Badenoch vows to axe Inheritance Tax on family homes

8th October 2026

The family home will be exempt from Inheritance Tax if the Tories get into power, Kemi Badenoch (main image) has revealed.

Speaking at the party’s conference, she said the death tax on family homes would be axed if the Conservatives win the next General Election.

Couples would also get a further £1million allowance that would not be subject to the levy.

“The next Conservative Government will legislate so nobody will ever pay inheritance tax on their family home,” she said.

Badenoch said it remains her ambition to abolish inheritance tax as soon as it can be afforded.

Inheritance Tax bill

The Tory leader stated these changes would reduce every Inheritance Tax bill and cut the number of paying families by more than half.

She also guaranteed no Stamp Duty when buying a home, no Mansion Tax while living in it, and no inheritance tax when passing it down.

Responding to the announcement, Timothy Douglas, Head of Policy and Campaigns of Propertymark, said: “A strong, stable and accessible housing market is vital, particularly as people continue to face pressures around affordability, supply and the cost of moving home.

“The announcements at Conservative Party Conference put taxation and the cost of doing business firmly in the spotlight.
Propertymark has long called for reform of property taxation, so the Conservatives’ ongoing commitment to scrap Stamp Duty on primary homes is significant.

“Stamp Duty remains a major cost for those looking to move and can prevent people from making the move that is right for them.”

The announcements at Conservative Party Conference put taxation and the cost of doing business firmly in the spotlight.”

However, he went on to insist that any replacement must be “properly considered and developed” with the property industry to ensure it supports transactions rather than simply moving the tax burden elsewhere.

He said: “The commitment to remove inheritance tax from the family home will also be welcomed by homeowners and families planning for the future.

“For many, the family home is their most significant asset, so providing greater certainty around passing it on will be important. The detail will matter, and any changes must be clear, workable and considered alongside the wider taxation and housing policy landscape.”

Article by Courtesy of Negotiator Magazine 08/10/2026