UK Financial Regulation 2023/24

Amendments to study text

Please note the following amendments to the 2023/24 study text (amendments are listed in the
order of the topics to which they apply).

Text Subject area Clarification/correction Date

reference added
10.1.1/ Lifetime For pensions taken on or after 6 April 2023, there is no 08/08/23
10.1.2/ allowance for lifetime allowance charge. Instead, individuals will pay
13.3.1 pension income tax on some or all of the lump sum. The
savings lifetime allowance is set to be abolished in April 2024.
10.1.1 Annual Amendments in BOLD: 25/08/23
allowance for
pensions An individual can carry forward any unused annual
allowance from the previous three tax years to the
current tax year (so in these circumstances, a
contribution in excess of the annual allowance can be
made).
16.9.2 Intestacy The second bullet point has been changed as follows. 05/10/23
Amendments in BOLD:

If there is both a spouse and children – the spouse

inherits the deceased’s personal chattels, plus the first
£322,000, plus half of the residue above £322,000
absolutely; the other half of the residue in excess of
£322,000 is divided equally between the children.

The answer to question b in the check your

understanding has also been updated (please see
below in the table).
22.2.2 Consumer Amendments in BOLD: 28/07/23
Credit
sourcebook CONC 5B: Cost cap for rent-to-own agreements
(CONC)
Answers: UK taxation I The dividend allowance changed to £1,000 from 6 April 10/08/23
Topic 3, 2023. Therefore the answer should be £2,275 (£26,000
TYK × 8.75%).
question 8
Amendments in BOLD:

£1,000 of dividend income is taxable at 0 per cent.

The remaining £26,000 all falls within the basic rate tax
band and is taxed at 8.75 per cent.

Total tax is £2,275 (£26,000 × 8.75%).

Answers: UK taxation I The dividend allowance changed to £1,000 from 6 April 10/08/23
Topic 3, 2023. Therefore the tax on dividend income should be
TYK £6,000 × 33.75% = £2,025.

© The London Institute of Banking & Finance

 question
10 The answer should also list the total tax payable.

Amendments in BOLD:

Dividend income:

£1,000 (DA) × 0% = £0

£6,000 × 33.75% = £2,025

Total tax is (£7,540 + £9,892 + £60 + £2,025) = £19,517

Answers: Intestacy Amendments in BOLD: 05/10/23
Topic 16,
CYU Ian’s wife inherited £336,000 (ie the first £322,000 plus
question half the excess above that figure); Ian’s children
2b inherited £7,000 each (ie the remaining £14,000 of the
estate shared between them).

© The London Institute of Banking & Finance 2022