A pension tax threshold is discouraging highly paid, skilled people from continuing to work, according to senior Tories. They are pushing for a review of the limit, following a survey that showed it has prompted one in six doctors to plan early retirement. Former work and pensions secretary Damian Green said the lifetime allowance had been “a perverse incentive” encouraging professional to quit early. And ex pensions minister Baroness Altmann described it as an “ill thought out” policy that costs the Excheqeur more tha it brings in.

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