In March, Mr Osborne, the chancellor announced surprise reforms that will give retirees full freedom over how they take pensions built up in defined contribution schemes. But Chris Daykin, a former senior adviser to the government, speaking to the Financial Times said: "I believe a primary driver for Treasury was a desire to bring forward tax revenues. The assumption must be that many retirees, given the chance, will take their money out as quickly as possible… So, presumably, the Treasury are assuming cash is taken quickly, if not immediately, and that it is mostly going to be taxed at standard rate."
The implication is that pensions will be further targeted to increase tax revenues. Anyone remember Pensions A-day, 6 April 2006, the date when our previously complex pension system was complicated yet more through a process called "simplification?" Since then, governments have reduced the annual allowance for pensions and the lifetime allowance for pensions.