New HMRC tax rules coming for DWP state pension after Labour update
New tax rules are coming on the Department for Work and Pensions ( DWP ) state pension from 2028, it has been warned. Labour Party minister Torsten Bell has confirmed the shake-up as he responded to a question in the Commons.
Mr Bell responded to fears the state pension – which is already dangerously close to breaching the personal tax-free allowance – could rise further with the Triple Lock next year, taking it over the threshold.
Euan Stainbank reached out “to ask the Chancellor of the Exchequer, whether she plans to extend the exemption to pay income tax to pensioners with private pensions who receive the same income as those who solely receive the maximum state pension.”
Mr Bell responded: “The Government is committed to making sure older people can live with the dignity and respect they deserve in retirement. The State Pension is the foundation of the support available to them.
“Over the course of this Parliament, the yearly amount of the full new State Pension is currently projected to go up by around £2,100.
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