A break down of how to protect your clients from the lifetime allowance

Options involving complex protection rules go under the spotlight

clock • 3 min read

With the lifetime allowance (LTA) frozen at £1,073,100 until April 2026, more clients than ever are feeling the squeeze on their pension savings, Bethany Joslyn writes…

Thankfully the freeze was not extended further in the recent Autumn Statement, but we've still seen an increase in queries about what LTA protections are available to clients worried about exceeding the current limit. The good news is that it's still possible to lock in a higher protected LTA with either fixed protection 2016 (FP16) or individual protection 2016 (IP16). Clients can still apply for both as there is no application deadline. But the protection rules can be complex and there are a few technical points to consider when advising clients on this topic. Fixed protection 2016 ...

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