This website uses cookies. Find out more.

  • Contact
  • Client Login
Chase de Vere
Trustpilot
  • Services
    • Advice for you
    • Advice for your business
    • Partner With Us
    • Advice on Personal Injury Awards
    • Advice for Medical Professionals
    • Advice for Dental Professionals
  • About
  • Careers
  • Insights
  • Contact
0345 609 2002 Book Appointment

Advice for you

Advice for your business

Partner With Us


Advice on Personal Injury Awards

(Off-site link)

READ MORE
Advice for Medical Professionals

(Off-site link)

READ MORE
Advice for Dental Professionals

(Off-site link)

READ MORE
Back to Insights
News

Our advice saves medical professional £44,225

09 December 2021
  • Share

We look at a recent case where Andrew Jaworski, Independent Financial Adviser for Chase de Vere Medical in our Chester office, with the help of our technical support team, will reduce his client’s tax bill by £44,225.

Andrew has been an independent financial adviser for 20 years and since 2013 has specialised in advising medical professionals such as NHS consultants and doctors. He provides a comprehensive financial planning services and has particular expertise of the NHS Pension, taxation and retirement planning.

Andrew’s client is 66 years old and continues to work as a medical professional, having drawn his NHS Pension at age 60. He was referred to Chase de Vere Medical because he was worried that he had breached his pension Fixed Protection 2012, as a result of his NHS Trust having previously auto enrolled him into a NEST pension scheme.

His Fixed Protection 2012 had given him a personal Lifetime Allowance of £1.8 million and is intended to protect pension benefits built up before 6 April 2012, but severely limits an individual’s ability to accrue further pension benefits. If this Protection is broken, as a result of additional pension contributions or accrued benefits, the individual typically reverts to the standard Lifetime Allowance amount.

With the client’s permission, Andrew liaised with the NHS Trust with regard to his NEST pension contributions. As well as concerns about the client breaching his Fixed Protection, it was also understood that the proceeds from this pension would be very small and they would also be subject to a 55% tax charge, as the client had already exceeded his pension Lifetime Allowance. As a result, Andrew arranged with the Trust for the NEST pension to be unwound and all contributions into the scheme to be cancelled.

However, despite having a long-standing financial adviser before he spoke with us, the client had remained an active member of the NHS Pension Scheme and so had accrued benefits which had broken his Fixed Protection. It appears that his existing adviser didn’t fully understand the NHS Pension and/or the Protection rules as they didn’t realise that remaining a member of the NHS Scheme would breach the rules.

Help from our Technical Advisory Support team

Because of this breach, his whole pension situation was a bit of a mess and it looked as though the client would revert from a Lifetime Allowance of £1.8 million to the standard amount, which is £1.0731 million. This means that he will face a very large tax bill when he crystalises his further pension benefits.

Chris Howerd and Adele Walwyn, in our Technical Advisory Support team, did a fantastic job of working through the information and producing a detailed report for the client which identified the date, which was in 2013, that his Fixed Protection 2012 was broken.

As a result of their efforts, the client was then able to apply for Individual Protection 2016 which gave him an enhanced Lifetime Allowance of £1.25 million. While still facing a significant tax bill, Chris and Adele’s efforts will reduce his tax bill by £44,225.

The Financial Conduct Authority does not regulate tax advice

Content correct at the time of writing and is intended for general information only and should not be construed as advice.

  • Share

Related Insights

21 December 2018

UK dividends remain strong despite volatile markets

UK dividends are continuing to grow…

News
View Article
16 November 2020

China: ever larger, ever changing

The Chinese stock market broke the…

News
View Article
21 September 2021

Evolution of ESG investing

The coronavirus (COVID-19) pandemic has prompted…

News
View Article

TO FIND OUT HOW CHASE DE VERE CAN HELP YOU ACHIEVE YOUR GOALS, ARRANGE YOUR COMPLIMENTARY CONSULTATION.

ARRANGE APPOINTMENT

Related Services

Advice for you

We offer our clients attentive, focused, financial guidance from highly qualified independent advisers located throughout the UK. Whether you’re saving for the future, enjoying your retirement or fu...

Learn more
JOIN OUR SUBSCRIPTION SERVICE TO RECEIVE:

EDUCATIONAL NEWS UPDATES & UPCOMING EVENTS

By signing up to our email subscription service we will send you regular emails with the latest insights from Chase de Vere. By signing up you are agreeing to our term and conditions that can be found here.

Chase de Vere
  • 0345 609 2002
  • client.services@chasedevere.co.uk
  • Home
  • About
  • Accessibility
  • Cookies
  • Gender Pay Gap Report
  • How to make a complaint
  • Insights
  • Modern Slavery Statement
  • Privacy
  • Terms of Use
  • Linkedin

Disclaimer:

Investments can go up and down in value, so you could get back less than you put in.
The Financial Conduct Authority does not regulate cash flow planning, tax or estate planning.

© Copyright Chase de Vere / 2025