We are the voice of insurance and long-term savings | Contact us

ABI response on Public Accounts Committee report on tax reliefs

The Public Accounts Committee have today published a report on tax reliefs, in which the Committee have called for a 12 month review of pensions tax relief. 

Commenting on the Committee's report, Rob Yuille, Assistant Director, Head of Long-term Savings said:

“The report highlights the disparities in the current pensions tax relief system, particularly the net pay anomaly, which has led to 1.75 million savers not receiving pensions tax relief despite being automatically enrolled. We have long called for this to be fixed so low earners do not miss out on vital relief.

It is welcome that the committee is calling for HMRC to publish data on age, gender and ethnicity by type of scheme.  This will build on the pensions tax relief research we commissioned the Pensions Policy Institute (PPI) to do in order to help inform debate.

Any future review into pension tax relief policy must include industry consultation to ensure it is evidenced-based and avoids unintended consequences.”

Last updated 20/07/2020