Pensions news in 2024
36 stories, newest first.
- December 2024
Pensions Policy Institute research estimates lost pension pots hold £31.1 billion
Research published by the Pensions Policy Institute estimated that lost pension pots in the UK contained £31.1 billion in assets, with 3.3 million pots separated from their owners.
- November 2024
DISP 2.7.6R updated to extend eligible complainant relationships
The Financial Conduct Authority updated DISP 2.7.6R on 30 November 2024, extending the relationships that make someone an eligible complainant to the Financial Ombudsman Service, including for alleged authorised push payment fraud.
FCA exit communications rules for pensions dashboards take effect
Rules requiring firms to tell customers when they are leaving a qualifying pensions dashboard service, and where they are being sent, took effect on 30 November 2024.
Lifetime allowance charge provisions amended for tax year 2024-25 onwards following abolition of the lifetime allowance charge
Amending regulations have changed tax provisions in three pension statutory instruments for the 2024-25 tax year onwards, following the abolition of the lifetime allowance charge.
Interim report of pensions investment review published
The government published the interim report of its pensions investment review on 14 November 2024, proposing consolidation of defined contribution schemes and changes to the Local Government Pension Scheme.
Pensions Investment Review consultation launched on DC workplace pension reforms
The Department for Work and Pensions and HM Treasury have set out final plans to shrink the number of defined contribution default funds and require minimum scale, with legislation promised in the Pension Schemes Bill.
Labour government considering whether to change auto-enrolment
The Labour government said in November 2024 it would consider if and when to change automatic enrolment, weighing improved pension outcomes against the effects on businesses.
Lifetime allowance charge provisions of the FAS tax regulations removed for tax year 2024-25 onwards
The lifetime allowance charge provisions in the Financial Assistance Scheme tax regulations were removed from 18 November 2024 for the 2024-25 tax year and later years.
- October 2024
Government announces Inheritance Tax reform including pensions measure at Autumn Budget 2024
At Autumn Budget 2024 the government announced that most unused pension funds and pension death benefits will count towards a person's estate for Inheritance Tax from 6 April 2027.
Pension-age Housing Benefit to end from 2026
The Budget confirmed that pension-age Housing Benefit will end, with all new claims for housing costs from 2026 administered with Pension Credit instead.
Technical consultation launched on IHT reporting and payment processes for pensions
The government has published a technical consultation on bringing unused pension funds and death benefits into Inheritance Tax from 6 April 2027, with responses due by 22 January 2025.
Pension withdrawals surge 20% in 2023/24
Savers withdrew more than £52bn from their pensions in 2023/24, a 20% rise on the previous year, according to Financial Conduct Authority data reported on 4 October 2024.
ABI publishes lost pension pot statistics
The Association of British Insurers has put the number of lost pension pots in the UK at 3.3 million, with each one worth an average of £9,470, figures dated October 2024.
Government confirms MoneyHelper dashboard will launch before private sector dashboards
The government has confirmed the MoneyHelper Pensions Dashboard will be made available to the public before private sector dashboards, with six months' notice promised before launch.
Inheritance tax freeze extended until 2030
Inheritance tax thresholds that were due to stay frozen until 2028 will now remain unchanged until 2030, keeping the £325,000 nil-rate band and residence allowances at their current levels.
October 2024 Budget announced pensions to enter inheritance tax from April 2027
Pensions will be brought into inheritance tax calculations from April 2027 under Budget reforms, a change expected to raise nearly £1.5bn in 2029-30 and affect around 8% of estates.
Phase 2 of new contribution structure proposed from 1 October 2024
The Scottish Public Pensions Agency has consulted on phasing in a revised NHS Scotland pension contribution structure, with a second phase proposed from 1 October 2024 and the top tier falling to 12.7%.
Unspent pension pots to be included in estates for inheritance tax from April 2027
Unspent pension pots will count towards a person's estate for inheritance tax from April 2027, under a change announced in the 2024 Autumn Budget.
- September 2024
Government has repaid £594m to 99,558 people underpaid state pension due to errors
The government has repaid £594m to 99,558 people who were underpaid their state pension because of system errors, covering the Home Responsibilities Protection error and the LEAP correction exercise.
Royal London analysis shows 49% of new state pension recipients missed the full amount
Royal London analysis of 2023-24 figures shows 49% of new state pension recipients were paid less than the full weekly amount, with 149,317 pensioners receiving under £100 a week.
Call for evidence published on pensions investment review
The government has published a call for evidence in its pensions investment review, asking for views on consolidation, value for money and investment in the UK.
Working-age benefits to rise 1.7% and pension-age benefits 4.1% from April 2025
Working-age benefits will rise by 1.7% and pension-age benefits by 4.1% from April 2025, the Budget confirmed, while Local Housing Allowance and the benefit cap are frozen again.
- August 2024
Government launches pensions investment review
The government has launched a pensions investment review led by Minister for Pensions Emma Reynolds, aiming to boost investment, increase saver returns and tackle waste in the pensions system.
Pensions Investment Review launched by the Labour government
The Labour government launched a Pensions Investment Review in August 2024, and the Pension Schemes Bill 2024-25 that followed it was introduced on 5 June 2025 with second reading scheduled for 7 July 2025.
- July 2024
Chancellor launches Pensions Investment Review
The Chancellor launched the Pensions Investment Review on 20 July 2024 to tackle fragmentation in workplace pensions and the Local Government Pension Scheme, with the final report published on 29 May 2025.
- June 2024
Pensions dashboards expected to open to the public from summer 2024 at the earliest
Pension schemes are joining the dashboards system in stages from spring 2023, but the public will not be able to view their pots through a dashboard until summer 2024 at the earliest.
- May 2024
Conservative Party announces 'triple lock plus' policy to uprate pensioner personal allowance with the triple lock
The Conservative Party has said that if re-elected it would raise the pensioner personal allowance in line with the triple lock, reaching £14,340 by 2029-30 and cutting tax for around 8 million pensioners.
- April 2024
Pensions lifetime allowance to be abolished from 6 April 2024
The pensions lifetime allowance was abolished from 6 April 2024 under the Finance Act 2024, removing the cap on total pension savings that could be built up without an extra tax charge.
FCA to consult on value for money framework rules in spring 2024
The Financial Conduct Authority has signalled that detailed rules for a new value for money framework for defined contribution workplace pensions will be consulted on in spring 2024.
Inflation-linked benefits uprated by 6.7% and State Pension by 8.5%
Inflation-linked Department for Work and Pensions benefits rose by 6.7% in April 2024, while the basic and new State Pension increased by 8.5% for 2024/25.
Online state pension top-up tool launched by HMRC and DWP
HMRC and the Department for Work and Pensions have launched an online tool letting people under state pension age check National Insurance gaps and pay voluntary contributions without phoning.
New system applies to pension contributions from 2024-25 tax year
A new system applies to pension contributions made from the 2024-25 tax year, giving low earners in net pay workplace pensions a top-up payment from HMRC.
- March 2024
General code of practice in force from 28 March 2024
The Pensions Regulator's general code came into force on 28 March 2024, setting out duties for pension scheme governing bodies on governance, internal controls and mitigating the risk of scams.
New pensions dashboards timeframes published with October 2026 connection deadline
New connection timeframes for pensions dashboards set a 31 October 2026 deadline for all 3,000 pension providers and schemes, with larger schemes starting from April 2025.
- February 2024
ERC research shows retirement confidence falling sharply
An Equity Release Council survey of 5,000 people found 46% are not confident about their future finances, up from 35% in 2021, with the sharpest fall among retirees aged 65 to 74.
PLSA raises required retirement income figures
The Pensions and Lifetime Savings Association has raised its estimate of the income a single person needs for a moderate retirement by £8,000 to £31,300 a year, as cost of living pressures and family support push up required spending.