Family Succession Planning: How to Pass On Your Wealth with Clarity and Confidence

July 23, 2026 — Off-Piste Wealth Team

The UK is approaching the largest intergenerational wealth transfer in history, with £5.5 trillion set to pass between generations over the next 30 years. Our guide explains when to transfer your wealth, how much to give, who should receive it, and the tools that make it happen — from Wills to lifetime gifts and trusts.

Family succession planning means deciding how, when and to whom you pass on your wealth. It involves four key questions: when to transfer, how much to give, who should receive it, and how to do so. Starting early — with open conversations, an up-to-date Will and the right structures — protects both your legacy and your family, and it matters more than ever: research from Kings Court Trust's "Passing on the pounds" study estimates that £5.5 trillion will pass between generations in the UK over the next 30 years. Despite the scale of this transfer, far too few people have a plan.

Why should I talk to my family about handing down my wealth?

Talking about money can feel uncomfortable, especially when the conversation concerns what happens after you are gone. Many people delay these conversations because they feel awkward or premature. Yet without a clear plan, the wealth you have spent a lifetime building may not reach the people you intend it to, in the way you intend.

There are three main reasons to start the conversation sooner rather than later.

It protects your wishes. When your family understands your intentions, there is far less room for confusion, disputes or unintended outcomes after you are gone.

It prepares your beneficiaries. Inheriting wealth brings responsibility. Sharing how and why you built your wealth helps your family manage it wisely rather than watch it dissipate.

It reduces stress later on. Probate can be complex and slow. Clear instructions, agreed in advance, make the process far easier for those you leave behind.

Open discussion also helps younger generations engage with financial planning early, leaving them better equipped to make sound decisions when the time comes.

When is the best time to transfer my wealth?

There is no single right moment to pass on wealth. The best timing depends on your financial position, your goals and your family's needs — but the starting point is always the same: understand your own position first.

Before deciding when to transfer anything, you need a clear view of what you can afford to give away. Start by asking how much you will need for the rest of your life, including provision for later-life care. Once you understand your own requirements, you can assess what remains — cash, savings, investments, property, business interests and valuable possessions.

Mapping your cashflow over time is invaluable here. Once you can see what you are likely to need, you can identify what is genuinely surplus and available to give — and avoid the costly mistake of giving away more than you can comfortably spare.

Should I make lifetime gifts or pass wealth through my Will?

Once you know your position, you generally have two broad options for transferring wealth — and most people end up using a combination of both.

The first option is to make gifts during your lifetime. This allows you to see your family benefit while you are still here, and it can play an important role in Inheritance Tax planning. The caveat is that you need to be confident you will not need those funds later.

The second option is to pass on your wealth through your Will after you die. This gives you full use of your assets throughout your life while still directing exactly where everything goes.

Understanding these trade-offs helps you choose an approach that suits both your current needs and your longer-term wishes.

How much wealth should I pass on?

Deciding how much to give is rarely a purely financial decision. It involves both practical constraints and personal values.

The practical question is straightforward: how much can you afford to pass on without compromising your own security? The answer depends on your income, your savings and the cost of your expected lifestyle and care. This is where cashflow modelling earns its keep — it shows you what is genuinely surplus.

The personal side is more nuanced. Some people want to give their children complete financial freedom; others worry that too much wealth, too soon, could sap motivation. There is no universally correct answer. What matters is that the amount reflects your values and the specific circumstances of each person you intend to provide for.

Whom should I pass my wealth on to?

Deciding who benefits from your estate is one of the most personal aspects of succession planning — and it requires careful thought to avoid unintended consequences.

For most people, the starting point is the immediate family: a spouse, partner or children. Beyond that, you may wish to provide for grandchildren, extended family, friends or charitable causes. It helps to be clear about whom you want to include and whether there is anyone you wish to exclude, and to document those decisions clearly.

Planning a generation ahead. It is worth considering how wealth moves across more than one generation. In some cases, passing assets directly to grandchildren can avoid the same wealth being taxed twice in a short period. Consider a simple example: Alice has no children and wants her brother, Harry, to inherit — but Harry is already wealthy and plans to leave everything to his own children. Passing Alice's wealth to Harry first could see it taxed twice before reaching the next generation. Planning ahead, sometimes using tools such as a Deed of Variation, can prevent this.

Sensitive situations. Some circumstances call for extra care. You may want to protect assets in case a child later divorces, so that wealth remains within your immediate family. A beneficiary with special needs or vulnerabilities may be better served by a protective structure than a single lump sum. Thinking about these scenarios early lets you put the right safeguards in place.

How should I transfer my wealth?

Once you know when, how much and to whom, the final question is how. There are three main tools, and they often work best together.

Make and maintain a Will. A clear, up-to-date Will is the foundation of any succession plan. It sets out exactly who receives what, reducing confusion and the risk of your estate going unclaimed. A Will is not a one-off task, though — marriage, divorce, the arrival of children or significant financial changes can all affect your wishes, so review it regularly.

Consider lifetime gifts. Giving during your lifetime allows you to support your family when it may matter most — helping with a first home or education — and can reduce the value of your estate for Inheritance Tax purposes. The key is balance: before making substantial gifts, confirm you will not need those funds for your own future, including care costs.

Explore trust structures. Trusts offer a way to pass on wealth while retaining a degree of control. As the person setting up the trust, you decide who benefits, when and in what amounts. This can be particularly useful for young or vulnerable beneficiaries, for protecting family assets and for Inheritance Tax planning. Because the rules are complex, professional legal advice is essential before setting one up.

It is also vital to keep an eye on evolving rules. From April 2027, pensions are expected to fall within the scope of Inheritance Tax in the UK — a significant change we cover in detail in our article on the new pension Inheritance Tax rules. Changes like this can materially affect your plans, which is why regular reviews matter.

Frequently asked questions

What is family succession planning?

Family succession planning is the process of deciding how your wealth and assets will pass to others, usually family members. It covers when to transfer wealth, how much to give, who should receive it and the legal tools used to do so — such as a Will, lifetime gifts or trusts.

When should I start succession planning?

The best time to start is now, regardless of your age or wealth. Early planning gives you more options, greater control and more time to prepare your family. It also reduces the risk of delays, disputes or unclaimed inheritance later on.

Do I need a Will if I plan to give gifts during my lifetime?

Yes. Lifetime gifts and a Will serve different purposes, and most people benefit from using both. A Will ensures that any remaining assets pass on as you intend, even if you have already given some wealth away during your life.

How can a trust help with passing on wealth?

A trust allows you to transfer wealth while retaining control over who benefits, when and how much. It is particularly useful for protecting young or vulnerable beneficiaries, safeguarding family assets and supporting Inheritance Tax planning. Professional advice is strongly recommended before setting one up.

Will pensions be subject to Inheritance Tax from 2027?

Under changes expected to take effect from April 2027, pensions will no longer automatically fall outside an individual's estate for Inheritance Tax purposes, meaning some pension funds may become subject to IHT at 40%. This makes reviewing your succession plan — and how pensions fit within it — more important than ever.

This article is for your general information and use only and is not intended to address your particular requirements. It should not be relied upon in its entirety and shall not be deemed to be, or constitute, advice. Thresholds, percentage rates and tax legislation may change in subsequent Finance Acts. Levels and bases of taxation, and reliefs from taxation, are subject to change, and their value depends on individual circumstances. The Financial Conduct Authority does not regulate estate planning, trusts, Will writing, cashflow planning or tax advice.