Govt warned not to make 'curate's egg' of pension tax reforms

The government is consulting on plans to reduce the cap on the annual pensions allowance from £255,000 down to £40,000, and drop tax relief from up to 50% to a maximum of 40%. However, it intends to apply a complex layer of charges on excess contributions over the annual allowance which could ultimately bring the tax relief to 0% on the excess. Pensions experts have been expressing their concerns over the past months that the proposed system is far too complicated. Their worries have been supported by a recent survey by SIPP provider A J Bell of investors and adviser. "The resul...