Second lifetime test in Revenue summer plans

These new pension plans will form part of the pension simplification regime from the 6 April 2006, which will see proposed legislation issued in draft format during the summer, according to the Revenue. Having been in unsecured (annuity or ASP), any further purchase from clients will give rise to a second lifetime allowance test, as anticipated a few months ago, says John Lawson, senior technical manager at Standard Life. “This is a massive issue for advisers who are looking at advising clients whether to claim enhanced protection,” says Lawson. He suggests where clients want to go in...