Nearly half of Financial Planners (49%) who offer retirement advice report that recent pension tax allowance changes have spurred a boom in demand for advice, according to a new study.

The number of people paying tax penalties for exceeding the annual or lifetime limits on pension tax relied rose sharply between the 2020/21 and 2021/22 tax years, according to new figures from HMRC.

The UK Government has rejected calls for a review of the impact of pensions tax relief.

Ahead of the Budget, the ABI has called on Chancellor Philip Hammond to end what it called ‘salami-slicing’ of cutting pensions tax relief.