Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

Will UK Budget in March spark pension exodus?

by January 6, 2023
January 6, 2023
Will UK Budget in March spark pension exodus?

UK pension holders will increasingly be seeking to move retirement funds overseas as fears grow about the Budget in March, predicts the Investment Director of one of the world’s largest independent financial advisory, asset management and fintech organisations.

The warning from James Green of deVere Group comes ahead of Chancellor Jeremy Hunt delivering the first formal UK Budget since 2021 on March 15.

The last official Budget was presented in October 2021 by Prime Minister Rishi Sunak, when he was Chancellor. Since then, a “series of panicked fiscal statements” have been issued by the Treasury.

James Green says: “The UK is facing at least a decade of lost economic growth amid the readjustment to a post-Brexit era; a weak post-pandemic recovery; a shrinking, ageing and ailing population; a continuing cost of living crisis; and falling productivity and private sector investment.

“As the UK falls to the bottom of the G7 nations in terms of quarterly economic growth, the country’s tax take inevitably falls too – and this is of serious concern for UK pension holders.”

He continues: “With the UK economic crisis escalating and an urgent need to plug the financial hole, it can be reasonably assumed that the government will consider tapping into the billions held in retirement savings.

“Successive governments have shown that they see Britons’ pensions as easy ‘low-hanging fruit’ they can raid or tweak whenever they deem it appropriate. This is unlikely to have changed, especially in light of the scale of the issue.

“Using the inflation line, we expect that the government will over time and starting in the Budget, begin to roll out freezes of allowances, benefits and thresholds, and potentially taxes on pension payouts.”

To mitigate the hit to retirement funds that could be announced in March by the Chancellor, James Green believes that UK pension holders will increasingly be seeking to move their retirement funds overseas “to protect their nest eggs.”

When retirement funds are transferred overseas into a pension scheme based outside the UK, but that still meets HM Revenue & Customs (HMRC) rules, they are not typically subject to inheritance or income tax in the UK.

In addition, after paying initial tax on the transfer, pension holders can often benefit from a much lower tax rate, amongst other benefits.

The deVere Investment Director concludes: “It’s a difficult move politically to go after pensions as the Conservatives typically do well from older voters, but the Treasury needs to bolster the coffers.”

Read more:
Will UK Budget in March spark pension exodus?

0
FacebookTwitterGoogle +Pinterest
previous post
Shopify bans meetings of more than two people
next post
Confidential documents from 14 UK schools leaked by hackers following cyber-attack

You may also like

List of Magento SEO Best Practises

August 21, 2023

Fuel prices still cause for concern, warns competition...

November 9, 2023

Schroders warns of talent drain to America due...

July 8, 2024

Tesla set to sell electricity in Britain

July 12, 2023

Riots cause 4.8% decline in footfall on UK...

August 9, 2024

How Digital Interactive Games Enhance the Experience of...

April 14, 2025

Huw Edwards jumps to third-highest BBC earner despite...

July 23, 2024

Complete Guide on UK Property Market Trends for...

June 27, 2024

British government blocks takeover of Welsh semiconductor producer

November 17, 2022

BT to cut up to 55,000 jobs by...

May 18, 2023

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Firestarter: the London consultancy helping scale-ups build braver B2B brands

      August 28, 2025
    • Barclays exits Entercard joint venture with £200m sale to Swedbank

      August 28, 2025
    • Is Trump considering bold Africa play to push back on China, Russia and Islamic terrorists?

      August 28, 2025
    • ‘Gender bonus bias’ revealed as men nearly 1.5 times more likely to receive bonuses than women

      August 28, 2025
    • Four in five online small businesses expect growth despite UK economic headwinds

      August 28, 2025
    • Tesla sales slump 42% in Europe as BYD overtakes market share

      August 28, 2025

    Categories

    • Business (8,909)
    • Investing (2,246)
    • Politics (16,504)
    • Stocks (3,228)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved