The Labour Party’s denouncement of the government’s plan to scrap the lifetime pension allowance (LTA) as a “£1bn bung to the richest 1%” is short-sighted, Barnett Waddingham says.
The consultancy said Labour was making the move an "election battleground", pointing towards the political party's analysis that the average worker would have to save for 400 years to benefit from the change. This comes after chancellor Jeremy Hunt announced the government would scrap the LTA as part of the 2023 Spring Budget in March. Barnett Waddingham associate Phil Duly said the government's proposed removal of the LTA was a blunt tool to encourage specific groups with defined benefit public sector pensions, such as doctors and consultants, to remain economically active. He sai...
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