see their savings dip, they can often weather turbulence, not being required to call on lump sums for house purchases, school fees, and the like. Spending is often discretionary.

While this all paints a rather rosy picture, the real sting for retirees comes from inflation, especially in the context of relatively low interest rates, something that hasn’t been an issue throughout the economic downturns of recent memory. High inflation impacts all demographics, and fuel and general living costs have a painful impact on people operating a tightly controlled (even if very comfortable) budget. At the same time, interest rates remain low, and there is little opportunity to offset the increased outgoings with higher income.

Overcoming inertia

This environment can create short-term pessimism that results in long-term financial planning inertia – compounded by a generation that has not experienced this set of economic circumstances for a long time. For clients whom advisers believe should be considering estate planning, putting off decisions can severely impact a positive outcome for them and their families. Between April 2022 and January 2023, Inheritance Tax receipts grew by almost 10%1. House prices have increased since the pandemic2, even if they have fallen marginally of late, and so more estates will creep above the Government’s nil rate band of £325,000. What’s more, the nil rate band is frozen until 2026 and so won’t take into account any asset price inflation. At the same time, people are very conscious of the high cost of care and don’t want to lose control of their savings. The average cost of a care home is £600 per week, which rises to over £800 in a nursing home3.

We hope this article will help you to bust some estate planning myths with your clients to help them make the right decision for them. Please download our client-friendly estate planning myth buster booklet to help with your conversations.

Is estate planning right for you?

*TER June, 2021

**Gov.uk, HM Revenue & Customs, 28 July 2022

Important information

The information, data and analyses presented herein do not constitute investment advice; are provided as of the date written; and are subject to change without notice. Every effort has been made to ensure the accuracy of the information provided, but Ingenious Capital Management Limited (hereafter; ICML) makes no warranty express or implied regarding such information. Nothing within this document constitutes investment, tax, legal or other advice. Our investments are considered high risk and investment decisions regarding them should be made with careful consideration. Except as otherwise required by law, ICML shall not be responsible for any trading decisions, damages or losses resulting from, or related to, the information, data, analyses or opinions or their use. 

Investments with particular tax features will be dependent on your personal circumstances and tax rules may change in the future. Past performance is no guarantee of current or future returns and the investor may receive back less than invested. The price of investments and the income deriving from them can go down as well as up and are not guaranteed. To find the full details of the risk factors and associated mitigation techniques of the fund(s), please refer to the relevant fund documents. Ingenious Capital Management Limited is authorised and regulated by the Financial Conduct Authority under FRN 562563. Registered Address: 15 Golden Square, London, W1F 9JF.

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment. Take 2 mins to learn more.

First published on FTAdviser

Speaking to advisers for many years now has allowed me to realise that a consistently challenging task they face is not only establishing the best route to take when offering estate planning advice to clients, but also in getting clients to accept it and then act. Without action, the best laid plans of both mice and financial planners won’t be successful and deliver value.

The reasons cited for this inertia commonly group around two systemic problems.

The first obvious one is the client normally has absolutely no idea when they are going to die. This poses an issue as nobody knows exactly how long the client has to act so generating any sort of urgency is impossible. It’s also due to this uncertainty in timing, nobody has any idea which plans would ultimately prove successful. Life insurance is the key exception to this as it would offer an immediate impact, but taking out Whole of Life insurance cover poses an indefinite ongoing financial liability; the exact opposite of the kind of clarity the clients would be after before taking action. Therefore any plan that can’t offer the certainty of being effective from an IHT perspective from Day 1 will be unattractive as it will inspire a lack of confidence and invite a delay in action. Either issue would prove to be a road-hump; both together are a cul-de-sac.

The second common issue is that if the client doesn’t have a crystal ball, they can’t know exactly what is in store for their financial fortunes and so can’t compute what their final IHT liability will be when they die. If they don’t know this, how can they possibly establish how much they can afford to part with or how much insurance cover they actually need (to afford)? Again, if clients neither have ongoing access to all their funds or know exactly what they can afford, they will find it near impossible to commit to a plan that deprives them of their assets in some way.

For these two main reasons, discussions over estate planning can all too often be held without the agreement of actually taking action on a specific plan. And as we all know, “failing to plan is planning to fail.”

So what’s important to solve this?

Ultimately if the plan you recommend to clients works speedily and allows clients to retain access to all their assets, you will have removed both of the main issues they find stops them from taking action.

What does this mean for the area of later life planning?

Many in this cohort are retired and don’t need to worry about the potential of job market instability or lack of wage growth. They may also be mortgage-free, so rising interest rates are not of great concern. While volatility might see their savings dip, they can often weather turbulence, not being required to call on lump sums for house purchases, school fees, and the like. Spending is often discretionary.

While this all paints a rather rosy picture, the real sting for retirees comes from inflation, especially in the context of relatively low interest rates, something that hasn’t been an issue throughout the economic downturns of recent memory. High inflation impacts all demographics, and fuel and general living costs have a painful impact on people operating a tightly controlled (even if very comfortable) budget. At the same time, interest rates remain low, and there is little opportunity to offset the increased outgoings with higher income.

Overcoming inertia

This environment can create short-term pessimism that results in long-term financial planning inertia – compounded by a generation that has not experienced this set of economic circumstances for a long time. For clients whom advisers believe should be considering estate planning, putting off decisions can severely impact a positive outcome for them and their families. Between April 2022 and January 2023, Inheritance Tax receipts grew by almost 10%1. House prices have increased since the pandemic2, even if they have fallen marginally of late, and so more estates will creep above the Government’s nil rate band of £325,000. What’s more, the nil rate band is frozen until 2026 and so won’t take into account any asset price inflation. At the same time, people are very conscious of the high cost of care and don’t want to lose control of their savings. The average cost of a care home is £600 per week, which rises to over £800 in a nursing home3.

All this means that advisers and clients alike can have confidence that should their advice be accepted and the client takes action not only should their IHT issue be alleviated immediately but they will have confidence that they will retain full access and control over the investment indefinitely. This will mean clients should be fully confident to proceed and there is no need for inertia.

A speedy service will promote speedy action to deliver a speedy outcome.

If you haven’t considered IEP Apex for your client’s IHT requirements, now is the time to do so.


*Ingenious survey – PFS Retirement and Later Life Roadshows – May 2022

Age and health restrictions apply. Refer to brochure for limits.

To learn more about IEP Apex, and its additional care service, click below, and one of our team members will be in touch

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment. Take 2 mins to learn more.

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93% of advisers told us that the speed of IHT mitigation, as well as maintaining access and control over client assets, are the primary motives when recommending Business Relief qualifying investments (BR) to clients1

At Ingenious we have launched a new BR-qualifying service which provides peace of mind with IHT mitigation from day one of share allotment via insurance cover which is paid for by the Manager.

What does this mean for the area of later life planning?

Many in this cohort are retired and don’t need to worry about the potential of job market instability or lack of wage growth. They may also be mortgage-free, so rising interest rates are not of great concern. While volatility might see their savings dip, they can often weather turbulence, not being required to call on lump sums for house purchases, school fees, and the like. Spending is often discretionary.

While this all paints a rather rosy picture, the real sting for retirees comes from inflation, especially in the context of relatively low interest rates, something that hasn’t been an issue throughout the economic downturns of recent memory. High inflation impacts all demographics, and fuel and general living costs have a painful impact on people operating a tightly controlled (even if very comfortable) budget. At the same time, interest rates remain low, and there is little opportunity to offset the increased outgoings with higher income.

Overcoming inertia

This environment can create short-term pessimism that results in long-term financial planning inertia – compounded by a generation that has not experienced this set of economic circumstances for a long time. For clients whom advisers believe should be considering estate planning, putting off decisions can severely impact a positive outcome for them and their families. Between April 2022 and January 2023, Inheritance Tax receipts grew by almost 10%1. House prices have increased since the pandemic2, even if they have fallen marginally of late, and so more estates will creep above the Government’s nil rate band of £325,000. What’s more, the nil rate band is frozen until 2026 and so won’t take into account any asset price inflation. At the same time, people are very conscious of the high cost of care and don’t want to lose control of their savings. The average cost of a care home is £600 per week, which rises to over £800 in a nursing home3.

Additional benefits with IEP Apex:

If you haven’t considered IEP Apex for your client’s IHT requirements, now is the time to do so.


1 Ingenious survey 2022

2 Tax Efficient Review, June 2021

Age and health restrictions apply. Refer to brochure for limits.

To learn more about IEP Apex, and its additional care service, click below, and one of our team members will be in touch.