All change: Adjusting to life after the lifetime allowance

Despite initial confusion new system is 'surprisingly straightforward'

clock • 5 min read

Susan Dalton looks at life after the LTA and says while it is taking time to iron out the creases some clients are better off under the new regime...

Whilst the abolition of the lifetime allowance (LTA) has been welcomed, the last 12 months have been an uncertain time for many. What's the issue? To start with, changes were made in the 2023/24 tax year prior to the complete removal of the LTA. Then, from 2024/25, there have been (and still are!) ongoing clarifications of the new rules, tweaks to the legislation and various transitional arrangements that have become the order of the day. Further regulations continue to be published to tweak areas where the new legislation doesn't achieve the policy intent. But let's consider the...

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