Agreed, suttonJ. Housing somehow needs to be taken out of the equation, but it is so enmeshed in the economy that it's difficult to know how it can be.
It is ridiculous that someone in the SE should get the same treatment as someone in the NE (as examples of where housing is very different in price) but the SE person be left with hundreds of thousands in their estate and the NE one wiped out.
Maybe a percentage of the value of the total estate would be fairer, but even then it doesn't take account of those who have spent every penny. And yes, I know that some people can't save, but I am talking about people on good incomes who spend on holidays, cars and so on and have nothing left in retirement when a colleague on the same salary has made provision and then gets penalised for doing so.
Arguably, any approach that takes account of housing will encourage a boom in prices too, as it will be an advantage to put as much as possible into property where money will be safe after the initial slice is taken. Again, benefiting the better off and those in the South.
Or maybe after the recent defeat at the polls, winning back Southern voters is the motive?