The total value of pension contributions that exceeded an individual’s annual allowance (AA) fell almost 25% from £1bn in 2019/20 to £764m in 2020/21, latest data from HM Revenue & Customs (HMRC) revealed.
Recently the former Chancellor Rishi Sunak announced a set of tax allowance freezes that came into effect in April and will remain until 2026. These freezes may have an impact on how much tax you pay, so it’s important to understand how they will affect your wealth directly.