Date posted: 01/11/2010

Audience: HR staff dealing with pay policy, recruitment and departures for senior staff

Action: To make sure that appropriate HR staff are aware of the changes, and the enclosed ‘Briefing for Civil Servants’, in case of queries

Timing: Immediate


  1. Cabinet Office has issued a note to HR Directors advising them of changes to the pensions tax relief provisions. (see text at Annex A)
  2. The note encloses a ‘Briefing Note for Civil Servants’ (Annex B) and asks HR Directors to make this available to staff, and bring it to the attention of senior staff.
  3. The reduced tax relief should only affect a minority of staff, HM Treasury estimate that 80% of those who will be affected will earn over £100,000 a year.
  4. Where the annual allowance tax does apply, it can be mitigated by a three-year carry-forward provision.
  5. Tax is an individual responsibility and these tax charges are administered through Self Assessment to HM Revenue and Customs, who have produced comprehensive guidance for individuals on their website,
  6.  We will put the enclosed Briefing note on a Pensions and Tax page on the Civil Service Pensions’ website, together with links to the HMRC site.
  7. My Civil Service Pension will issue further guidance about responsibilities for data updates for the provision of new Annual Allowance statements over the next year.


Enquiries about content, distribution or to receive in a different format
01256 846414
Employer Helpdesk
My Civil Service Pension
Grosvenor House
Basing View
RG21 4HG


1 November 2010
Last updated:
24 April 2023