192 | Octopus Investments: Business Relief explained

Investments that qualify for Business Relief provide relief from inheritance tax and can help investors pass on more to loved ones.
We’re the largest provider of investments that qualify for BR, so we’re well placed to help you understand them.
In fact, we’ve managed these investments since 2005 and we look after more than £3.9 billion across our range of BR products.
Watch our short video which explains:

• What Business Relief is
• Why invest
• An example scenario

Please read the risk information before making an investment decision.

Reasons to invest

Access and control

Investments stay in the shareholder’s name, meaning they retain access to their wealth and can sell their shares later on if they need to.

Fast inheritance tax exemption

BR-qualifying investments can be free from inheritance tax after just two years, which is significantly faster than options such as gifting.

Opportunity for investment growth

BR-qualifying investments give investors the opportunity to grow their capital, with a range of products available to suit different appetites.

Supporting UK businesses

BR-qualifying investments provide long-term capital to UK businesses which create jobs and stimulate the economy.

Risks to bear in mind

Capital at risk

The value of an investment, and any income from it, can fall as well as rise. Investors may not get back the full amount they invest.

Tax relief can’t be guaranteed

Tax relief depends on the companies invested in maintaining their BR-qualifying status. Tax treatment depends on individual circumstances and tax rules could change in the future.

Volatility and liquidity

The shares of AIM-listed and unlisted companies could fall or rise in value more than shares listed on the main market of the London Stock Exchange. They may also be harder to sell.

Assessed case-by-case

HMRC will only conduct a BR assessment after the death of an investor, to confirm whether the companies invested in qualify for BR at that time.

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