Home > Literature > Commentaries > Finance Act 2011: Flexible Drawdown
Finance Act 2011: Flexible Drawdown
On 19 July 2011, the Finance (No. 3) Bill 2010-11 was granted Royal Assent and so was born the Finance Act 2011, bringing with it a new approach to accessing retirement savings – “flexible drawdown”. Flexible drawdown may not just be for the wealthiest savers. The qualifying criteria are surprisingly accessible and Pensions Policy Institute research suggests that one in seven may qualify now or at some point in the future.
The new rules may also present de-risking opportunities for sponsors of occupational defined benefit (DB) schemes. Trustees of DB and defined contribution (DC) schemes should start to think about how flexible drawdown will affect their schemes and whether they should be taking action now. Of course, flexible drawdown will not suit everyone. Any individual considering flexible drawdown as a retirement option should seek independent financial advice.
To read more please click the link below:
Related DocumentsFinance Act 2011: Flexible Drawdown (592.75 KB, .pdf)