Lib Dems propose £250k cut to pensions LTA

The paper signals a departure from the Lib Dems' previous stance, where the party called for a cut to pension tax relief for savers in the 40% tax bracket. It also rejected three policies on tax relief that the party considered in a spring 2013 consultation. These included cutting the annual allowance from £40,000 to £30,000, cutting the tax-free lump sum, and applying National Insurance charges to employer contributions. Towers Watson senior consultant Jackie Holmes said: "Scrapping higher rate tax relief is much easier said than done. This is a policy with lots of noisy cheerleaders...