You heard it here first, the Lifetime Allowance won’t, it seems be reintroduced when/if Labour win. Their knee-jerk reaction to its abolition last year was that they’d bring it back. Whilst getting (sort-of) rid of it has been a mess, trying to bring it back would be still-messier, with all sorts of what-if legislation needed to cover those who’ve taken action thinking it would stay abolished. And of course, there were all those NHS doctors and other well-pensioned but still-needed professionals who were packing it in as soon as their pensions became big enough to pay the penalty tax.
“Record year for annuity sales driven by advisers”
I was asked this week whether annuities are now ‘a good investment’. They’ve been recommended very rarely in recent years, since ‘pension freedoms’ allowed pretty much unlimited drawdown on pension funds and anything left to be passed on to beneficiaries free of Inheritance Tax.