One million families £900 a year worse off after salary sacrifice raid

New HMRC salary sacrifice rule leaves 1 million households £900 worse off

Government will introduce a £2,000 cap on the amount that workers can pay into their pension via salary sacrifice

One million families £900 a year worse off after salary sacrifice raid

Standard Life Centre for the Future of Retirement comments on the publication of today’s IFS report on salary sacrifice pension contributions

Up to two fifths of employers may withdraw salary sacrifice pensions

Employers are facing growing uncertainty over the future of salary sacrifice pension schemes following the Government’s decision to introduce a £2,000 annual cap on National Insurance (NI) relief for pension contributions made through salary sacrifice. Although the cap will not take effect until April 2029, research suggests businesses are already reassessing whether these arrangements remain viable. Why are businesses reassessing their use of s…

Nearly 40 per cent of employers could opt out of salary sacrifice pension: Is it still worth it?

Research by the Standard Life Centre for the Future of Retirement revealed that two in five (39 per cent) employers are less likely to offer salary or bonus sacrifice pension schemes. It might just be that employers are making a u-turn on their current schemes due to the National Insurance relief cap announced in the Autumn Budget 2025. One in 10 (11 per cent) have already decided to withdraw their salary sacrifice scheme completely since the Bu…

"New £2,000 Cap on Pension Contributions via Salary Sacrifice"

Pension savers utilizing salary sacrifice schemes to fund their retirement will soon face a limit on their contributions before incurring National Insurance charges. Rachel Reeves, through the Budget, has confirmed a new annual cap of £2,000 on pension savings made via salary sacrifice schemes, effective from April 2029. Contributions exceeding this limit will be subject to National Insurance deductions. The introduction of this cap is projected…