Conservative leader Badenoch vows to eliminate inheritance tax on homes

In a speech at the Conservative conference in Birmingham's Symphony Hall, Kemi Badenoch announced plans to remove inheritance tax on family homes and increase the couple's tax-free threshold to £1 million. She said the party’s ultimate goal is to abolish the tax entirely when the budget permits, but current spending commitments on defence, prisons and the economy prevent an immediate proposal. Badenoch positioned the policy as a correction of a tax that now affects ordinary middle-class families, while criticizing Labour and Reform UK.

Critics from Labour, Reform UK and the Liberal Democrats argued the change would favour the wealthy and add unfunded promises. The Conservatives calculate the reform would cost roughly £6 billion annually, but claim they can find £71 billion in savings across government spending.