Speaking at the Northern Research Group conference in Doncaster, George Osborne (right) said he would like people to start paying the fee as it goes up 'over time' Photo: Pennsylvania.
George Osborne said inheritance tax thresholds should go up with inflation to prevent more grieving families from being pulled into “webs” set by the state.
The former chancellor said he would like to see the bar for payments increases over time, when financial situation allows.
It comes as The Telegraph is campaigning to end the collection and more than 50 MPs are showing their support ahead of a likely general election. next year.
As Shadow Chancellor, Mr. Osborne promised to eliminate the death tax for all but the wealthiest ahead of the 2010 election.
The move was so popular that many believed he kept Gordon Brown from calling an early election.
But the point at which the tax kicks in has since remained unchanged at £325,000, and the proportion of homes at risk from the tax has more than doubled since the Conservatives came to power.Current chancellor Jeremy Hunt has frozen the threshold until 2028.
0905 Inheritance tax revenue
Speaking to reporters at Northern Research Group's second annual conference in Doncaster, Mr Osborne said he would like to so that the level at which people start paying tax increases “over time”, especially in conditions of high inflation.
He said: “At the moment, I see that Jeremy Hunt has to stabilize the public finances, otherwise the tax cuts will not be long-term, because they will need to be canceled.
“With inheritance, the tax is what I'm on looked like a chancellor… you'd like thresholds to go up over time, especially when you're having a lot of inflation right now.
“But you can only do that if you have spending control” .
In a scathing criticism of previous administrations, he said it would be wrong to borrow money or let spending get out of control. controls to fund tax cuts.
The former chancellor said it would be wrong to borrow or let spending run out of control control to finance tax cuts. Photo: PA
“The truth is that we recently did two experiments in Britain,” he said.
“One of them was, 'Let's see if we can lower taxes by borrowing money,' and the global markets rejected it, and interest rates went up and the Truss government fell.
“And we spent a sort of the “let's just not control spending” experiment. It didn't work very well. So you have to control spending, and that's a way to lower taxes.”
When asked if he ideologically supports death tax reform, he said, “If you want to make sure more and more people don't get caught in the inheritance tax net, you can only do that if you get control of the public finances.”
Though his proposal to raise the threshold to £1 million was blocked by the Liberal Democrats. , Mr. Osborne did introduce a new “family home allowance” when he was chancellor that came into effect after he left government.
This means parents and grandparents can transfer up to £1 million of their assets are tax-free if their primary residence is left to their children or grandchildren.