Rachel Vahey: Setting the scene for pension tax relief changes?

'A big change for HMRC'

clock • 4 min read

Rachel Vahey looks at the mechanics of solving the net pay anomaly and asks if the significant system build needed to facilitate it will pave the way for further, more significant pension tax relief changes...

As far as personal finance went, last month's budget was a quiet one. The bad news of a temporary increase to National Insurance contributions and creation of the new health and social care levy had been announced the month before, leaving the Budget free to be full of good news - from universal credit reform through to a reduction in the duty on prosecco. Another piece of good news was that over a year since the consultation had closed, HM Revenue & Customs (HMRC) had finally decided how to award very low earners paying into a pension the same amount of tax relief regardless of the type...

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

HMRC updates on information sharing for IHT on pensions

HMRC updates on information sharing for IHT on pensions

Second technical note

Alex Levy
clock 01 September 2026 • 2 min read
Pension first or last? What the numbers really tell us

Pension first or last? What the numbers really tell us

'Focusing solely on reducing the pension before death can increase lifetime tax'

Joshua Croft
clock 28 August 2026 • 4 min read
IHT on pensions: New thinking on taking income in retirement?

IHT on pensions: New thinking on taking income in retirement?

‘This has undoubtedly had a huge impact on planning for many clients’

Lisa Webster
clock 26 August 2026 • 3 min read