The National Insurance (NI) relief you get through salary-sacrificing into your pension will be capped at £2,000 a year, Chancellor Rachel Reeves has announced in the Budget today (26 November 2025). This means from April 2029, some middle and higher earners are likely to get a bit less take-home pay. Here's how it'll work...
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Salary sacrifice pension perk to be capped at £2,000 a year from April 2029
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Salary sacrifice pension perk to be capped at £2,000 a year from April 2029
MSE_Emily
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