Fears grow over pension tax relief and tax free lump sums

There are growing fears that Chancellor George Osborne is planning to make changes to pensions which could see a reduction in their tax efficiency. It is understood that the Treasury are considering two options, which could see the tax relief on contributions for higher rate tax payers restricted or the amount of tax free lump sum allowed at retirement capped or reduced. Pre budget statement The Chancellor is due to deliver his pre budget statement on 29th November and it is thought by some experts that changes to the pension system are likely. Reducing tax relief for higher rate tax payers would see huge ...