Assets exempt from IHT to grow in popularity as freeze takes toll

With the new interest rate environment, leveraging to invest will only attract the most bullish investors.

Ritchie said those with surplus capital and a shorter timeframe to invest will be relieved they can take advantage of attractive yields on cash to enhance the return on funds earmarked for future spending.

"During times of economic strain, deposit holders would do well to pay extra care to the counterparty strength of their deposit taker – attractive rates may lure deposit takers in but let’s not forget return of capital is more important than return on capital."

ruby.hinchliffe@ft.com