Consultation outcome

Reducing the money purchase annual allowance

• From: HM Treasury
• Published: 23 November 2016
• Last updated: 20 March 2017 — See all updates

This was published under the 2016 to 2019 May Conservative government

This consultation has concluded

Read the full outcome

Reducing the money purchase annual allowance: consultation response

PDF, 219 KB, 17 pages

Detail of outcome

This document summarises the responses received. It explains the conclusions the government has reached on how this allowance will work.

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Original consultation

Summary

Consultation on the detail of the reduction to the money purchase annual allowance, which will be reduced to £4,000 from April 2017.

This consultation ran from
2pm on 23 November 2016 to 11:45pm on 15 February 2017

Consultation description

The pension flexibilities introduced in April 2015 gave savers the ability to access their hard-earned pension savings flexibly, as best suits their needs. Once a person has accessed pension savings flexibly, if they wish to make any further contributions to a defined contribution pension, tax-relieved contributions are restricted to a special money purchase annual allowance (MPAA).

This consultation relates to government proposals to reduce the MPAA to £4,000, with effect from April 2017.

Documents

Reducing the money purchase annual allowance: consultation

PDF, 235 KB, 19 pages

Published 23 November 2016
Last updated 20 March 2017 + show all updates

1. 20 March 2017

   Updated response document published with minor language changes to paragraphs 1.6 and 2.25

2. 20 March 2017

   Updated with the response to the consultation

3. 23 November 2016

   First published.