Conservative Party leader Kemi Badenoch announced a pledge to scrap inheritance tax (IHT) on family homes and allow couples to leave £1 million tax-free. The commitment was made during her keynote speech at the Conservative Party conference in Birmingham.

Badenoch articulated a long-term ambition for a Conservative government to abolish IHT entirely, but acknowledged current spending priorities on defense, prisons, and the economy make immediate full abolition unfeasible. This proposal aims to address a key area of concern for many families regarding the taxation of inherited assets.

The plan, which would allow couples to pass on up to £1 million without incurring inheritance tax, has drawn criticism from rival parties. Opposition groups have suggested the proposals disproportionately benefit wealthier individuals in the country.

Badenoch's speech also focused on differentiating the Conservative Party from Labour and the Reform UK party. She positioned the Tories as a "no-nonsense" alternative to what she described as the "Reform UK circus" and criticized Prime Minister Andy Burnham, suggesting he "wanted to live in the past."

The Conservative leader acknowledged the party's current polling position, admitting that while voters "like what they see" in the party, "not enough of them are buying yet." She drew a parallel to the retail brand Marks and Spencer, suggesting the party needs to "adapt their style for today's market" to regain public trust and support.

Addressing potential defectors to Reform UK, Badenoch stated that many Reform voters are "our people" and expressed a desire for them to return to the Conservative fold. She firmly rejected the idea of a "unite the right" strategy with Reform UK, emphasizing that "character, conduct, and standards matter" and that the public deserves better leadership.

Further highlighting the divisions, Badenoch expressed a desire not to live in a country "run by people who debate whether my mixed-race children are English." This sentiment was part of a broader effort to define the party's values and appeal to a wider electorate.

Speculation about potential changes to IHT had been circulating in the days leading up to Badenoch's address, with her announcement confirming these expectations. The 66-minute speech aimed to rally party members and outline a vision for the Conservatives' future direction.