Lifetime Allowance 2021/22 and beyond

The Lifetime Allowance for the tax years 2021/22 to 2025/26 (inclusive) has been set at £1,073,100.

The Lifetime Allowance is the maximum value of pension scheme benefits that can be taken without an individual becoming being subject to the lifetime allowance tax charge. Benefits are tested against the lifetime allowance when a so-called benefit crystallisation event occurs (e.g. on retirement).

April 2021