Kay Ingram: Sunak's LTA freeze creates 'bizarre disincentive'

Spring Budget announcement

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Kay Ingram: "Imposing the LTA as well inhibits investment risk-taking which in other parts of his speech the Chancellor sought to encourage."
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Kay Ingram: "Imposing the LTA as well inhibits investment risk-taking which in other parts of his speech the Chancellor sought to encourage."

Chancellor Rishi Sunak sent a confusing message to pension savers when he froze the LTA in the Budget. If investment success could be rewarded with a tax bill it creates a bizarre disincentive, writes Kay Ingram

Pre-Budget rumours that tax relief on pension savings would be reduced to a standard rate, rather than the more generous marginal income tax rate of 40p or 45p in the pound did not surface in Sunak's second...

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