It has come to light that some pension providers have been wrongly sent notices (form SL1) to commence deducting Student Loans.
The CIPP has alerted HMRC to this issue of which they were already aware. HMRC have confirmed that the problem is being investigated and in the meantime the guidance on the Helpline has been updated to reflect this.
Student Loans are only considered if National Insurance contributions are due. Pension payments do not attract NI and, therefore, no student loan deductions are due.
