Below, we break down ten of the key points from chancellor Jeremy Hunt’s Spring Budget, laid out yesterday (15 March).
1) Abolition of pensions lifetime allowance The chancellor completely scrapped the lifetime tax allowance (LTA) in a surprise move and increased the annual allowance (AA) from £40,000 to £60,000. The LTA was originally set at £1.5m when it was introduced in 2006. It gradually rose to £1.8m in 2010 but fell to just £1m in 2016. Upratings since then have seen the LTA grow to £1.1m. The AA was originally set at £215,000 in 2006, rising to £255,000 in the 2010/11 tax year before being cut back. 2) OBR forecasts inflation and living standards The Office for Budget Responsibility pu...
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