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Govt denies £20k compulsory inheritance levy



The government has denied it is intending to implement changes to inheritance tax rules under which a £20,000 compulsory levy would be applied to the estates of the elderly once they die.

According to reports in the Guardian, the proposals are being considered as a way to fund care for older people in the UK.

However, ministers have spoken out against the suggestions, with health secretary Andy Burnham saying such a move would not be "the right way to go".

The politician, who was appointed to his current role in June last year, did concede that current measures are not sustainable and claimed he wished to implement a "fairer system".

Last summer, the Labour administration proposed three ideas in a green paper, one of which was a partnership model under which people get some but not all of their care costs covered.

In addition, a voluntary insurance model and comprehensive model where people would have to contribute but would get all of their care costs met were suggested.
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