Pension Tax-Free Lump Sum: How the 25% Rule Works (2026/27)
You can normally take 25% of your pension as a tax-free lump sum, capped at £268,275. Here is exactly how the rule works…
202 plain-English guides to UK tax, written and reviewed in-house — each one with the calculator it needs built in.
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You can normally take 25% of your pension as a tax-free lump sum, capped at £268,275. Here is exactly how the rule works…
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