Abolition of Lifetime Allowance and increases to Pension Tax Limits

This measure applies to all members of registered pension schemes. From 6 April 2023, it removes the Lifetime Allowance (LTA) charge and limits the pension commencement lump sum (PCLS) to its current maximum of 25% of the current LTA, unless individuals hold a valid LTA or PCLS protection. It also increases the Annual Allowance from £40,000 to £60,000, the Money Purchase Annual Allowance and Tapered Annual Allowance from £4,000 to £10,000, and the adjusted income for Tapered Annual Allowance from £240,000 to £260,000.