I can’t be alone in thinking that the recent House of Lords committee sessions on the Finance Bill and, in particular, discussion on bringing unused pension pots into scope for inheritance tax (IHT) made for interesting viewing.

Last month I talked about the headaches and liabilities of being a personal representative (PR) for a deceased’s estate when pensions are included for inheritance tax (IHT) purposes from 6 April 2027.

I’m sure many of you reading this on SIPPs Professional will have had more than a few conversations with clients about estate planning – especially considering the news that pensions are to be included in the value of the estate for IHT purposes from April 2027.

Only 42% of people have a clear understanding of what their retirement options are, leaving them at risk of sleepwalking into bad decisions, new research has warned.

The majority of UK workers reckon a strong pension is more important than flexible working, bonuses, healthcare and lifestyle perks when joining a new company.

Some 57% of workers said a workplace pension is very important when deciding whether to join a new company.

They ranked it above flexible working, bonus schemes, healthcare plans and lifestyle perks such as gym memberships or work socials, in research published today by pension provider Penfold.

While traditional perks remain appealing, employees are increasingly focused on benefits that offer future security. A strong workplace pension now plays a more central role in how workers judge whether an employer is investing in their wellbeing, the firm said.

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Despite the shift, many employers appear out of step with employee priorities with more than half of SMEs (54%) saying they give the same or higher priority to benefits such as travel assistance (59%), work socials (55%) or salary advance schemes (50%) than to workplace pensions.

Chris Eastwood, CEO and co-founder of Penfold, said: “There’s a clear gap between what employers think will attract people and what jobseekers actually care about. Perks can make a workplace more enjoyable, but when someone is choosing between job offers, they’re asking which employer is investing in their future.”

The research was echoed in another study published at the end of last week which showed increased pension contributions is the most desired employee benefit for 2026.

The survey by benefits hub Epassi UK showed that nearly a third (31%) of employees rank increased employer pension contributions as the most important perk for their 2026 benefits packages – rising to four in ten (40%) of those aged over 55.

The most sought-after benefits according to the research are:  

Rank - % of all employees prioritising this benefit

1 - Increased pension contributions (31%) / Unlimited paid time off (31%)

2 - Private medical insurance (30%)

3 - Hybrid working (22%)

4 - Wellbeing allowance to spend on what you choose (21%) / Discounts/Vouchers on high street shops/brands (21%)

5 - Remote working weeks / ‘Work from anywhere’ policies (18%) / Employer contribution to energy costs at home (18%)

Matt Russell, CEO of Zest and Epassi UK, said: “Employees are demanding more financial support from their employers, particularly to provide a boost to their retirement planning. 

“As many businesses face increased costs and struggle to raise salaries, leaders should be looking for alternative solutions to maintain morale and support the financial wellbeing of employees. Employers who are unable to do this risk losing talent, which impacts their competitive edge and ultimately productivity.”

• Penfold research based on a survey of 2,000 employees and 500 SMEs conducted by Penfold.
• Epassi UK research was conducted by independent research agency Opinium which surveyed 2,000 adults weighted to be nationally representative between 5-9 December 2025.