What is pensions simplification?
The new regime that starts on A-Day is intended to simplify pensions. One universal regime will replace the eight existing tax regimes. This will affect both occupational pension schemes and personal ones. Instead there will be two controls: the pension lifetime allowance and pension annual allowance. At present the limits on annual contributions vary considerably from one pension type to another. Also the amount you can pay in has been limited both by your income and age. There will also be greater flexibility over when you can start taking benefits.
