Will flat-rate tax relief make pensions even more complex?

Keeping it simple is not on the government's to do list

clock • 4 min read

A flat-rate of tax relief is believed to be the Treasury's preferred option for future pension taxation. But can the system ever be simple, asks Neil MacGillivray

As the Budget fast approaches, there has been much speculation as to the outcome of the Green Paper - Strengthening the incentive to save: A consultation on pension tax relief. The aim of the consultation is to consider how to incentivise more people to save for retirement with any government support to be simple and transparent. I am sure we would all accept that these are good intentions but there is great emphasis placed on the long-term sustainability of any changes and can the government seriously achieve simplicity? If the speculation is to be believed it appears the governme...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

Planning ahead of IHT changes: Using pensions to support charities

Planning ahead of IHT changes: Using pensions to support charities

Practical planning steps for advisers

Pooja Shah
clock 16 April 2026 • 5 min read
FCA to take action against Hartley Pensions and involved individual

FCA to take action against Hartley Pensions and involved individual

Entered administration in 2022

Jen Frost
clock 15 April 2026 • 2 min read
From A-day to IHT: How government forgot the meaning of 'consultation'

From A-day to IHT: How government forgot the meaning of 'consultation'

'What is particularly galling is that there were viable alternatives'

Rachel Vahey
clock 14 April 2026 • 3 min read