Salary sacrifice schemes 'under threat'

Standard Life marketing technical manager Andrew Tully told the magazine while it was a perennial rumour, abolition was more likely in the run up to the introduction of personal accounts Tully comments: "If employers set up an exempt scheme with salary sacrifice it means their contributions cost less and there must be a doubt as to whether the government would allow that to be a long term option." He says salary sacrifice would become even more attractive from next April when national insurance (NI) on income between the current limit of around £35,000 and the new limit of £40,000 increa...