Business tax – guidance

Pensions: Individual Protection 2014

This guidance on Individual Protection 2014 is for individuals and scheme administrators .

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From 6 April 2014 the standard lifetime allowance will be reduced from £1.5 million to £1.25 million.

Individual Protection 2014 will give individuals a protected lifetime allowance equal to the value of their pension savings on 5 April 2014, subject to an overall maximum of £1.5 million. You will not lose Individual Protection 2014 by making further savings in to your pension scheme, but any pension savings in excess of your protected lifetime allowance will be subject to a lifetime allowance charge. You can’t apply for Individual Protection 2014 if you already hold primary protection.