Thanks very much for that reply, it was much clearer to me than the gov web site
My dads total estate with his investments etc and including his house is under the £900K.
Because he is 93yrs he wants to give some of his money away to myself, my 2 brothers and 9 grandchildren.
Am I right in saying he can only give away £3000 in total per tax year to be tax exempt, and if he gives away £250 to us for birthdays and Christmas this comes out of the £3K?
Also he does heavily subsidise one of his granddaughters to the extent of £3K to £4K per year, who is a single parent mother with 2 young children who struggles moneywise. On the gov web site it says that included in exempted gifts are "payments to help with another person’s living costs, such as an elderly relative or a child under 18". This isn't clear as to what extent have you any idea?
Any thoughts would be appreciated.