G
Gareth
Member
A parliamentary loophole will enable Tony Blair to escape the new A-day laws which will cap private pension funds at £1.5 million and tax any personal pension pot over this amount at a rate of 55%. Mr Blair's pension is set out under the Ministers of the Crown Act 1937, which entitles the Prime Minister to receive pension pay-outs from the moment he leaves his position. This means that his pension is not classed as a pension "pot" and consequently the A-day rules do not apply. A Cabinet Office spokesman said: "When Tony Blair leaves office he will be entitled to a lifetime pension and this will be unaffected by the changes". Mr Blair can expect to enjoy an annual pension of £96,000 if he leaves his post in the next three years.
* The Mail on Sunday http://www.mailonsunday.co.uk/pages/live/dailymail/home.html?in_page_id=1766 2 April 2006 - p2 Blair's £96,000 a year pension to escape raid by the taxman by Andrew Buckwell
* The Mail on Sunday http://www.mailonsunday.co.uk/pages/live/dailymail/home.html?in_page_id=1766 2 April 2006 - p2 Blair's £96,000 a year pension to escape raid by the taxman by Andrew Buckwell