More joint life and inflation-linked policies purchased Total annuity sales reached £7bn in 2004, an increase of 34% year-on-year, according to latest data from the Association of British Insurers (ABI). Some 89,600 annuity contracts were written in 2024 surpassing last year’s total and reaching a new ten-year high, the body said. The ABI’s data also showed more annuity purchases occurred …
HL, Quilter and AJ Bell CEOs urge Reeves to reconsider IHT on pensions
The chancellor, Rachel Reeves, announced at the Budget last October that some pensions will be liable to inheritance tax upon death from April 2027. The CEOs of four of the UK’s biggest providers have written to the chancellor urging her to rethink the government’s ‘flawed and damaging’ policy of levying inheritance tax (IHT) on pensions from 2027, Citywire New Model …
Autumn Budget 24: Inherited pensions to face IHT from 2027
Autumn Budget 24: Inherited pensions to face IHT from 2027 Impacting wealth transfer efficiency and legacy planning Pensions passed on will be subject to inheritance tax (IHT) from 2027, Rachel Reeves has confirmed in today’s (30 October) Budget. Pensions are currently exempt from IHT and not classed as part of an estate when someone passes away. “We will close the …
State Pension to increase by £460 a year, but most pensioners will still be worse off
With most pensioners paying tax, and more than half next year’s rise simply keeping pace with inflation, most pensioners will still be worse off overall in real terms if they lose the winter fuel payment. Last week’s labour market data shows that average earnings in the three months to July 2024 rose by 4.0% – likely the figure used to …
Ex-footballers join pension scam victims in HMRC campaign
Campaigners have called for an end to the taxman’s perceived harsh tax collection tactics as victims of financial misconduct recount ‘sleepless nights’ waiting for brown envelopes. Former Premier League footballers joined forces with fellow victims of financial misconduct yesterday to campaign for better treatment from HMRC. Figures including Andy Cole, Michael Thomas, Craig Short and Martin O’Neil marched from the …
Up to 1.6 million more pensioners to pay income tax by 2028
Frozen income tax thresholds will see up to 1.6m more pensioners breaching the £12,570 personal tax threshold by 2028, research suggests. As many as 1.6 million more pensioners will be paying income tax within the next four years due to frozen tax thresholds and the rising value of the state pension, according to the Telegraph. Analysis for the House of …