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October 2016 Newsletter


“It is the lives we encounter that make life worth living.” Guy de Maupassant.


Networking can certainly be very entertaining and very beneficial to business. The last fortnightly Tuesday Shout Network meeting at Preston North End certainly conjured up an eclectic mix of characters and businesses! From the effervescent presentation of Shane from Stone Create to the mind-blowing magic of David Bugess there wasn’t a dull moment to be had. The Shout meetings also provide for an ideal opportunity to forge working relationships. We were proud to have a one-to-one with Heather Bryan from 20:20 Mediation and learn more about the life-changing work of Chris Burgess. Both Heather and Bryan will be showcasing their businesses in our upcoming newsletters.

 “The only way to predict the future is to have power to shape the future.” Eric Hoffer.

Business Communication Duplicate model

LinkedIn is a brilliant way to grow your business network and connect with like-minded individuals. It also provides for a platform for forging strong links, raising awareness of your own business whilst also promoting those who fit with your own ethos and values. This month we have met with Lisa McAllister, Liz Hardwick and Tina Cook. Next month we will be meeting with Jordan Sands. Linking in with those we have met to date has been a really positive thing and we thoroughly enjoyed welcoming Lisa, Liz and Tina to our Fulwood office.

“Personality has power to uplift, power to depress, power to curse, and power to bless.” Paul Harris.

We certainly hope that our interactions with others are nothing but uplifting! A chance meeting in August in Lancaster has led to us to making a connection with the last Thursday Networking Group which is held at the Sphere Bar in Lancaster. Last month, this was sponsored by Oglethorpe Sturton and Gillibrand LLP. We stumbled across Charlotte and Pamela at a NatWest First Time Buyers Event and they subsequently invited us to this networking group! Keep your eyes open. Opportunities abound – if you’re only looking!

“Watching your daughter being collected by her date feels like handing over a million dollar Stradivarius to a gorilla.” Jim Bishop.

Delighted to say we feel the exact opposite as we launch our “Over to You” section of our Newsletter. This month, we are delighted to introduce an invaluable piece from Victoria Taylor from Napthens. Victoria’s easy style delivers a very important message. Over to you, Victoria.

“The Residence Nil Rate Band – the devil is in the detail!” Victoria Taylor TEP. Solicitor at Napthens LLP.


“In this year’s Summer Budget the Chancellor, George Osborne, announced the introduction of an additional Inheritance Tax Relief for the family home. This is in line with the pre-election promise to remove family homes worth up to £1 million from Inheritance Tax. Although this headline figure still applies, as always, the devil is in the detail and the new rules are not entirely straightforward.

Under current rules, each individual has nil rate band allowance of £325,000 which is the amount any individual can pass Inheritance Tax free upon their death. For married couples this allowance can be added together giving married couples a combined allowance of £650,000.

Although historically the nil rate band has increased in line with inflation, it has been announced that it will now be fixed at £325,000 until 2020/2021.

The new main residence nil rate band will work alongside the existing nil rate band and will be phased in from April 2017 as follows:

  • 2017/2018 – £100,000
  • 2018/2019 – £125,000
  • 2019/2020 – £150,000
  • 2020/2021 – £175,000

Like the traditional nil rate band, the residence nil rate band can be combined for married couples giving the headline figure of £1 million in 2020/2021.

However, there are a number of limitations to the applicability of the new residence nil rate band. In order to qualify the family home must be left to direct or lineal descendants and in order to ensure this it is crucial that the Will is correctly structured. For example, if the Will leaves 50% of the estate to children and 50% to charity, the value of the house will be divided and only 50% will be deemed to pass to the children and therefore qualify for the relief.

If the deceased owned a number of properties, the Executors can select which property is to benefit from the relief providing that the deceased did live in the property at some point during their lifetime.

The Residence Nil Rate Band is intended to benefit the middle classes not the super-rich and therefore when the net value of the deceased’s estate is more than £2 million, the relief will be withdrawn by £1 for every £2 that the value exceeds the £2 million threshold. The net value is pre-deduction of some current inheritance tax reliefs such as Business Property Relief and Agricultural Property Relief so business owners and farmers may lose out.

The Residence Nil Rate Band has been criticised for being unfair and overly complex and it is a lot more limited in its effect than originally envisaged. The devil really is in the detail and consequently it is important that proper advice should be obtained.”


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