Brewin Dolphin advises on how to cope with chop-and-change policy decisions - sponsored feature; Jo Jackson from Brewin Dolphin advises on how the summer budget highlighted a need for financial planning - sponsored feature.
Byline: Angela Upex
It will take a little time for the full impact of Chancellor George Osborne's radical Budget to become apparent, but one thing that it does underline quite clearly is the importance of good financial planning, and throughout all the change and reshufflings, there are some things that remain certain.
For instance, when it comes to pensions, the sooner you start saving, the better off you could be when you start taking your income.
The first Budget after a general election is traditionally the time for introducing unpopular measures. The Chancellor is not constrained by a coalition partner and has nearly five years until the next election.
Mr Osborne's stated aim is to move the UK from a low wage, high tax, high welfare economy to a higher wage, lower tax and lower welfare economy.
As a result, the Budget not only highlighted a need for planning and good advice throughout life at all stages, but also the importance of having regular reviews and flexibility built into any plans so that they can be adapted if whatever Chancellor of the day decides to change the rules.
A good illustration of how policy can shift over time came from Mr Osborne's announcement of a Green Paper on pensions, with a suggestion that they could be treated more like ISAs. This is something to be welcomed, albeit with a weary sigh after all the changes the system has gone through, and most recently with the pension freedoms that came into effect this year.
Anything that simplifies the system is a good thing, but it will be important that any decision that comes out of the Green Paper is set in stone, and so gives people a period of certainty so that they can plan.
Planning isn't easy. Following the pattern of recent years, some of the Chancellor's announcements were well trailed beforehand. For example, the benefits cuts ([pounds sterling]12bn) and their targets (working age claimants) were well known. What came as something of a surprise was that the pain was spread over a three-year period rather than the expected two. The inheritance tax main residence allowance was well broadcast -- the Chancellor even wrote about it in The Times the preceding weekend -- but the allowance turned out to be less generous than the leaks suggested.
Not taking advantage of the tax-efficient opportunities available, through ISA subscriptions and pension contributions, can risk missing out on perfectly legitimate tax savings, which can do the heavy lifting in your...
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