Global menu

Our global pages

Close

Eversheds comment: Budget 2016 – no radical reform of pensions tax relief but still scope for surprises

  • Global
  • United Kingdom

    16-03-2016

    Commenting on likely pensions measures to be announced at today's Budget, Francois Barker, head of pensions at law firm Eversheds, says:

    “On the back of recent press reports it is now widely expected that the Chancellor will shy away from making radical changes to the system of pensions tax relief. However, everyone is waiting to see whether this is simply a delay until after the EU referendum or whether he will rule out radical reforms for this Parliament.

    "There is also still scope for some surprises and, given the Chancellor’s past form, this cannot be ruled out. We all know that he still has to find savings in order to balance the books and pensions has some big numbers attached to it. Further reductions in the lifetime and the annual allowances or changing the way in which pension benefits are measured against them are both options. Abolishing NICs relief on employer pension contributions (and thereby putting an end to salary sacrifice) is also a possibility and one with a far from insignificant £14bn per year of savings attached.

     

    Francois Barker, Product Group Head

    This information is for guidance purposes only and should not be regarded as a substitute for taking legal advice. Please refer to the full terms and conditions on our website.

    < Go back

    Print Friendly and PDF

    © Eversheds Sutherland 2021. All rights reserved. Eversheds Sutherland is a global provider of legal and other services operating through various separate and distinct legal entities.

    Eversheds Sutherland is the name and brand under which the members of Eversheds Sutherland Limited (Eversheds Sutherland (International) LLP and Eversheds Sutherland (US) LLP) and their respective controlled, managed and affiliated firms and the members of Eversheds Sutherland (Europe) Limited (each an "Eversheds Sutherland Entity" and together the "Eversheds Sutherland Entities") provide legal or other services to clients around the world. Eversheds Sutherland Entities are constituted and regulated in accordance with relevant local regulatory and legal requirements and operate in accordance with their locally registered names. The use of the name Eversheds Sutherland, is for description purposes only and does not imply that the Eversheds Sutherland Entities are in a partnership or are part of a global LLP. The responsibility for the provision of services to the client is defined in the terms of engagement between the instructed firm and the client.