Is this the closing chapter for the lifetime allowance?

'It is time to rewrite the narrative around the taxation'

clock • 3 min read

Carl Lamb believes the LTA causes more problems than it can possibly resolve. Here he explains his logic...

Once upon a time, in a world before A-Day in 2006, you could build up your pension savings to whatever level you liked. As advisers, we could tell our clients they were free to put what they want aside for their futures, so encouraged them to invest in their pensions…  Then A-Day happened and a new concept was introduced: the lifetime allowance (LTA).  The cap of £1.5m seemed enormous back then and we were reassured that it would only affect a handful of very wealthy pension savers. We didn't panic: we could still encourage most of our clients to plan ahead and build up their pension ...

To continue reading this article...

Join Professional Adviser

  • 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

Cost of living crisis spurs shift in pension contributions

Cost of living crisis spurs shift in pension contributions

Change in contribution is not exclusive to workplace pensions

Sahar Nazir
clock 02 October 2023 • 1 min read
Cost of living crisis drives pensions freedom flexible withdrawals

Cost of living crisis drives pensions freedom flexible withdrawals

Total flexible withdrawals top £72bn since April 2015

Jenna Brown
clock 27 September 2023 • 2 min read
HMRC stats show sharp rise in people breaching pension tax limits

HMRC stats show sharp rise in people breaching pension tax limits

Chancellor felt ‘forced’ to act as number of people caught increased

Jenna Brown
clock 27 September 2023 • 5 min read