£2.4bn increase in cost of pensions tax relief

But lifetime allowance charges increase by 11% on previous year

Martin Richmond
clock • 3 min read
£2.4bn increase in cost of pensions tax relief

The gross cost of providing tax relief on pensions contributions has increased by £2.4bn for the period of 2020/21, according to Lane Clark & Peacock (LCP) analysis of HM Revenue & Customs data.

The consultant said that, according to HMRC figures published today (28 September), the gross cost of tax relief on pension contributions cost the government £44.1bn, compared to £41.7bn for the ye...

To continue reading this article...

Join Professional Pensions

Become a Professional Pensions Lite Member today

  • Three complimentary articles per month covering the latest real-time news, analysis and opinion from the industry
  • Receive important and breaking news stories via our two daily news alerts
  • Hear from industry experts and other forward-thinking leaders

Are you a trustee, investment consultant or in-house pension and benefit scheme professional? You can apply for full complimentary access here

Join now

 

Already a Professional Pensions
member?

Login

More on Industry

News Digest: HMRC clarifies rules on reversing lump sum withdrawals ahead of Budget

News Digest: HMRC clarifies rules on reversing lump sum withdrawals ahead of Budget

PP brings together all the latest news on pensions from across the national and financial media

Professional Pensions
clock 24 September 2025 • 1 min read
Buzz: Is it time to scrap the state pension triple lock?

Buzz: Is it time to scrap the state pension triple lock?

Triple lock, PRA regulations around funded reinsurance and longevity improvements

Professional Pensions
clock 22 September 2025 • 1 min read
Professional Pensions: Stories of the week

Professional Pensions: Stories of the week

Just four firms manage 80% of scheme assets, two firms planning to enter superfund market, Pensions UK says remove investment barriers

Professional Pensions
clock 19 September 2025 • 1 min read
Trustpilot