40 million people face tax raid from HMRC after not completing one document

40 million UK households are at risk of a tax raid from HMRC because they haven't completed one document. Nearly 40 million Brits have been revealed to be without a will as an inheritance crisis looms under the new Labour Party government.

Co-op Legal Services’ research reveals that only 28% of UK adults claim to have a will, with nearly 40 million without one. Meanwhile, nearly a fifth believe that they don’t need a will, according to the member-owned business. The average value of an estate administered by Co-op Legal Services is over £300,000.

Additionally, only a fifth of Brits have life insurance, which could leave families even more financially vulnerable. The average age to write a will is 58, compared to the significantly younger average age of buying a first home, which is 36.

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James Antoniou, Head of Estate Planning at Co-op Legal Services, said: "Of course, when it comes to estate planning, the impact that our death would have on our loved ones can be a difficult subject to broach. Our research suggests that a large proportion of the population have not put a legally valid will in place. However, this is an essential part of planning for the inevitable and is something that we should all take the time to do.

"A will enables you to plan and record your wishes so that they can be legally recognised, as well as take advice from a regulated provider so that you’re making informed decisions. Just these two steps can significantly mitigate complications arising and potentially help the probate process to run more smoothly for your loved ones."

Wills are a crucial legal document offering individuals invaluable peace of mind that their wishes will be legally recognised and that vital assets such as property and savings can be protected for their loved ones after they’ve gone.

Concerningly, with so many without a will, millions of families could be left in a financially, as well as emotionally, difficult position.