This is how much extra clients are pulling from their pensions over IHT fears

You’re probably already hearing it from your clients. Worries about unused pensions being subject to inheritance tax. Well new research from advice firm Wesleyan has put some figures on just how much concern there is out there among advisers and their clients – and the action it's sparking.  

Wesleyan surveyed 300 UK-based financial advisers between 24th March and 30th April 2026. Almost all – 90% – said they have seen an increase in clients accelerating pension drawdown ahead of IHT changes in April 2027.

Maybe most interesting is nearly three quarters say clients are increasing withdrawals by between 5% and 15%. Not just that, but 18% of advisers said they were increasing withdrawals by more than 16%.

Advisers are worried about the long-term impact of accelerated pension drawdown on their clients’ finances.

Nine in 10 said they were concerned about volatility drag  – where market fluctuations erode returns over time – and pretty much the same amount (88%) are worried about sequencing risk – the danger of poor investment returns early in retirement reducing the sustainability of withdrawals.

Advisers are also, quite naturally, concerned for their own businesses. More than nine out of 10 fear increased market volatility during accelerated drawdown could affect their firm and put recurring income at risk.

At this tricky time, when clients need even more trust in and reassurance from their financial adviser, you might find yourself more stretched than usual. Supporting any changes to withdrawal strategies with robust planning and advice.

At The Timebank we know how to step in and step up at just the right moment to save you time and keep everything on track. Think of us as your suitability gurus. Your number crunching nerds. Chat with us today to see how we can help.