Pensions tax relief shift could cost 'squeezed middle' £3,000 a year

A higher rate tax-payer investing £4,000 into a personal pension could lose £56,000 over a period of 20 years of saving. At today's rates, that compares to an annuity of almost £3,000 per year for a couple retiring at age 65, or £3,500 a year for a male retiring at age 65. Investment director, Tom Stevenson, said: "It is concerning that the coalition would be considering such an attack on people taking responsibility for their financial futures. The message it sends out about the Government's attitude to saving is wholly wrong." From April, changes to higher-rate tax and personal a...