Gov’t cancels plans for secondary annuity market

The government has decided to cancel plans to create a market for secondary annuities. A statement on the Treasury’s website explained the reason for the U-turn just 6 months before it was due to be implemented. The government said, “It has become clear that creating the conditions to allow a competitive market to emerge could not be balanced with sufficient …

Retirement ProfessionalsGov’t cancels plans for secondary annuity market

Withdrawals of Pension Pots Drops Down 42%

According to the data from the Financial Conduct Authority (FCA), the total number of customers that took all their pension pot as cash fell 42% during the last quarter of 2015. The Financial Conduct Authority recognized the general fall in access to pensions after a sharp fall following the pension freedoms. The number of individuals who preferred a full withdrawal …

Retirement ProfessionalsWithdrawals of Pension Pots Drops Down 42%

Second-hand annuities – Pro’s and Con’s

The government has stated that from 2017 pensioners will be able to sell their annuities for a lump sum. This would extend pension freedoms to those who’ve already bought a guaranteed income. But can it really work? We wonder… When pension freedom arrived in April 2015, many people missed out. Those who had already bought a guaranteed income no longer …

Retirement ProfessionalsSecond-hand annuities – Pro’s and Con’s

Drawdown interest drops and annuities surge six months after pension freedoms

New research has suggested that 10 per cent more people are likely to seek a guaranteed income – such as an annuity – than they were in the immediate aftermath of the introduction of pension freedoms in April this year. The latest index from financial forecasters eValue has revealed that 43 per cent are now exploring a guaranteed income post-retirement, …

Retirement ProfessionalsDrawdown interest drops and annuities surge six months after pension freedoms

Calls for crackdown on drawdown charges

Calls for crackdown on drawdown charges Which? the consumer group wants the Financial Conduct Authority (FCA) and Government to intervene in the drawdown market to ensure people are not confused by the wide range of charging options. Which? research has revealed huge differences in what pension providers are charging people looking to benefit from the new pension freedoms. Big differences …

Retirement ProfessionalsCalls for crackdown on drawdown charges

Summer Budget 2015 Summary

Pensions Lifetime allowance The lifetime allowance reduction announced in the March 2015 Budget will go ahead. So, there will be a drop from £1.25m to £1m from 6 April 2016. The Summer Budget Statement confirms that there will be new fund protection options introduced to allow those with funds in excess of this limit to protect the greater amount held. There …

Retirement ProfessionalsSummer Budget 2015 Summary