A petition calling to stop inheritance tax (IHT) coming under the scope of pension pots has passed 10,000 signatures within a month.

The petition, launched by SeaBridge SSaS director, Nathan Bridgeman, is seeking to stop the “double tax” of IHT and income tax on pension funds and death benefits.

In October last year, the Chancellor announced in the Budget that most unused pension funds and death benefits would be included in the value of someone’s estate for IHT, with these changes to come into effect from April 2027.

The move prompted criticism from organisations within the pensions industry, however, and Bridgeman’s petition has suggested that when someone dies this policy could now result in a “disproportionate and unfair double taxation on beneficiaries”, leading to a “disincentive” to funding a pension.

The Government will respond to all petitions that get more than 10,000 signatures. At 100,000, the petition would be considered for debate in Parliament.

“We think the Government need people to take responsibility for providing income in retirement and the simplest and most effective way for the majority to achieve this is a pension,” the statement for the petition reads. “We think the tax on pensions funds and death benefits is a disincentive for most people to funding a pension.

“Many people want to leave their pension fund and death benefits to their chosen beneficiaries, usually children or grandchildren. We think this double taxation – income tax and IHT – means a lot of beneficiaries may have to pay 67% tax.”

All petitions run for six months and the deadline for signatures is set at 7 February 2026.

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