Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what steps he is taking to ensure that NHS doctors will not incur increased tax liabilities due to pension contributions with the result that they would be financially worse off for working longer hours.

The Government increased in April 2020 the thresholds for the calculation of the tapered annual allowance in pensions tax by £90,000 to support delivery across public services, and in particular the NHS. Raising the tapered annual allowance thresholds means that no-one with a net income before tax below £200,000 is now affected by the tapered annual allowance. It was estimated that this would take up to 96% of GPs and up to 98% of NHS consultants outside the scope of the tapered annual allowance.

This allows savers to continue to make significant amounts of pension savings tax-free, while ensuring incentives to save are targeted across society.