The Bank of England (BoE) has cut interest rates further amid the Covid-19 crisis. At a special meeting yesterday, the Monetary Policy Committee (MPC) unanimously voted to cut interest rates from 0.25% to 0.1% and to increase holdings of UK government and corporate bonds by £200bn. The BoE, which has just appointed Andrew Bailey as its new governor, said the …
Budget 2020 Summary
In this article, we provide a summary of the Budget 2020 content that is of relevance to financial planning. Pensions Tapered annual allowance This measure increases the income limits used in calculating the tapered annual allowance and decreases the minimum tapered annual allowance. • Threshold income, which is broadly total income before tax (less employee/personal contributions), is increased from £110,000 …
BoE slashes interest rate to 0.25%
In a bid to shore up the economy the Bank of England has cut interest rates back to their lowest ever level, 0.25% from 0.75%. The MPC (Monetary Policy Committee) voted unanimously to slash the bank rate at an unscheduled meeting, which ended yesterday. The rate cut is part of a ‘package of measures to help UK businesses and households …
Small pension pot withdrawals avoid triggering MPAA tax charge
Advisers can prevent clients from triggering the money purchase annual allowance (MPAA) by ensuring they draw money from small pension pots of £10,000 and under, according to new analysis from Royal London. Advisers can prevent clients from triggering the money purchase annual allowance (MPAA) by ensuring they draw money from smaller pension pots, according to new analysis from Royal London. …
HMRC publish latest Pension Freedom withdrawal payments
HMRC has today published its latest update on flexible payments from pensions > Official statistics can be found by clicking here. 574,000 withdrawals were made by 264,000 people in quarter 2 2018, with total withdrawals in this quarter exceeding £2.2 billion. Since pension freedoms, 3.7 million withdrawals have been made by 1 million people, totalling £17.45 billion (April 2015 – …
New Single Financial Guidance Body CEO appointed
The Single Financial Guidance Body (SFGB) have appointed John Govett as their new Chief Executive Officer, which is due to launch in January 2019 to replace the Money Advice Service, The Pensions Advisory Service and Pension Wise. The new CEO will take up his position in October 2018, when the body is first being established, for a four and a …