There is no limit to the amount of benefits that an individual can be provided with under a registered pension scheme. However, the lifetime allowance (see ¶384-000) imposes a limit to the benefits that an individual can draw without triggering certain tax charges.
The lifetime allowance charge, arises where a benefit crystallisation event (see ¶384-100) occurs in relation to an individual who is a member of one or more registered pension schemes and the amount crystallised on that event exceeds the lifetime allowance available at that time (FA 2004, s. 214(1)–(3)).
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