Factsheets

Changes to the Lifetime Allowance from 6 April 2016

In his 2014 Budget, the Chancellor announced that the LTA would reduce from its current value of £1.25m to £1m with effect from 6 April 2016 and transitional protections will be available for those already with large pension rights.

The LTA will be indexed so that it increases by the Consumer Price Index (CPI) measure of inflation from 2018 onwards.

 Download this Factsheet (January 2016, PDF, 2 pages, 48KB)
 Download Supplementary Notes (January 2016, PDF, 3 pages, 57KB)

 

Changes to the Annual Allowance

From 6 April 2016, those with annual incomes of over £150,000 will have their Annual Allowance (AA) reduced by £1 for every £2 of adjusted income exceeding £150,000 so that those with annual incomes in excess of £210,000 will have a reduced AA of £10,000.

 Download this Factsheet (January 2016, PDF, 4 pages, 57KB)
 Download Supplementary Notes (January 2016, PDF, 3 pages, 59KB)