LONDON: The outcome of the UK General Election is still not completely clear, but financial advisers are warning that some party policies might impact negatively on their clients, particularly those with ‘non-domicile’ status.
“I think that Brits abroad are perhaps even more concerned about coalitions than UK residents are,” said Paul Gambles, managing director of MBMG Group.
“For most UK residents there had been little exposure to coalitions prior to the current one, and I think this coalition has done very little to make them comfortable with the process.”
“Something odd”
The Tories have proposed restricting tax relief on pension contributions for those earning more than £150,000. But Jeremy Woodley, sales and marketing director at The Fry Group, said many clients already feel a squeeze between the lifetime allowance and the annual allowance.
“There is something odd in current pension policy anyway with a limit on the way in and way out, so effectively there is already a cap on relief,” he said.
“It would be much simpler to abolish the lifetime allowance and then just maintain the annual allowance at a level that provides a good opportunity to plan for retirement, without giving away too much.”
