Banner

Pensions, savings and investments

Interest rate fall to hit short-term fixed-rate bonds

Savers who have been enjoying generous fixed-rate bonds could soon be facing big reductions in the level of their returns.

Cash ISA rates lose their allure

Cash ISAs that were offering savers attractive returns just a few weeks ago are now being pegged back to lower interest rates.

Firms need extra time to deal with pension deficits

The CBI has urged a change to the pension system in order to allow businesses extra breathing space in which to make good the shortfalls in their final salary schemes.

Pension decision time for those approaching 50

Changes to the rules next year will affect early access to pensions.

Pensions rule still under debate

High earners were also shocked to hear that not only would tax relief for pensions be restricted from 2011, but that the Government also intends to restrict their ability to contribute this year and next, in the run up to the new rules.

The restriction, however, is much more limiting than was expected, as it is intended to prevent those affected from increasing their pension contributions in 2009/10 and 2010/11.

But the effect of the rules as drafted mean that many taxpayers earning over £150,000 per annum could be forced to reduce their pension contributions this year.

Syndicate content