Affluent UK Investors Shift Gifting Strategies Ahead of Tax Changes

The survey of 1,000 UK residents aged 55 and older highlights a nervous climate ahead of the April 2027 tax changes, which will bring pension pots and death benefits under the inheritance tax umbrella. While family remains the priority, nearly one in five respondents are directing assets toward non-profits, ranking philanthropy in the top three gifting categories alongside children and grandchildren.

Nick Ritchie, senior director at RBC Wealth Management, observes that clients are moving beyond simple direct gifts. Many are now utilizing donor-advised funds or establishing charitable trusts to facilitate long-term giving. These structures serve a dual purpose: they provide tax-efficient vehicles for growth while simultaneously acting as a platform to involve younger generations in family wealth management and value-driven decision-making. Investors are increasingly viewing these philanthropic commitments not just as tax mitigation, but as a way to provide their wealth with a tangible, lasting purpose.