Most families plan to leave an inheritance – but will it still hold its value?

Britannia Bullion says families should focus on preserving purchasing power, not just passing on wealth

Most older Britons still expect to pass wealth to the next generation through their estate, despite growing concerns about inheritance disputes and changing inheritance tax rules.

New YouGov research commissioned by financial planning firm and SIPP provider Mattioli Woods[i], found that 64% of UK adults aged 55 and over have witnessed inheritance disputes, while one in four (25%) have never discussed inheritance with their family. Despite this, most still intend to pass on their wealth after death rather than making significant lifetime gifts.

Matthew Jones, Co-Founder and Precious Metals Analyst at Britannia Bullion, believes the findings highlight another question families often overlook which is whether the wealth they leave behind will retain its purchasing power for future generations.

He said: “What’s interesting is that, despite changing inheritance tax rules and growing awareness of family disputes, most people aren’t fundamentally changing how they plan to pass on their wealth. That tells me the conversation shouldn’t just be about when wealth is transferred, but what is being passed on.

“Most inheritance conversations focus on who receives what and how much tax might be due. An equally important question is what that inheritance will buy in ten, twenty or thirty years’ time. Estate planning shouldn’t simply be about passing on wealth; it should be about passing on purchasing power.”

Britannia Bullion says physical investment gold is increasingly being viewed as part of a long-term wealth preservation strategy rather than simply an investment. Unlike cash, which can lose spending power through inflation, physical gold has a long history of acting as a store of value across generations.

Under current UK tax rules, investment-grade gold bars and coins are exempt from VAT, while UK legal-tender investment gold coins such as Britannias and Sovereigns are exempt from Capital Gains Tax. Like most assets, however, physical gold normally forms part of an estate for Inheritance Tax purposes if held at death.

A family tradition that paid off years later

For one East Anglian family, gold became more than an investment—it became part of their family’s legacy.

Their grandfather, a lifelong coin collector, wanted each of his grandchildren to own something tangible that would still hold value in years to come. Before he died, he gave each of them a gold coin. At the time, they were treasured as keepsakes rather than financial assets.

Years later, the coins proved valuable in different ways. One granddaughter sold two of them to raise around £2,500 to help launch her first business. Her brother chose to keep his coins as a long-term investment, while their mother invested part of her own inheritance in physical gold as a financial safety net she hopes to pass on to future generations.

Jones said: “Stories like this show how physical gold can become part of a family’s long-term financial legacy. Whether it’s eventually used to help fund a first home, education, a new business or simply passed on again, many families value owning something tangible that has preserved wealth across generations.”

While financial advisers stress that inheritance planning should always reflect individual circumstances and professional advice, Jones believes families should think not only about transferring wealth efficiently but about preserving its real-world value for the people who will eventually inherit it.

He added: “The question is no longer simply what you’ll leave behind. It’s whether what you leave behind will still make the difference you intended when your children or grandchildren eventually need it.”