GovWire

Spring Budget 2023 – GAD’s analysis

Government Actuarys Department

March 17
15:52 2023

Experts at the Government Actuarys Department (GAD) have focused on pensions taxation, pension fund investment and retirement planning in their analysis of the Spring Budget.

The Chancellor set out plans to deliver on 3 of the Prime Ministers 5 key priorities: to halve inflation, grow the economy and get debt falling.

Pensions tax reform

GADs latest Technical Bulletin examines the governments announcements on pensions tax reform. The Spring Budget aims to increase the labour supply and support people to move into employment. There is a particular emphasis on encouraging workers aged over 50 to extend their working lives. The proposed reforms will help ensure that high skilled individuals, such as NHS clinicians, are not disincentivised from remaining in the workforce.

Reforms were announced to the total tax-relieved pension savings an individual can make each year and over their lifetime. These affect the lifetime allowance (LTA), annual allowance (AA) and money purchase annual allowance (MPAA), as well as other tax limits.

Two Businessmen Working at Laptop

Pension fund investment

GADs Technical Bulletin also looks at the governments plans to support high growth sectors of the economy. This will include encouraging investment and smarter regulation.

The Spring Budget set out some initial measures, while the government will work closely with industry and regulators to bring forward a package of measures by the autumn.

Retirement planning

There will be more focus on retirement planning. People in their 40s, 50s and 60s will be encouraged to make more active planning in key areas of work, wellbeing and money. In the Spring Budget 2023, the government announced it will work with employers and pension providers to encourage people to un

Related Articles

Comments

  1. We don't have any comments for this article yet. Why not join in and start a discussion.

Write a Comment

Your name:
Your email:
Comments:

Post my comment

Recent Comments

Follow Us on Twitter

Share This


Enjoyed this? Why not share it with others if you've found it useful by using one of the tools below: