Pension drawdown glossary
The limit on the total tax-free cash most people can take from their pensions during their lifetime: £268,275, unless they hold a protection that gives a higher amount.
Source: GOV.UK: lump sum allowance · Last reviewed 24 September 2026
See every term in the A–Z glossary. Definitions are general information for the 2026/27 tax year, not personal advice.
Important: The value of investments can fall as well as rise. You may get back less than you invest. Tax rules can change and benefits depend on individual circumstances. This is not financial advice.