Pension access changes
The government has confirmed it will proceed with changes to HM Revenue and Customs’ definition of terminal illness, allowing individuals at the end of their life to access their pension savings more easily. Announced earlier in October and confirmed in the Budget on 28 October, the measure will be introduced via the Finance Bill 2026-27. It shifts the requirement from medical evidence showing an individual is expected to live for less than one year to a flexible test where death can reasonably be expected within 12 months, aligning pension tax rules with Department for Work and Pensions guidelines. The rules will also permit medical evidence from overseas registered practitioners.