Although it’s unusual to see a base rate cut in December, (in the last 50 years, it’s been cut in December just 12 times) I’m afraid on this occasion it was inevitable, especially when the latest inflation information was announced. Lower than expected inflation gave the Bank of England the ability to cut the base rate by 0.25%, although once again it was a close thing as the vote was 5-4 in favour with the Governor, Andrew Bailey, casting the deciding vote. Good news for borrowers, but not such great Christmas cheer for savers.

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The savings markets in 2025 have been shaped by shifting expectations for interest rates but with the base rate beginning the year at 4.75% and finishing 1% lower at 3.75%, the impact on savings rates has been clear to see. That said, sometimes fierce competition means that the falls have been more modest than they might have been.

As we approach the end of 2025, let’s take a look at how the key areas of the savings market have performed, and what’s still available for savers today.

Easy access savings

Bearing in mind the base rate had fallen to 4.75% by the beginning of 2025, from a high of 5.25%, the year began with easy access accounts still looking pretty respectable. Top payers in early January 2025 were paying as much as 4.85%, due to ongoing competition. And although the base rate was cut twice in the first half of the year, Chase Bank bucked the trend and introduced an easy access account paying 5% in June, putting a cat amongst the pigeons and keeping competition alive. But after another base rate cut in August, even Chase had to start reducing what it was offering. And as the year progressed and the market started pricing in lower base rate expectations, those headline easy-access rates have steadily softened. That said, at the time of writing, the very best easy access accounts are still paying up to 4.50% - still being driven by Chase!  

For savers who need and value immediate access, returns remain reasonable, although the very best deals are less generous than they were in January. For basic rate taxpayers, at the moment if you pay tax on the interest you earn, as long as you have your cash in an account paying 4% or more (before the deduction of tax) your interest will at least keep up with the rising cost of living.  

For higher and additional rate taxpayers it’s more of a challenge as you’d need to find an account paying 5.33% gross/AER and 5.81% gross/AER respectively.  

There are some providers that pay a little more, but for lower balances. Cahoot, for example is still paying 5% AER on its Sunny Day Saver, but only on balances of up to £3,000.  And Santander pays 6% AER on its Edge Saver Account on balances of up to £4,000, but you have to hold a Santander Edge Current Account, which comes with a monthly fee.

And of course, easy access accounts have variable rates, so can be cut at any time. The key here is to keep a close eye on what interest you are earning and switch if it becomes uncompetitive. That way you can mitigate at least some of the damaging effect of inflation.

Fixed-rate bonds

The top rates on fixed term bonds have also fallen by far less than the base rate over the last year, which indicates that there are still some good options to be considered before rates fall further.

What continues to be a trend is that the top long-term rates are lower than the top short-term rates, but the gap has narrowed: The drop in the top 5-year rate has been less than  0.20% over the year, from 4.50% to 4.31%, whilst the top 1-year rate has fallen from 4.79% to 4.46%.

This relative resilience makes sense when you think about how fixed products are priced: lenders hedge their duration and funding costs over the term of the product, so short-term shifts in base rate expectations don’t always translate into immediate dramatic rate cuts. But what it does indicate is that the base rate is likely to fall further in 2026 and possibly beyond.  

Whilst the top rates are lower than they have been in the recent past, the cuts have been considerably less than the base rate cut of 1% - so with more rate reductions expected, now could be a good time to lock up some of your cash – even for the longer term if you won’t need access to your money.

Check out our Best Buy tables for the latest rates

Easy access ISAs

Tax-free easy access ISAs began 2025 on a competitive note, with the top deals paying up to 5%. But the very best rates, both then and now were being offered by the ever more prolific digital money app providers, such as Moneybox, Plum and Trading 212.  

Although these providers have been around for a few years now, they had become a more prolific and dominant force in the market, which has been great news for those prepared to open and manage their ISAs via an app – and for keeping the competition alive.  

What is important to realise though is that these companies aren’t banks themselves, but they hold your cash with fully regulated UK banks, so your cash is protected by the Financial Services Compensation Scheme (FSCS), but it’s important to understand how that protection works. It’s the underlying bank’s licence that determines your protection, not the app you use. The FSCS protects up to £120,000 per person per bank licence, and this limit applies to all the cash you hold with that bank in total. That means you must add together any money you hold directly with the bank and any money you hold with it through different apps. Using multiple apps does not give you multiple £120,000 protections if they rely on the same underlying bank. Savers need to be aware of where their cash is actually held so they do not accidentally go over the FSCS limit with one bank.

Today, however, they are notably missing from the top five, taking a back seat for now, allowing other banks and more traditional building societies to appear. App only bank Atom is now in the top spot paying 4.25%, with the Principality Building Society in 2nd place with it’s Online Bonus 5 Access Cash ISA Issue 5 paying 4.20%. For those who would prefer a more traditional account without restricted access, Kent Reliance has an Easy access cash ISA – Issue 69, which is paying 4.16%. You can make as many withdrawals as you like and the account can be opened online or in branch if there’s one near you!

So, there’s plenty to choose from, and as the returns are tax free, at these levels the interest is paying more than inflation, so is keeping up with the cost of living.

Fixed-rate ISAs

With the recent Budget announcements that the annual cash ISA allowance will be cut to £12,000 for those under 65, and that the tax rate on savings interest will increase by 2% from April 2027, the value of a cash ISA is even clearer. Even with the lower allowance, using a cash ISA remains an effective way to protect your savings from tax.

So it’s great to see that the top ISA rates have remained pretty resilient throughout 2025, although inevitably have fallen a bit.

Once again, as with the fixed rate bonds, the fall in the top rates available are far less than base rate – but they may of course fall further following the latest news from the Bank of England.

And once again, the 5-year term rate has fallen by far less than the shorter-term rates – the top 5-year cash ISA available is now paying 4.14%, down from 4.18% at the beginning of 2025. Compare this to the fall of the top 1-year ISA rate from 4.53% in January, to the current level of 4.30%.

More importantly, the top fixed term ISA rates have fallen less than the equivalent fixed term bonds, so there has been a narrowing of the spread between fixed-rate ISAs and bonds, which suggests providers have been keen to keep those ISA wrappers competitive, even as base rate pressure mounted through the year.

Some people may think that cash ISAs do not offer the best value, as at first glance it looks like they pay a lower interest rate than the equivalent fixed rate bonds. But once you strip tax from the advertised rate, cash ISAs are offering far better value to those who pay income tax on their normal savings.  

For example, at the time of writing, the top 1-year fixed rate bond is paying 4.46% AER, whilst the top 1-year fixed rate cash ISA is paying 4.30% tax-free/AER. For those who don’t pay tax on their savings, the bond is clearly the winner as it would provide an extra £16 of gross interest for each £10,000 deposited.  

But if you are a taxpayer, you could earn more in the ISA. The rate on the bond would fall to 3.57% after basic rate tax has been deducted, so a basic rate taxpayer with a deposit of £20,000 would earn £860 in the cash ISA, but just £714 from the bond, if they have already used their Personal Savings Allowance. 

For savers who prioritise certainty and tax efficiency, the relative resilience of fixed rate ISAs has been one of the bright spots of 2025.

What’s next?

The lesson of 2025 is that savers who monitor the market closely and move quickly when attractive deals arise are likely to be the ones who benefit most.  

In their latest report the Bank of England stated, “We think that Bank Rate is likely to fall gradually further in future, but that will depend on whether variables like pay growth and services inflation continue to ease.”

So, we are likely to see more rate cuts, although hopefully not too many in 2026. This means that you should review your savings as soon as possible, and if you don’t need access to all your cash, perhaps it would make sense to lock into some of the rates that are currently available, to hedge against these future expected rate reductions. Rates may be drifting lower, but they haven’t disappeared - and there are still solid opportunities for those willing to look.

A platform such as Savers Hub, powered by Insignis, allows you to open, manage, and switch between a range of high-interest savings accounts through a single, secure log-in. This approach not only offers flexibility and control but also ensures that your cash remains easily accessible while working effectively for you.

Why not see how much you could be earning by requesting a free no obligation illustration today.

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This article is intended for general information only, it does not constitute individual advice and should not be used to inform financial decisions.

The opinions shared in this article are solely those of the individual and they do not necessarily reflect those of The Private Office.  

Accounts correct at 19/12/2025.

The Financial Conduct Authority (FCA) does not regulate cash flow planning,

The first Budget of my professional career was the 1988 Nigel Lawson “Giveaway” Budget. As an office junior, my job was to head into the city and queue up (with dozens of other fresh faced office juniors) to receive the printed full Budget from the Government’s press offices. I dutifully returned to work, clutching it in my sweaty palms, so that the senior advisers could pore over it. No internet, no leaks, just a bundle of white pages hastily stapled together.

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Since that March day (it always used to be in the Spring) Budgets have come and gone but they all have one thing in common. Namely, the fear and rumour that ferments in the days and weeks beforehand. I have to say that the media are one of the major guilty parties and, more than ever, are responsible for whipping up a frenzy of bitterness and resentment, even before the Chancellor, whoever they happen to be, has stepped up to the dispatch box.

I don’t think I’m wrong in saying that I’ve never witnessed quite so much ‘bracing’ in fear and anticipation as this Budget. The nation became paralysed in apocalyptic fear as if the end of the world were approaching.

So, I thought it was time to take stock and look at the Budget in the clear light of day and also in the context of historical Budgets.

The fear and rumour mill

Ever since that dreary March day in 1988, I can say that one fear has pervaded every single Budget. Namely, the fear that higher rate tax relief will be removed from pension contributions. This Budget was, of course, no exception and the fear spread even further than that. About sometime in September this year, a rumour started (I don’t know from where) that tax free cash (now technically known as the Pension Commencement Lump Sum, or PCLS) would be reduced from £268,275 to £40,000. Personally, I thought it was unlikely and wasn’t afraid to say so. Not only would it not result in higher tax take for the Treasury (who in their right mind would now willingly withdraw £286,275, subjecting themselves to income tax on £246,275?) but it would also have made Rachel and Labour, even more unpopular than they are already.

Nevertheless, a huge number of people acted and withdrew their tax free cash and are now sitting on it in a taxable environment.

But pensions were definitely going to take a bullet somehow. After all, they are still highly efficient methods of saving, something which seems to have been lost on some of the general public, based on a tsunami of negative press, again, which doesn’t always help. Animal Farm springs to mind when the animals, having taking over the farm, come up with the tenets of animal life. “Four legs good, two legs bad”. And so, the media has a similar chant “non pensions good, pensions bad”. But are they? If I were to tell you that you could invest in a pension and get 41.6% tax free cash from it, would you be interested? If you are a higher rate taxpayer, this is exactly what you get! For every £100 put in, you only pay £60 (20% tax relief at source and a further 20% back in your tax returns). So, tax free cash at 25% means 25% of £60 which equals 41.6%. When you retire, if you’re a basic rate taxpayer, you are only paying 20% on the £75 whenever you draw on it. By the way, if you make pension contributions and your earnings are between £100,000 and £125,140, because this income reduces your personal allowance, the equivalent tax relief is not 40%, it is 60% so the effective tax free cash rate is a whopping 62.5%.

Given how generous tax relief is, I think that the slight knock pensions took (future reductions in salary sacrifice) is really getting away with it.

The hammer blow came last year

Of course, last year’s Budget delivered a hammerblow to pensions in that, from April 2027, Inheritance Tax (IHT) will apply. For ten years, since George Osborne announced pensions ‘freedom’ many have earmarked their pension funds for Estate Planning purposes, since so this recent news was very unwelcome. In effect, this now puts pensions in roughly the same position as they were before 2015. Before 1995, remember, people were forced to buy annuities with their pension funds so, in spite of goal post moving, pensions are still the best tax planning vehicles around, so let’s not throw the baby out with the bath water.

Overall, it has to be said that the Budget was probably a slight relief. Many, myself included, had expected increases in Capital Gains Tax and even Income Tax and none of these came to pass. Instead, we saw a continued freezing of allowances. Stealth taxes. The death of wealth by a thousand cuts. Each one painless, but in five years’ time, we’re all significantly worse off without immediately feeling the pain. 

Stealth taxes are at the heart of the Budget

There were a few other ‘tampering's’ such as the reduction in cash ISA contributions from £20,000 to £12,000 for under 65s, and an increase to the tax rate on savings interest, both from April 2027, but this is mostly tinkering around the edges and irritants for some, at worst. There was an innovation in the introduction of ‘Mansion tax’ for houses worth over £2m but, again, this was kicked into the future and will not apply until 2028. But the stealth taxes, freezing of allowances, are at the heart of this budget.

I sometimes think of the 1988 “giveaway” Budget with fondness. Lawson reduced higher rate income tax from 60% to 40% and basic rate from 27% to 25%. All of this was possible due to the fact that the economy had been overheating (remember that?) but was now under control and the predicted Budget surplus allowed for such cuts. What luxury! There was uproar in the house and the Speaker had to suspend proceedings due to “grave disorder”. A lesser known MP called Alex Salmond exclaimed that it was an “obscenity” and was duly suspended for breaching Parliamentary convention.

The world has changed though, and the UK doesn’t have the room for manoeuvre afforded by those halcyon days. Nigel Lawson didn’t have the fallout of QE, Brexit, Covid and the Ukraine invasion to hamper him and I doubt if any modern day Chancellor from any persuasion would make us all happy, given the state of the economy. The only one who tried, and failed, was Kwasi Kwarteng who, in cahoots with Liz Truss, grabbed the Treasury money bag and started running down Whitehall throwing £20 notes in the air before being rugby tackled by the bond markets. I sadly, don’t expect too much from any Chancellor, from whichever party, over the next few years at least.

On the plus side, bond markets (the ultimate bellwether of economic prudence) have reacted well to the Budget. Gone are the days when a Labour Government would react to fiscal shortfall by applying for a payday loan!

So, in the final analysis, maybe the 2025 Budget was a bit of a non-event. But fear and loathing were the lasting memories of the days leading up to it, which probably explains why the UK economy reported a contraction in October. Meanwhile, back at Animal Farm, I’d like to paraphrase another animal tenet. “All Budgets are equal, but some are more equal than others”.

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This article is intended for general information only, it does not constitute individual advice and should not be used to inform financial decisions.

The opinions shared in this article are solely those of the individual and they do not necessarily reflect those of The Private Office. 

The Financial Conduct Authority (FCA) does not regulate cash flow planning, estate planning, tax or trust advice. 

UK inflation dropped more than expected in November to reach an eight-month low of 3.2%. Inflation, measured by the consumer prices index (CPI), fell to an annual rate of 3.2% in November, from 3.6% in October, according to the Office for National Statistics (ONS). The figure was below the 3.5% forecast from analysts surveyed by Reuters and marked a notable decline month on month.  

According to the ONS, the fall in inflation was driven by lower prices for food, drink and clothing. 

The unexpected drop only adds more weight to the argument for the Bank of England to lower interest rates on Thursday, 18th of December in an effort to support the economy.  

Bank of England governor Andrew Bailey has indicated he would back another quarter-point cut to 3.75% at this week’s Monetary Policy Committee meeting, provided official data continues to point to a slowdown in inflation. 

What is inflation and how is it measured?

Inflation is a measure of how the prices of goods and services have increased over time. Goods are tangible items sold to customers, such as food, while services are tasks performed for the benefit of recipients, such as a haircut. Generally, this increase is measured by considering the cost of things today compared to how much they cost a year ago. The average increase between these prices is demonstrated in the inflation rate.  

Rising interest rates directly affects the cost of living. For example, if the price of a bottle of milk is £1, and inflation is increasing by 5%, then your bottle of milk will cost you 5p more. Or, in other words, the spending power of your money has decreased by 5%.  

Ideally, the Government wants to keep inflation low and stable. The general mandated target for the Bank of England is 2%. Anything significantly above or below this target is thought to cause issues for the economy.  

The cost of living surged in recent years, with inflation peaking at 11% in 2022 - way above the Bank of England's 2% target, partly due to the increase in energy prices following Russia's invasion of Ukraine.

While the rate has dropped, falling inflation does not mean the goods and services are coming down in price overall, it is just that they are rising at a slower pace. 

Our chartered advisers are unbiased, meaning that they can give whole of market advice, and so are best placed to give you a plan tailored exactly to your personal financial goals.  

If you’d like to know more, request a free non-committal initial consultation with one of our team or give us a call on 0333 323 9065 and get in touch.

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This article is for information only and does not constitute individual advice. 

HM Revenue & Customs (HMRC) is preparing to introduce a charge on cash held within stocks and shares ISAs in an effort to stop individuals from sidestepping the upcoming cut to the cash ISA allowance.

According to HMRC, a charge will apply to any interest earned on cash kept in a stocks and shares or innovative finance ISA.

It also intends to block transfers from stocks and shares ISAs and innovative finance ISAs into cash ISAs in a further attempt to prevent savers getting around the cash ISA allowance cut.  

Earlier this week, the UK government confirmed in its autumn Budget that from April 2027, the annual cash ISA allowance for those under 65 will be reduced to £12,000.

Those aged 65 and over will continue to benefit from the original £20,000 annual cash ISA allowance.  

Specifically, HMRC stated the following in their newsletter last week:

The following rules will be introduced to avoid circumvention of the lower limit for cash ISAs:

• no transfers from stocks and shares and Innovative Finance ISAs to cash ISAs
• tests to determine whether an investment is eligible to be held in a stocks and shares ISA or is ‘cash like’
• a charge on any interest paid on cash held in a stocks and shares or Innovative Finance ISA

It should be noted that these rules, like the new cash ISA limit, only apply to persons under the age of 65.

It is also important to bear in mind that the proposed rules around cash held in stocks and shares ISAs are not yet set in stone, with HMRC adding:  

“Industry will be consulted on the draft legislation, which will be made by amendments to the ISA regulations, and laid before Parliament well ahead of April 2027.” 

What is an ISA?

An ISA, or ‘Individual Savings Account’, is a scheme that allow and capital gains. Essentially, it’s a savings account that you don’t pay tax on.  

A cash ISA is a tax-free savings account that allows people to save cash without incurring income tax on interest. They have become more popular over the past two years due to rising interest rates increasing the competitiveness of savings products. 

You can save up to £20,000 each tax year across ISAs and receive tax-free interest payments, so when the value of your cash ISA increases, you get to keep all of it tax-free.

While there is a £20,000 allowance in place for how much you can put in a year, there is not a cap on how much you can accumulate in an ISA over a lifetime.  

 When choosing a style of investment to suit your needs, you may want to consider how long you plan to invest for and how much you would like your money to grow. It is also important to understand what movement in value you may or may not be happy with and any potential losses that may happen. That is why soliciting professional advice can be crucial for understanding how to take those first steps towards a secure financial future.

If you want to find out more, why not give us a call on 0333 323 9065 or book a free non-committal initial consultation with one of our chartered advisers to see how we can help. 

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The Financial Conduct Authority (FCA) does not regulate cash flow planning, estate planning, tax or trust advice. 

The latest Budget brought news that many savers were expecting, although it still won’t be welcomed by many. The cash ISA allowance is set to be reduced, but that’s not the only change coming down the line for savers.  

What has been announced?

First, the cash ISA allowance will drop to £12,000 from April 2027, which does at least give savers a chance to make the most of this valuable allowance until then.  

However, savers aged 65 and over will still be able to use the full ISA allowance for their cash savings. This will be a relief, as we know that many older savers prefer cash as they look to reduce the volatility of their investments and savings in retirement.

And just to be clear, it’s only the cash ISA allowance that is to be cut. The overall ISA allowance remains at £20,000, but anyone under 65 who wants to make use of the full amount will need to put the remaining £8,000 into investments rather than cash.

The cut to the cash ISA allowance isn’t the only change coming. It was also announced that tax paid on savings interest will rise by 2% - again from April 2027. This means basic-rate taxpayers will pay 22%, higher-rate taxpayers will pay 42% and additional-rate taxpayers will pay 47% on interest earned outside an ISA. This is a double blow that could see many people paying more tax on their hard-earned savings at a time when every penny counts.

The Personal Savings Allowance (PSA) will still be in place for basic and higher-rate taxpayers, allowing some interest to be earned tax-free outside an ISA. Basic-rate taxpayers get an allowance of £1,000 each year, while higher-rate taxpayers get £500, but additional-rate taxpayers do not receive any allowance at all.  

With the best savings rates around 4.50%, even a basic-rate taxpayer will use up their entire allowance with a deposit of just over £22,000, which shows that it isn’t only the really wealthy who will feel the impact of these changes.

What can savers do to soften the blow?

As savers have until April 2027 until the changes to the cash ISA allowance come into force, there is time to take action.

It sounds obvious, but of course the first thing to do is to make sure you use your ISA allowance in full before the changes take place. And it makes sense to do this as soon as possible in the tax year. Why pay tax on your savings all year when you needn’t!

It is also worth looking at any older ISAs you may have. Rates have improved recently, as there is far more competition between providers at the moment. Many people leave their money with their high street bank, assuming they are earning a fair rate, but this is often not the case. If your ISA is lagging behind the market, it may be worth transferring it. The only thing to watch out for is fixed-term ISAs, which usually carry penalties if you try to move them before they mature, so it is worth checking the numbers before making a decision.

National Savings & Investments (NS&I) Premium Bonds could also play a part in your savings strategy, especially for anyone who pays tax on interest. Winnings are tax-free, and while there is no guaranteed return, the current prize fund rate of 3.60% is equivalent to a 4.50% return for basic-rate taxpayers, 6% for higher-rate taxpayers and 6.55% for additional-rate taxpayers if they held a normal taxable savings account paying interest. No standard savings accounts currently offer anything close to that for higher or additional-rate taxpayers.  

Of course, you could win less than this or even nothing, although the latter is highly unlikely if you have a larger holding in Premium Bonds.

How will these changes affect savers?

Currently the best 1-year fixed rate bond is paying 4.50% AER, whilst the top 1-year ISA is paying 4.30%. On the face of it, this would suggest that you’ll get back less if you use the ISA, but if you are a taxpayer and already fully utilising your Personal Savings Allowance, then this cut to the ISA allowance will have a painful impact, as the bond rate of 4.50% will fall to 3.51% for basic rate taxpayers and 2.61% for higher rate taxpayers!

Under the current rules and the rates currently available, putting £20,000 into a top-paying ISA at 4.30% would earn £860 in tax-free interest. After the allowance is cut, a basic-rate taxpayer would be limited to earning £516 tax-free on £12,000, with the remaining £8,000 earning £280.80 in the current best fixed rate bond paying 4.5% after the deduction of tax. This brings the total return down to £796.80. For a higher-rate taxpayer, the same scenario would see the total fall to £724.80.

While many savers will probably be worried about these changes, being aware of them as soon as possible makes it much easier to plan. Making full use of your cash ISA allowance now, checking the rates on your existing accounts and considering options such as Premium Bonds can all help keep more of your interest out of the taxman’s reach. 

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Rates correct as at 28/11/2025.

This article is intended for general information only, it does not constitute individual advice and should not be used to inform financial decisions.

The Financial Conduct Authority (FCA) does not regulate cash or tax advice. 

Chancellor Rachel Reeves gave her second Budget speech on 26 November 2025. After much worry and speculation, there were thankfully no changes announced to the rules around pension tax relief and tax-free cash (pension commencement lump sums). However, there are going to be changes to the salary sacrifice rules for pension contributions - from April 2029, only the first £2,000 per annum of sacrificed salary will be exempt from employer and employee National Insurance (NI).  

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Other announcements included an increase in the rates of income tax on dividends, property and savings income by 2 percentage points (some changes from April 2026 and some from April 2027) and a freezing of the income tax bands in England, Wales and Northern Ireland for a further three tax years until April 2031.

From April 2027, changes will be made to the ISA allowance so that only the over 65s will be able to place the full £20,000 into Cash ISAs (capped at £12,000 into Cash ISAs for the under 65s).

TPO Partner, David Dodgson, appeared on BBC Money Box Live on budget day, sharing his thoughts on the Chancellor's statement.

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We have summarised the main points of the Budget below, along with a reminder of various changes from April 2026 that we were already aware of. Further guidance will be published as necessary and as more detail becomes available. 

Pensions

Salary sacrifice  

From April 2029, anyone sacrificing more than £2,000 per tax year for employer pension contributions won’t save NI on the excess. Employers will also pay NI on any excess.

Such contributions still receive income tax relief as they would if made via a different method such as relief at source.

State pension

The triple lock means the new state pension and basic state pension are expected to increase by 4.8% in April 2026. This will mean a full new state pension figure of £241.30 per week and a full basic state pension of £184.90 per week. The government has committed to maintaining the triple lock for the duration of this Parliament.

Restrictions will be introduced on the making of Class 2 voluntary NI (VNICs) to achieve state pension for those living overseas by increasing the initial residency or contributions requirement for VNICs to 10 years. The government is also launching a wider review of VNICs, with a call for evidence to be published in the new year.

Changes will be made from 2027 to avoid those whose sole income is the state pension having to pay small amounts of income tax through Simple Assessment (which will become increasingly likely as the state pension increases, and the personal allowance remains frozen).  

Pension Protection Fund / Financial Assistance Scheme

The government will introduce payment of inflation increases on pre-97 pensions to PPF and Financial Assistance Scheme (FAS) members of up to 2.5 per cent. This would apply to those members whose original schemes provided for indexation on pre-97 pensions. The move would broadly align pre-97 indexation rules with those already in place for post-97 pensions for PPF and FAS members.

Investments

Individual Savings Accounts (ISAs)

From April 2027, changes will be made to the ISA allowance so that only the over 65s will be able to place the full £20,000 into Cash ISAs. Those under 65 are capped at £12,000 into Cash ISAs with the balance having to be placed in other ISA types if they wish to make use of the full allowance.

 The annual subscription limits all remain at their current levels in 2026/27, i.e.

• £20,000 ISA
• £4,000 Lifetime ISA
• £9,000 Junior ISA (and Child Trust Fund)

Lifetime ISA

Consultation to take place early next year on replacing the Lifetime ISA (LISA) with a new product for first-time buyers.

Enterprise Investment Scheme and Venture Capital Trust 

Changes to be introduced in Finance Bill 2025-26 to take effect from 6 April 2026:  

• The Income Tax relief that can be claimed by an individual investing in Venture Capital Trust (VCT) to reduce to 20% from the current rate of 30%
• The gross assets requirement that a company must not exceed for the Enterprise Investment Scheme (EIS) and VCT to increase to £30 million (from £15 million) immediately before the issue of the shares or securities, and £35 million (from £16 million) immediately after the issue
• The annual investment limit that companies can raise to increase to £10 million (from £5 million) and for knowledge-intensive companies to £20 million (from £10 million)The company’s lifetime investment limit to increase to £24 million (from £12 million) and for knowledge-intensive companies to £40 million (from £20 million)

The increases to the annual, lifetime and gross asset limits apply only to qualifying companies that are not registered in Northern Ireland trading in goods or the generation, transmission, distribution, supply, wholesale trade or cross-border exchange of electricity. These companies will remain eligible for the current scheme limits.

EIS and VCTs are higher risk investments and they are not suitable for all investors. There is a chance that all of your capital could be at risk and you should not invest into these types of plans without seeking advice.

Enterprise Management Incentive (EMI) scheme

The measure will amend provisions for some of the limits relating to the EMI scheme. For eligible companies, the changes that will apply to EMI contracts granted on or after 6 April 2026 are the limit on:

• Company options will be increased from £3 million to £6 million
• Gross assets will be increased from £30 million to £120 million
• The number of employees will be increased from 250 employees to 500 employees

Taxation

Income tax

Income tax bands in England, Wales and N. Ireland have been frozen for a further three tax years to April 2031 (had already been frozen to April 2028).

All income tax rates and bands remain at their current levels in 2026/27 apart from as outlined below.  

Changes to tax rates for property, savings & dividend income

• Tax on dividend income will increase by 2 percentage points. The ordinary rate will rise from 8.75% to 10.75%, and the upper rate from 33.75% to 35.75% from April 2026. The additional rate will remain unchanged at 39.35%. The £500 dividend allowance remains in place.  
• Tax on savings income will increase by 2 percentage points across all bands. The basic rate will rise from 20% to 22%, the higher rate from 40% to 42%, and the additional rate from 45% to 47% from April 2027. The starting rate band and personal savings allowance remain unchanged.
• The government is creating separate tax rates for property income (any income from letting land and buildings). From April 2027, the property basic rate will be 22%, the property higher rate will be 42% and the property additional rate will be 47%. Finance cost relief will be provided at the separate property basic rate (22%). The £1,000 property allowance and Rent a Room Scheme remain in place.

The way individuals report and pay tax on property, savings and dividend income will remain the same – it is only the rates of tax charged that will change. The income tax ordering rules will be changed from April 2027 so that the Personal Allowance will be deducted against employment, trading or pension income first.

The changes to property income rates will apply in England, Wales and Northern Ireland. The government will engage with the devolved governments of Scotland and Wales to provide them with the ability to set property income rates in line with their current income tax powers in their fiscal frameworks. The changes to dividend and savings income rates will apply UK-wide as these rates are reserved.

Tax and NI thresholds

• No increases to the headline rates of income tax (see above regarding future rates for savings/dividend/property income), National Insurance contributions (NICs) or VAT
• Income tax thresholds and the equivalent NICs thresholds for employees and self-employed frozen at current levels for a further three years from April 2028 to April 2031
• NI Secondary Threshold frozen at its current level from April 2028 to April 2031
• Plan 2 student loan repayment threshold will be frozen at its 2026/27 level for three years from April 2027

National Living Wage

National Living Wage will increase by 4.1% to £12.71 per hour for eligible workers aged 21 and over.  

Capital gains tax

The annual exemption remains at £3,000 (a maximum of £1,500 for discretionary/interest in possession trusts – shared between all settlor’s trusts subject to a minimum of £300 per trust).

CGT rates remain as they currently are:

• 18% for any taxable gain that doesn’t fall above the basic rate band when added to income and 24% on any gain (or part of gain) that falls above the basic rate band when added to income
• Unused personal allowance can’t be used for capital gains
• Discretionary/interest in possession trustees and personal representatives pay at the higher rates (24%)

Inheritance tax  

In an improvement to the Business and Agricultural Relief changes from next April, the £1 million limit on 100% Business and Agricultural Relief will be transferable between spouses if unused on first death (including where first death was before 6 April 2026).

Capping inheritance tax trust charges for former non-UK domicile residents - this measure introduces a cap on relevant property inheritance tax charges for trusts which held excluded property at 30 October 2024. The relevant property charges are capped at £5 million over each 10 year cycle.

Anti-avoidance measures for non-long-term UK residents and trusts - this measure will look-through non-UK companies or similar bodies to treat UK agricultural land and buildings as situated in the UK for inheritance tax purposes. It also provides that where a settlor ceases to be a long-term UK resident, there will be an Inheritance Tax charge if there is a later change in situs of their trust assets.

Also, Inheritance Tax charity exemption will be restricted to gifts made directly to UK charities and registered clubs and excluded from gifts to trusts which are not registered as UK charities or clubs.

IHT thresholds to be fixed at their current levels for one further tax year to April 2031, as shown below:  

• Nil-Rate Band (NRB) at £325,000
• Residence Nil-Rate Band (RNRB) at £175,000
• RNRB taper, starting at £2 million
• combined £1 million allowance for 100% APR and Business Property Relief (BPR) relief

Previously announced changes:  

The government is implementing previously announced reforms to taxes on wealth and assets including:

• From 6 April 2026, the CGT rate for Business Asset Disposal Relief and Investors’ Relief will increase to match the main lower rate at 18%
• From 6 April 2026, the government will reform agricultural property relief and business property relief
• From 6 April 2026, the government will introduce a revised tax regime for carried interest which sits wholly within the income tax framework
• From 6 April 2027, the government is removing the opportunity for individuals to use pensions as a vehicle for IHT planning by bringing unspent pots into the scope of IHT

Internationally mobile individuals

The government is to make changes to the way internationally mobile individuals are taxed, closing loopholes and capping relevant property trust charges payable by certain trusts. Further details are to follow.

New mileage tax on electric cars

A new 3p charge per mile on electric cars.

Universal credit

The two-child benefit cap is to be abolished from April 2026.

Employee ownership trusts (EOT)

The 100% relief from capital gains tax on businesses sold to Employee Ownership Trusts will be reduced to 50%.

High value council tax surcharge HVCTS (‘Mansion tax’)

From April 2028, a council tax surcharge will apply to properties worth more than £2m in 2026. This will be £2,500 for properties worth £2m-£2.5m rising in bands to a maximum of £7,500 for homes valued at over £5m. Charges will increase in line with CPI inflation each year from 2029 onwards. Homeowners, rather than occupiers, will be liable to the surcharge and will continue to pay their existing Council Tax alongside the surcharge.  

GOV.UK : High Value Council Tax Surcharge

Stamp duty

From 27 November 2025, there is an exemption from the 0.5% Stamp Duty Reserve Tax (SDRT) charge on agreements to transfer securities of a company whose shares are newly listed on a UK regulated market.

The exemption will apply for a 3-year period from the listing of the company’s shares.  

Tax Support for Entrepreneurs

A Call for Evidence has been published seeking views on the effectiveness of existing tax incentives, and the wider tax system, for business founders and scaling firms, and how the UK can better support these companies to start, scale and stay in the UK. The Call for Evidence will close on 28 February.

If you’d like to know how the budget may impact your financial plans, why not get in touch and speak to one of our advisers today for a free initial consultation. 

Arrange your free initial consultation

The Financial Conduct Authority (FCA) does not regulate estate planning or tax advice.

This article is intended as information only and does not constitute financial advice.  

The information contained in this article is based on our understanding of legislation, whether proposed or in force, and market practice at the time of writing. Levels, bases and reliefs from taxation may be subject to change. 

Rachel Reeves’s long-awaited budget arrived earlier than expected, as it was published by the Office for Budget Responsibility an hour before it was supposed to be delivered in Parliament, leading to unprecedented scenes in the House of Commons.

The key changes were:

•  Frozen tax bandings 

  Having already been frozen from 2021until 2028, there were rumours of an extension until 2030, but in fact the freeze was extended for three further years to 2031.  The impact of this over a decade will be significant as was explored in this recent article from The Times to which The Private Office were pleased to contribute. 

•  A 2% increase on Dividend, Savings and Rental Income Tax

  Dividend tax rates will increase from 8.75% and 33.75% to 10.75% and 35.75% respectively for basic and higher rate taxpayers with effect from April 2026.  Additional rate dividend tax will remain unchanged at 39.35%

  Savings and Property income tax will increase from 20%, 40% and 45% to 22%, 42% and 47% for basic, higher and additional rate taxpayers with effect from April 2027.

• The Cash ISA allowance will be limited to £12,000 with effect from April 2027 for under 65s 

  This had been widely rumoured, but investors will be pleased to see the Stocks & Shares ISA remaining at £20,000 and for the over 65s they can still use the cash ISA allowance in full.

• Salary sacrifice on pension contributions

  With effect from April 2029, there will be a limit of £2,000 p.a. for pension contributions being paid directly into workers’ pensions, thereby saving national insurance being paid on the income. However, investors will be pleased to see tax relief on pension contributions remaining unchanged.

• A mansion Tax on homes worth over £2,000,000 

  This will be set at a rate of £2,500 for homes valued at over £2m, rising to £7,500 for homes valued at over £5m and will come into effect in 2028 .

• Agricultural and Business Property Relief threshold of £1m can be transferred between spouses if unused on death

  This will have been welcomed by Business Owners and Farmers as assets will no longer need to be passed to children on first death to take advantage of the additional Agricultural and Business Property relief, though many may have already changed their Wills to reflect the previous rules so further planning may now be required.

• Failed pre-1997 pensions that have entered the Pension Protection Fund (PPF)

  Individuals will benefit from indexation in a boost for those who lost out when their scheme failed.

•  Infected Blood Compensation Scheme 

  The government has confirmed that compensation will be relieved from Inheritance Tax. This has caused a great deal of distress over the years to a number of families so this will be a welcome change.

• Tax relief on Venture Capital Trust (VCT) investments reduced from 30% to 20% from April 2026  

  The government says this will better balance the amount of upfront tax relief offered compared to EIS investments, where dividend relief is not available. 

TPO Partner, David Dodgson, appeared on BBC Money Box Live on budget day, sharing his thoughts on the Chancellor's statement.

Listen now on BBC Sounds

As well as the above changes, it is important to acknowledge the following areas that did not change despite strong rumours prior to the budget:

• Income Tax rates
• Pension contribution tax relief
• Pension tax free cash
• Capital Gains Tax rates

At the time of writing, Bond markets appear to have digested the budget relatively well, with Gilt rates remaining broadly unchanged.

In summary, after months of speculation, many of the rumoured changes did not materialise, but the combination of further frozen income tax bandings, increases to dividend, saving and property income tax and reduced cash ISA allowances, will make planning more important than ever.  Many of the upcoming changes will take effect at different times, so there will be opportunities to limit the impact of the changes through careful planning over the coming years.  Pensions remain attractive from a tax relief perspective and Stocks and Shares ISAs remain a tax efficient way of saving.  

If you’d like to discuss the impact of the budget on your finances, why not get in touch to speak to one of our advisers. We’re offering everyone with £100,000 in savings, investments or pension a free financial review worth £500. 

Arrange your free initial consultation

The Financial Conduct Authority (FCA) does not regulate estate planning or tax advice.

This article is intended as information only and does not constitute financial advice.  

The opinions shared in this article are solely those of the individual and they do not necessarily reflect those of The Private Office.

The information contained in this article is based on our understanding of legislation, whether proposed or in force, and market practice at the time of writing. Levels, bases and reliefs from taxation may be subject to change.

After much anticipation, the Financial Services Compensation Scene (FSCS) has announced an update to their deposit protection limit, marking the first increase to the limit in eight years.  

The amount of money a customer can have protected in the event that a UK bank, building society or credit union fails will increase to £120,000 next month, offering a boost to savers across the country.

The updated deposit protection limit, which represents a 41% rise from the current £85,000 cap, comes into effect on 1 December 2025 and is higher than originally expected.

The initial plan was to raise the protected amount to £110,000. However, this is one of the few areas where consumers appear to be gaining from the fact that UK inflation, which currently sits at 3.8%, remains well above the Bank of England’s 2% target.

In announcing the change, the Bank of England’s regulatory body, the Prudential Regulation Authority, said the proposed £110,000 limit had been revised upwards “in light of consultation feedback and to reflect the latest inflation data”.

What is the deposit protection scheme?

The FSCS protects 100% of the first £85,000 you have saved (£120,000 after 1 December 2025), per UK-regulated financial institution (not per account). So in simple terms, if your bank were to fail, the FSCS aims to get any savings up to this amount back to you within seven working days.

Aside from protecting funds, the FSCS was created to prevent ‘bank runs’ - where many depositors attempt to withdraw their funds at the same time. No bank has enough liquidity to pay/repay all its deposits at once, so if someone thinks other depositors might withdraw soon, it is rational for them to do it first as a kind of pre-emptive measure, which can lead to a cascade of withdrawals that results in a ‘bank run’. The existence of deposit protection – like an insurance scheme - serves to break this reasoning.

Since the £85,000 FSCS limit was set in 2017, consumer prices have increased more than 40%, meaning the same £85,000 buys a lot less. Moreover, the total amount of bank deposits has broadly doubled since 2017. The FSCS hopes that the limit increase to £120,000 will better represent current value.  
 
Understanding what kind of protections are available to you is key to proper financial planning. With the uncertainty in the global economy right now, it’s more important than ever to seek financial planning advice to help safeguard your future.  

If you want to find out more, why not give us a call on 0333 323 9065 or book a free non-committal initial consultation with one of our chartered advisers to find out how we can help. 

Arrange your free initial consultation

This article is intended for general information only, it does not constitute individual advice and should not be used to inform financial decisions. The Financial Conduct Authority (FCA) does not regulate cash advice.

National Savings & Investments (NS&I) made an unexpected move at the end of last week, announcing increases to its Guaranteed Growth and Guaranteed Income Bonds (also known as British Savings Bonds). This announcement came the day after the Bank of England voted to keep the base rate at 4%, despite earlier speculation that a cut might be on the cards.

These surprise increases could suggest that NS&I has seen higher than anticipated withdrawals recently, putting them at risk of undershooting their Net Financing Target. This target represents the amount the institution must raise on behalf of the Government, taking into account both money in and money out. For the current tax year, NS&I has been targeted with raising £12 billion (with a leeway of £4 billion either way).

The most up to date figures that are available show that the state-owned bank delivered £2.5 billion of Net Financing to the Government in the first quarter of the tax year (April to June 2025). If they were to continue at that rate, whilst they would deliver within the leeway, it would be less than the target. So perhaps this move is with the hope of not only encouraging new savers but retaining their loyal customers too.

Good news for some, frustration for others

Whilst unexpected, these rate hikes will be welcome news, especially for those who have funds maturing now. But it will be a bitter blow to the thousands who initially opened the market leading 1-year bond paying 6.20% AER which was available from 30th August 2023 until early October that year. Many of those will have rolled their funds over as previous issues matured, but for those who reinvested between 2nd September 2025 until now, they would have committed to the lower rates that were previously available.

Here’s how the new British Savings Bond rates compare to the previous issues: 

The 5-year bond has seen the biggest rise, with a 0.31 percentage point increase. 

Can I take my interest out each year? 

You can choose to have your interest paid out monthly or at the end of the term – and this can be important to remember if you pay tax on your savings. With the longer-term bonds, if you choose the latter, although the interest is added to your bond annually so that you can enjoy compounded interest each year, it will not be accessible until maturity.  

The reason this could be significant is because if all the interest is deemed to have been received in one year rather than spread over the term of the bond, it could mean a larger tax bill, as you can’t spread the interest over the term of the bond and therefore utilise the  Personal Savings Allowance (PSA) each year. 

You can’t roll over any unused PSA, so if you don’t utilise it all in one year, but you earn more than the allowance in the following year, that’s tough luck. You’ll still owe tax on any interest over the allowance for that individual tax year.

For many customers, this may not have too much of an impact, especially if you are already using your PSA. But it’s important to be aware.

And let’s not forget that for some, it could mean that they are pushed into a higher or the highest tax bracket for that year.

Are these new rates competitive?

These new rates are far more competitive, especially when compared to the better-known high street banks. However, you can find higher returns elsewhere, particularly if you are happy to look beyond the high street names. For example, someone depositing £50,000 for 12 months could earn £2,100 (before the deduction of tax) with NS&I, or £2,250 with the best online 1-year bond with Investec bank which is paying 4.50% AER.

Of course interest rates change regularly, so to check what the best rates are, take a look at our Best Buy tables.

Why would savers stick with NS&I?

There will of course always be savers who value the unique security that comes with NS&I, as well as the comfort of familiarity. All funds deposited with the state-owned bank is protected in full by HM Treasury, regardless of the amount. You can deposit up to £1 million into each issue of the British Savings Bonds. For those with larger cash sums, that reassurance can outweigh the lower rates.

But for the majority of savers, where balances are below the £85,000 covered by the Financial Services Compensation Scheme, sticking with NS&I is unlikely to deliver the best outcome.

Cash platforms are another valuable option for those with more than the FSCS limit. They allow you to manage savings across multiple banks with just one login, often making it easier to stay within protection limits and to switch between products when better rates become available. This can be especially useful for those with larger cash holdings who want both convenience and competitive returns.

Arrange your free initial consultation

This article is intended for general information only, it does not constitute individual advice and should not be used to inform financial decisions. 

The Financial Conduct Authority (FCA) does not regulate cash flow planning.

Rachel Reeves will deliver her second budget on 26th November 2025, and with speculation mounting regarding the potential changes, it can be hard to cut through the noise and make good decisions about what action to take, and importantly, not to take. 

What is likely to be in the Autumn Budget?

Speculation has been rife about potential changes in a number of areas, so what might these changes look like?

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Pensions

As has been the case in previous years, a reduction in individuals’ tax free cash entitlements is rumoured once again to be in the Autumn 2025 budget.  These rumours have been fuelled by reports that Pensions Minister Torsten Bell, who in 2019 had stated that the tax free lump sum should be limited to £40,000, had been appointed as a key aid for the Chancellor ahead of the budget.  However, while a change is of course possible, it is important to note that:

• When tax free cash has been reduced before (by reductions to the then Lifetime Allowance), protections (such as Fixed Protection 2012, 2014 and 2016) were put in place to ensure individuals who had already built up pension savings were not disadvantaged.
• The current Labour government previously tried to reinstate the Lifetime Allowance, which the previous Conservative government had scrapped.  However, the government abandoned these plans when they realised it was unworkable to exclude Doctors (who had been retiring due to the high tax rates they were subjected to through a combination of the lifetime allowance and the annual allowance) from the Lifetime Allowance tax charge.  Having now finalised legislation around the Lump Sum Allowance, a further change affecting Doctors’ pensions could prove very unpopular.
• Pension legislation notoriously takes months or years to finalise, as was the case with the recent Lump Sum Allowance (LSA) changes and as is currently the case with the legislation which will bring pensions into scope for inheritance tax from April 2027.  This could indicate any reduction may come into force at a given date in future, rather than with immediate effect.

To make a change ‘overnight’ would be administratively difficult for pension providers.

Capital Gains Tax (CGT) 

Despite the administrative issues associated with implementing an overnight change as outlined above, one change that was brought in with immediate effect in last year’s budget was an increase in the main rate of capital gains tax from 10% to 18% for basic rate tax payers and 20% to 24% for higher rate tax payers.  These increases weren’t as substantial as some thought they would be, so there is the possibility of further increases.  However, there are question marks over how much revenue such an increase would actually raise given individuals can simply choose to stop selling their assets.

Inheritance Tax (IHT)

This is the area that saw arguably the biggest changes in the 2024 budget with:

• Pensions brought into scope for inheritance tax purposes from April 2027
• Business Relief and Agricultural Relief limited to £1m per person and 50% of the full rate thereafter
• AIM shares Inheritance Tax Relief limited to 50% of the full rate   

The government may see the estimated £5.5 trillion of wealth that is expected to be passed down from ‘Baby Boomers’ over the next two decades (known as the ‘Great Wealth Transfer’) as a target for additional taxation. This could include a tax on gifting (currently gifting to individuals is unlimited if the donor lives 7 years from the date of the gift) or a reduction in the tax free allowances available on death (for example the removal of the Residence Nil Rate Band – RNRB).  For this reason, those considering making a gift in the not too distant future could consider making the gift before the budget, though only if the implications of this on their overall financial situation are fully understood.   

ISAs 

There are rumours that there will be a reduction to the Cash ISA allowance. However, a cut to the Stocks and Shares ISA allowance is perhaps less likely given Reeves spoke positively about Stocks and Shares ISAs in her Mansion House speech in July.

Salary Sacrifice

This is the ability for employees’ pension contributions to be paid directly into their workplace pensions, reducing both employer and employee national insurance contributions.  Limiting or removing the ability to do this could raise significant revenue for the government without them needing to renege on their manifesto commitment not to increase tax on working people (income tax, national insurance or VAT).

Other rumours 

Other recent rumours include: 

• An increase in tax with a corresponding reduction in National Insurance.  This could in theory raise revenue without raising tax on ‘working people’, with landlords and pensioners instead footing the bill.
• A further freezing of income tax bandings.  Though this is described by many as a stealth tax as it means more and more individuals will move into higher tax bandings over time, these have been frozen since 2021/22 until 2028 and an extension of this freeze to 2029/30 could raise an estimated £7bn p.a.
• A tax on Limited Liability Partnerships (LLPs) favoured by Solicitors, Accountants and Doctors, as such arrangements allow individuals to be self-employed and not subject to employer’s national insurance contributions.
• A windfall tax on banks, though the Chief Executive of Lloyds Banking Group Chalie Nunn argued this would impact banks’ ability to lend.

An increase in gambling taxes, though the Chairman of Betfred Fred Done has stated all its shops on UK high streets could close if the rumoured changes were implemented. 

When does the Autumn budget take effect? 

Though the budget will take place on 26th November 2025, most changes are expecting to come into effect from the next tax year on 6 April 2026 and beyond.

What can you do to protect your wealth?

In an environment where taxes are increasing, it is becoming more and more important to:

Utilise the various tax allowances that are available to you and your family, for example:

• Your ISA allowances
• Your pension contribution allowances
• Your capital gains tax, savings and dividend allowances
• Your personal income tax allowance.

Have a plan in place with diversified sources of income and investments.  This way you can adapt your plan as a result of any changes in the budget.

In summary, it is clear that the state of public finances mean taxes will need to increase in the upcoming budget and Labour’s manifesto commitment not to increase tax on ‘people working’ has led to mounting speculation that changes will be made to a number of different areas. These headlines are usually followed by a quote from a leader within the industry in question stating how the tax increase would be devastating for that industry and how the government should look elsewhere. As Private Eye’s headline from September rightly stated: ‘Raise taxes for other people’, agrees everyone, so some difficult decisions will need to be made.

To consider the potential impact of the budget on your overall financial situation, please get in touch or contact your TPO Adviser. 

Arrange your free initial consultation

This article is intended for general information only, it does not constitute individual advice and should not be used to inform financial decisions. 

The Financial Conduct Authority (FCA) does not regulate cash flow planning, estate planning or tax advice. 

The information contained within this article is based on our understanding of legislation, whether proposed or in force, and market practice at the time of writing. Levels, bases and reliefs from taxation may be subject to change.

A pension is a long-term investment not normally accessible until age 55 (57 from April 2028 unless the plan has a protected pension age). 

The value of your investments (any income derived from them) can go down as well as up, so you could get back less than you invested.  This could also have an impact on the level of pension benefits available.

Your pension income could also be affected by the interest rates at the time you take your benefits. The tax implications of pension withdrawals will be based on your individual circumstances, tax legislation and regulation which are subject to change. You should seek advice to understand your options at retirement.