The government's "u-turn" on alternatively secured pensions has disappointed one expert.
John Porteous, director of BDO Stoy Hayward, has claimed that further amendments to the pension legislation will reduce flexibility for individuals intending to plan their pension beyond the age of 75.
Although the move was widely predicted, "the changes to the rules on alternatively secured pensions … severely limit the attraction of this option," he said.
"These measures will likely reintroduce the notional glass ceiling of age 75 for those choosing to defer annuity purchase in retirement," he remarked
Additionally, the analyst claimed that the government's decision would prove a "bitter disappointment for many existing pension policyholders".
Mr Porteous also claimed that changes to the alternatively secured pensions would be a blow to the overall confidence in pensions as a tax-efficient long-term savings vehicle.
Investment company Jupiter echoed these comments, referring to the government's handling of alternatively secured pensions as "strangulation".
The company noted that the new regulations included proposals for a tax of up to 70 per cent on any remaining funds upon the death of the pension holder.
Expert disappointed by pension decision
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Expert disappointed by pension decision
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