The Government will extend the tax reliefs offered on employer-arranged advice as part of a series of measures to boost take-up, Chancellor George Osborne has announced.
Currently, companies can pay up to £150 per employee per year towards the cost of pension advice before they are subject to a benefit-in-kind tax charge.
In February Money Marketing revealed Treasury officials were considering raising the limit.
And the Government has today proposed raising the exemption to £500 in April 2017.
In addition, the Treasury will consult on allowing people to withdraw up to £500 tax-free from their defined contribution scheme to redeem against the cost of advice.
The measures are being introduced in response to recommendations from the Financial Advice Market Review.