HMRC corrects LTA legislation to relieve stuck pensions

Abolishing the LTA was always going to be a complex legislative process

clock • 3 min read

Rachel Vahey shares her technical insight on legislative changes made to correct lifetime allowance (LTA) abolition mistakes...

The new pension tax rules are now over six months old. But still, they are not yet completely correct. Only two days before the start of the tax year, HM Revenue & Customs (HMRC) published a newsletter cautioning that parts of the legislation were wrong, and warning that some pension scheme members may need to wait until changes were made before taking or transferring certain benefits. The result is that some pension schemes have been unsure whether paying out or transferring would land pension savers with a later unwanted tax bill, leaving some people effectively stuck in the same pl...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

Majority of self-employed women fail to assess maternity leave/retirement impact

Majority of self-employed women fail to assess maternity leave/retirement impact

Just 18% said they had completed detailed planning on mat leave financial impact

Jenna Brown
clock 09 March 2026 • 2 min read
Everything advisers need to know about using a DB SSAS

Everything advisers need to know about using a DB SSAS

A DB SSAS operates using the regulatory framework as traditional DB pension arrangements

Caitlin Southall
clock 06 March 2026 • 4 min read
Pension transfer times got faster in 2025

Pension transfer times got faster in 2025

Transfer times took 10.2 days to complete on average, Origo finds

Jasmine Urquhart
clock 05 March 2026 • 1 min read