Budget: PTA is dead

In the Budget report, the government says it has become clear providing a meaningful link between term assurance contracts and pension saving is neither practical nor commercially-viable because of the additional administrative burdens this would impose. It says the conclusion is consistent with the experience pre-A-Day, where rules for members of personal pension schemes requiring term assurance premiums to be no more than 10% of pension contributions made the products not commercially viable. It states: “Therefore, in line with the principle that pensions tax relief is provided to p...