Comment and Blogs
Writing an article on “decoupling” in the same month as Valentine’s Day feels a bit “bah humbug” – but rest assured, I'm talking about the link between taking tax-free cash and using pensions to provide an income that faces the prospect of being torn apart, not any romantic relationship.
With 5 April rapidly approaching social media and inboxes are full of the usual “top ten tax year-end tips” headlines. For those who are organised the planning has long been done, allowances used as fully as possible and it’s time to sit back.
One of the big headliners in the Spring Statement was the cut in basic rate income tax from 20% to 19% from April 2024.
Read more: Lisa Webster: Pension tax relief cut is just a scratch
It’s been eight months since the DWP made changes to the statutory right to transfer. Over that time the number of transfers being held up by the new anti-scam measures appears to have steadily increased.
I last wrote in my column on SIPPs Professional about the changes to Normal Minimum Pension Age (NMPA) back in October, when the rules were still under consultation. The industry had highlighted many issues with the proposals and asked for a re-think in terms of how the changes were brought in.
Pension scams are not new but are growing in number and constantly evolving. Thankfully, after a slow start the wheels in motion to combat the scammers are starting to pick up speed.