The Pensions Advisory Service (TPAS) is planning to target savers who have indicated they plan to make full use of the pension freedoms outlined at Budget 2014, to warn them of the dangers of doing so.
Chief executive Michelle Cracknell said the service plans to contact those who have already told their providers they wish to withdraw their funds. Chancellor George Osborne announced in March the government would remove the tax restrictions on pensioners accessing their pension pots, effectively ending the requirement to buy an annuity. From April, the taxable part of a pension taken as cash on retirement will be charged at the normal income tax rate, down from 55%. The government also increased the total pension savings people can take as a lump sum to £30,000. To help savers ...
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