People who have already taken their tax-free lump sum will be given more time to decide what they want to do with the rest after the government scrapped the rule forcing action to be taken within six months.
The move comes alongside the Chancellor's sweeping pension reforms, the first tranche of which come into force today. The government said it would introduce legislation in the Finance Bill 2014 to ensure people do not lose their right to a tax-free lump sum if they would rather use the new flexibility this year or next, instead of buying an annuity. The changes are designed to give thousands of people more control over their pension savings and give about 85,000 ‘much greater freedom to drawdown their pension'. > To view the Treasury's factsheet on the changes, click here < Cha...
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