Hogan Lovells

Key Dates

The Finance (No 2) Bill 2016-17 received Royal Assent on 27 April 2017.  

The provisions for reducing the money purchase annual allowance were removed on 26 April 2017.

A response to consultation on reducing the money purchase annual allowance (MPAA) was issued on 20 March 2017.

The reduction in the money purchase annual allowance was to have had effect from 6 April 2017.


Summary

Following the announcement of the general election to be held on 8 June 2017, the Finance Bill was fast-tracked to ensure that it would be passed before Parliament was dissolved.  This involved stripping out certain provisions, including those which would have reduced the money purchase annual allowance from £10,000 to £4,000.

Background

The Finance (No 2) Bill 2016-2017 was issued in March 2017, following consultation on draft legislation at the end of 2016. At the same time, HM Treasury issued a response to consultation on reducing the money purchase annual allowance (MPAA).

Key points in relation to the reduction MPAA include the following.



Date Accessed: 03/12/2021