Some good news for Pensions in the 2023 Spring Budget.
One of which was the removal of the Lifetime Allowance charge for the tax year April 2023 to April 2024.
(With plans for a future Finance Bill to abolish the Lifetime Allowance from April 2024)
However, it’s important to note that the maximum tax-free pension commencement lump sum will still be capped at £268,275 (i.e., a restriction of 25% of the current lifetime allowance) for individuals without relevant pension protections and maintained at that level.
To learn more about how this might affect your retirement plans, speak to one of our advisers!