Moves to curtail the pensions tax relief offered to high earners are being rushed through parliament ahead of the forthcoming election, according to the Chartered Institute of Taxation (CIOT).
The news could inspire a number of people to look into equity release plans as a way of boosting their retirement income.
According to the CIOT, the government’s recent Finance Bill will be rushed through parliament without proper scrutiny in order to pass before the May 6th election.
John Whiting, CIOT tax policy director, said: "We are particularly disappointed that the restrictions on pensions tax relief for higher earners are going forward in such an over-complex way.
"The Bill’s proposals show no signs of there having been any listening to the views of most respondents which were that there were much simpler ways of achieving the aim of curtailing tax relief for the wealthy."
Homeowners that are concerned about the prospect of a cut in pensions tax relief could now turn their attention to products such as lifetime mortgages, which can provide a regular income taken from the value of their property, to boost their retirement funds.
