Readers’ forum: Can my client draw his pension’s tax free lump sum?

My client applied for fixed protection in 2016 which means that his lifetime allowance was £1.25m instead of £1 073 100. Now that the lifetime allowance (LTA) charge has been abolished this seems to be less important as his pension fund will not be subject to an immediate charge on excess value; and pension contributions seem a good way of avoiding the penal rates of employers’ NICs that now apply saving corporation tax and deferring an income tax charge until later.

However I assume that if he pays a pension contribution his tax-free lump sum will revert to 25% of the lower figure instead of £1.25m? What would happen if he drew the tax-free lump sum and put the rest into a drawdown account – taking no flexible drawdown so not triggering the money purchase annual allowance – and then made a pension contribution?

Any...