December's pre-Budget report announced measures to try to stave off the worst effects of the financial crisis.
The Government had already warned those with the widest shoulders would carry the burden of helping the UK back into the black. Following the dangerous precedent set in April’s Budget when the link between income tax rates and pensions tax relief was severed, pensions were an easy target. But with a surprise extension to the pensions reform timetable, as well as the feared further unravelling of pensions tax simplification, the Chancellor managed to hit both high and low earners. April’s Budget announced higher rate tax relief on pension contributions would be restricted, from 6 April 20...
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