Budget poll: Should Rishi Sunak have frozen lifetime allowances for pensions? Vote here

Dean Moore, the Managing Director, Head of Wealth Planning at RBC Wealth Management International, also reviewed the announcements while focusing on the long-term impacts of increased public spending: “From a private client perspective, fiscal drag on personal allowances and IHT thresholds will have a limited impact, with the key areas of pension tax relief, annual and lifetime allowances, IHT rates and continuing ability to make substantial gifts and CGT remaining unchanged.

“This was essentially a ‘feel-good’ budget while the UK economy remains in recovery mode, but there’s no getting away from the debt that COVID has created.

“It was clearly positioned that with a projected £2.1trn UK public sector net debt burden, there will be tax rises to come, and the areas previously flagged as being a focus of tax increases are still in play.

“The budget reinforces the need for investors to get their house in order and to make use of the current gifting allowances and CGT rates, especially when considering legacy and next generation planning.

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