HMRC reveals pension tax blunder

HMRC has overcharged up to 8.7m pensioners for a decade due to an error in income calculations. This mistake has resulted in an average overpayment of £5, totalling £43.5m last year. The issue arose from HMRC not accounting for the annual rise in the state pension, which is subject to income tax. HMRC said it is "working at pace to fix the issue."