HMRC have closed down a specialist unit set up to review Family Investment Companies (FICs) having gained a better understanding of what they are and how they are used.

HMRC concluded that there is no evidence linking the use of FICs with non-compliance. FICs are sometimes used as an alternative to trusts as succession planning/wealth holding structures. FICs will no longer be required to be dealt with by a dedicated team but will be treated as ‘business as usual’.