Budget 2016: Tax relief extended for employer-funded pension advice

1 Min Read

Employers wishing to make pension advice available to their workforce will be able to claim relief on the first £500 spent per employee.

Author: Owain Thomas
Date published: Mar 17, 2016
Categories
- Employee Benefits

Employers wishing to make pension advice available to their workforce will be able to claim tax relief on the first £500 spent per employee.

The increase from £150 was recommended as part of the Financial Advice Market Review released earlier this week.

It means from April 2017 an additional £350 for employer-arranged pension advice will be tax and National Insurance Contribution exempt.

The government will also consult on proposals to allow savers to withdraw £500 tax free form their defined contribution pension pot before the age of 55 to redeem for regulated financial advice.

The employer relief is expected to cost around £10m per year for the first two years it operates.

Was this article helpful?

YesNo

Subscribe to get your daily business insights

Owain Thomas

Author: Owain Thomas
Date published: Mar 17, 2016
Categories
- Employee Benefits

Almost a quarter of workers fail to flag overpayments

Just over one in 10 officer workers reveal they have been accidentally overpaid by their employer, with almost a quarter of them failing to flag...

HRD Connect
9m

Are UK workplace benefits failing? Over 50% of HR Leaders think so

New research on the uptake of employee benefits has revealed that HR leaders across the UK believe benefits and work perks are falling short. A...

HRD Connect
1y

Molson Coors launches equal Parent Leave Policy in the UK

The brewer of major beer brands including Carling, Coors and Madrí Excepcional has announced a new UK Equal Parent Leave Policy which will entitle...

HRD Connect
1y

20% of large UK employers fail to conduct mandatory gender pay gap analysis

Despite legal obligations, a recent study reveals that 20% of large UK employers have neglected to conduct gender pay gap (GPG) assessments in the...

HRD Connect
1y

More than 40% of workers would return to the office for free food amidst cost-of-living crisis

Despite a huge increase in the number of businesses adopting a hybrid working model, new research from Crown Workspace has revealed that...

HRD Connect
1y

Employees are embarrassed about their financial literacy - HR teams should step up and support

Less than half (46%) of HR professionals foster a culture of openness about financial concerns, and only 16% of workers feel they have this kind of...