Pictured above: Countrywide Legal Services director Clive Ponder says families should protect themselves from tax attacks

Legal experts are urging hundreds of thousands of families across the UK to take immediate action to protect their assets as the Chancellor of the Exchequer prepares to deliver his latest Budget.

Alastair Darling will deliver the Budget on March 24 and is expected to announce a new round of fiscal measures to help Britain begin balancing its books.

Senior Consultants at Countrywide Legal Services, based in Kenilworth, Warwickshire, believe it is now more important than ever that families consider protecting their assets from the twin threats of inheritance tax and rising care costs.

In his December pre-budget report, Mr Darling said he would freeze inheritance tax (IHT) thresholds for the 2010-11 tax year. This means the nil-rate band will remain at £325,000 per person from April (£650,000 for couples), having been due to rise to £350,000. All estates are taxed at 40% above this.

Meanwhile, a recent poll revealed that most people fear they will not receive decent care in old age but few make any preparations. The YouGov survey found that 59 per cent of people are worried whether there will be good care available for them if they need it in old age. Yet just 10 per cent of those surveyed were putting aside savings, according to the research for the Alzheimer's Society. The poll found few wanted to take the risk that they would have to sell their homes.

Countrywide director Clive Ponder said: "None of us can predict with any certainty what taxation measures the Chancellor will announce. However, I can't stress too strongly how important it is that families immediately begin planning to protect their wealth against the  threats of divorce and separation, creditors and bankruptcy, taxation and the cost of care.

"Hundreds of thousands of households are at risk of paying inheritance tax. The much-criticised tax is charged at 40 per cent on the value of your estate over the nil-rate band threshold, which is £325,000 for an individual and £650,000 for a married couple.

"Once you factor in the family home, holiday properties, buy-to-lets, savings and investments, many people's estates are now well over this limit. However, there are ways to escape IHT and a few simple steps could ensure that your heirs pay nothing."

He added: "Most of us work hard over the years to buy our own homes and build up savings for our retirement and would like to leave something for our children after we are gone. Unfortunately, the costs involved in moving into a care home can literally wipe out your entire savings and your home may be sold to pay for care fees.

"Not only should we consider tax and care costs. Divorce and separation, creditors and bankruptcy can also have a devastating impact on a family's wealth. With the strategic use of trusts we can ensure that a clients assets stay within the family, rather than ending up in the wrong hands."

Countrywide Legal Services is part of a group of companies providing advice in all aspects of estate planning and asset protection, it has a network of fully qualified consultants throughout England, Wales and Northern Ireland. Directors are members of The Society of Trust and Estate Practitioners (STEP).

Consultants can arrange to visit customers at home to discuss their current situation and provide the answers to any questions they may have. Whether you need a simple will, advice on protecting your home from care or have more complex issues, including mitigating tax, Countrywide Legal Services can provide the perfect tailor-made solution. For more information visit www.countrywidegroup.co.uk.