The average inheritance tax bill reached almost £200,000 in the last tax year - up £60,000 in five years, according to analysis of HMRC receipts by financial advice firm and insurer NFU Mutual.

Families have been hit with a record £5.4bn in Inheritance Tax (IHT) bills in the past year, according to new analysis.

Pension tax relief has soared by 40% in the last five years to £25.6bn and may be cut back, a Chartered Financial Planner fears.

A crackdown on inheritance tax has helped the taxman’s receipts rise faster than the start of any tax year since 2010, warns a leading Chartered Financial Planner working at NFU Mutual.