The Spring Budget on 15 March 2023 included some updates to pensions tax allowances, these changes include:
- Annual Allowance will increase to £60,000 from the 23/24 tax year
- Lifetime Allowance will no longer apply from 6 April 2023
- Tapered Annual Allowance threshold will increase to those with taxable earnings of over £260,000 from the 23/24 tax year and the minimum Tapered Annual Allowance will increase to £10,000
- Money Purchase Annual Allowance will increase to £10,000 from the 23/24 tax year
- The maximum tax-free lump sum available will be the lower of 25% of the value of your pension benefits or £268,275
You can find more information on these changes at Abolition of Lifetime Allowance and increases to Pension Tax Limits - GOV.UK (www.gov.uk)