UK government spending over time Share: Note and source Note: The dotted line from 2022–23 onwards shows OBR forecasts consistent with the March 2023 Budget. Source: OBR Public Finances Databank, accessed July 2023. Appears in What does the government spend money on? Related content Inheritance tax explained Inheritance tax is levied on wealth bequeathed at death, or given away shortly before death, above a threshold. Around 5% of all deaths attracted inheritance tax in 2022–23. Taxlab Taxes Explained Composition of estates by value, among those reported to HMRC, 2020–21 Taxlab Data Item Distribution of estate values and average effective inheritance tax rate among taxpaying estates worth more than £300,000 and reported to HMRC, 2020–21 Taxlab Data Item Inheritance tax reductions for gifts before death, 2023–24 Taxlab Data Item