After rumours resurfaced that the pension tax-free cash lump sum would be impacted in the Autumn Budget, financial advisers have shared that this caused concern among clients.
Despite speculation that chancellor Rachel Reeves' would tinker with pension lump sums in the Autumn Budget the allowance remained unchanged. The current tax-free lump sum for pensions stands at 25% up to £268,275. In the lead up to the Budget, it was reported that civil servants were looking at cutting this to £100,000 – meaning anyone with a pension pot more than £400,000 would have been affected. This same speculation circulated ahead of last year's Autumn Budget, which led to many people rushing to withdraw tax-free cash only to find that Reeves had decided to leave it untouched. ...
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