Following confirmation in the Finance Act the Lifetime Allowance is due to reduce from £1.8m to £1.5m for any benefit crystallisations after 6th April 2012.
It is however possible to apply for protection to maintain the lifetime allowance at £1.8m and HMRC have now made the application forms available at http://www.hmrc.gov.uk/pensionschemes/apss227.pdf
In order to qualify for Fixed Protection, no further contributions may be paid into a money purchase arrangement and no further relevant benefit accrual must occur in a Defined Benefit arrangement.
August 14th, 2011