Why it is time to take a long look at the pension tax regime

What behaviours are we trying to encourage with any tax changes?

clock • 6 min read

Pensions tax reform must reflect behaviours which the nation needs to encourage, writes Adrian Boulding

The recent scrapping of the lifetime allowance (LTA) and the increasing of the threshold for annual allowance (AA) from £40,000 to £60,000 announced in the Spring Budget, lead me to ask the question: What behaviours are we trying to encourage with any tax changes? Three clear behaviours spring to mind: 1. Keep paying into your pension In the case of the NHS' most senior clinicians, it is very clear that we need more of them to carry on working for longer within the NHS to help chip away at those waiting lists. An article entitled ‘The long goodbye? Exploring rates of staff leaving...

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

Do clients already own the best retirement portfolio?

Do clients already own the best retirement portfolio?

'Feeling safer and being safer aren't the same thing'

Alex Funk
clock 29 October 2026 • 4 min read
Budget 26: Government to get rid of two-year tax rule on lump sum death benefits

Budget 26: Government to get rid of two-year tax rule on lump sum death benefits

Changes will also be made to how tax due on excess lump sum death benefits is collected

Jonathan Stapleton
clock 28 October 2026 • 1 min read
Budget 26: State pensioners to be shielded from income tax

Budget 26: State pensioners to be shielded from income tax

State pension expected to rise to £13,036

Sophia Panayi
clock 28 October 2026 • 2 min read