Pension drawdown glossary
The amount of income you can have each tax year before paying income tax: £12,570 for most people. It is reduced by £1 for every £2 of adjusted net income over £100,000, so it is gone entirely at £125,140.
Source: GOV.UK: Income Tax rates and Personal Allowances · 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.