Wednesday’s Budget 2014 brought about some significant changes to the pension industry and, with only a short deadline to understand and implement them, Delta has once again risen to the challenge. Since the announcement the team at Delta have been working on enhancing SIPP~Pro and SSAS~Pro to accommodate the immediate changes and they will be ready for deployment shortly.
As a reminder the immediate changes with effect from 27th March 2014 are:
- Maximum Income is increased from 120% to 150% of GAD Basis Pension;
- Minimum Income Requirement for Flexible Drawdown is reduced from £20,000 to £12,000;
- Trivial commutation amount increases from £18,000 to £30,000;
- Trivial pots amount (for personal pensions) increases from £2,000 to £10,000 and the number of pots that can be paid in this way increases from two to three.
We will be sending out further guidance by email in the next couple of days to ensure our clients are able to comply with the new rules.