The Lifetime Allowance (LTA) is a limit on the amount of pension benefit that you can draw out from your pension scheme(s), whether lump sums or retirement income without triggering an extra tax charge.

The Lifetime Allowance for most people is £1,073,100 for the tax year 2023-24. It applies to the total of all the pensions you have, including the value of pensions.

The charge for breaching the LTA limit was removed in April 2023, and the allowance will be abolished completely from April 2024.