Guides

Pension Tax Relief Guides 2026/27

In-depth guides to UK pension tax relief, annual allowance, carry forward and contribution strategies for 2026/27.

Claiming relief

How to Claim Higher Rate Pension Tax Relief

How to claim extra pension tax relief through Self Assessment if you're a higher-rate taxpayer.

Self Assessment

Pension Tax Relief and Self Assessment

Reporting pension contributions on Self Assessment to claim higher and additional rate relief.

High earners

Pension Relief Over £100,000 Income

How pension contributions can restore the personal allowance if income exceeds £100,000.

Annual allowance

Tapered Annual Allowance

How the annual allowance tapers from £60,000 to £10,000 for very high earners.

MPAA

Money Purchase Annual Allowance (MPAA)

The £10,000 MPAA that applies after flexibly accessing a defined contribution pension.

Contributions

Gross vs Net Pension Contributions

The difference between what you pay and what your pension receives — gross vs net explained.

Carry forward

Pension Carry Forward

Using unused annual allowance from previous three years to make larger pension contributions.

Net pay

Net Pay Arrangement and Low Earners

Why the net pay arrangement can leave low earners worse off — and what HMRC does about it.

Contributions

Pension Contribution Net Cost

What a pension contribution really costs you after tax relief is applied.

Self-employed

Pension Tax Relief for the Self-Employed

Pension tax relief for sole traders and self-employed people via SIPP contributions.

Higher rate

40% Taxpayer Pension Tax Relief

How 40% relief works, what you need to claim yourself and worked examples for higher-rate taxpayers.

Annual allowance

Pension Annual Allowance 2026/27

The £60,000 limit: what counts, tapering for high earners, MPAA and carry forward.

Tax planning

How Much Pension to Reduce Tax?

Using pension contributions to restore the personal allowance, eliminate child benefit clawback and reduce ANI.

DB pensions

Defined Benefit Pension Tax Relief

How tax relief works in final salary and career average DB schemes, and the annual allowance calculation.

45% taxpayer

45% Additional Rate Pension Relief

Claiming 45% pension relief on income above £125,140 — worked examples and Self Assessment process.

Scotland

Pension Tax Relief in Scotland

Scottish income tax bands and how they affect pension relief — relief at source, net pay and SA claims.

Basic rate

Basic Rate Pension Tax Relief (20%)

How 20% basic-rate relief works automatically under relief at source, and who qualifies.

60% trap

Loss of Personal Allowance: Pension Guide

How to use pension contributions to restore the personal allowance at incomes of £100k–£125,140.

All guides cover the 2026/27 tax year · Estimates only — not financial or tax advice · GOV.UK pension tax relief