Pension simplification

What is Pension Simplification ?

• Effective from 6 April 2006 and designed to make saving for more easy and taking benefits more flexible.

• Pension contribution limits are now applicable across all types of pension schemes.

• The same applies to the ‘lifetime allowance’ (£1.5m in 2006-07, £1.6m in 2007-08) which limits the amount you can hold in aggregate in all your pension schemes and still enjoy the various pension tax reliefs.