Steve Webb claims HMRC will 'over-tax' pension freedom users during crisis

Research by LCP suggested that the tax penalties imposed by HMRC for drawing from pension pots would become more severe during the current crisis, as investors looked to take lump sums.  Since the introduction of pensions freedoms in 2015, when over-55s could access their pensions in a flexible manner, rather than using it to buy a regular income. But for those who are drawing their pensions for the first time in this way, the excess tax can amount to thousands of pounds. HMRC figures show that around 330,000 people over 55 have accessed their pensions flexibly during the first qua...