We don’t have supporting Budget documents yet, but it largely looks like the two key pension announcements of the speech will follow the lines of this week pre-speech leaks.
1) The Lifetime Allowance is to decrease from £1.25 million to £1 million.
The actual date from when this change will apply was not provided in the statement, although the supporting document may (should?) flesh this out.
One small surprise here is that the new Lifetime Allowance will be indexed from 2018 onwards (so a sweetener to an otherwise negative policy for pension savings).
Annual Allowance is not to change.
My thoughts from earlier today on this change here: On the way down?
2) The extension of Pension Freedoms to those already in receipt of an annuity also announced.
This is a huge change which will potentially allow 5 million people the option of “cashing in” their annuity. My thoughts on this issue from earlier this week here: What price more freedoms?
More on the above, and any other Employee Benefits topics in the budget, once we have had a chance to study the supporting text and document.