Pension tax relief costs soar to £41bn as auto-enrolment gathers pace

Latest figures from HM Revenue & Customs (HMRC), also showed an additional £16.9bn in National Insurance relief on employer contributions brought the total to £41bn. Provider AJ Bell said the total bill for pension tax relief would continue to grow as auto-enrolment reforms - such as scrapping the earnings band and extending the reforms to 18-year-olds - come into force. Senior analyst Tom Selby said the cost of providing pension tax relief seemed "inexorable" and predicted the Treasury would again look at the issue. "With anaemic GDP growth putting pressure on public finances and ...