Annuities: Rates rise sharply in 2013

iStock_000016674106XSmallNew research has shown that Annuity rates rose sharply in 2013, bucking the downward trend of previous years and giving hope that future retirees will get a better deal when they finish work. Around 400,000 people each year use an Annuity to turn their pension pot into a guaranteed income for life. Over recent years, Annuity rates have dropped significantly, reducing retirement incomes for many....

Budget 2013: Annuity incomes to fall on the back of more Quantitative Easing?

Falling profitsDespite small rises in Annuity rates over the past few weeks, yesterday’s Budget has dashed hopes that the trend will continue. Pension Annuity comparisons show that during February at least five Annuity providers have increased their rates, including a 3% rise from Aviva. However, gilt yields have dropped since their peak in the middle of February and there was more bad news yesterday, when in his fourth Budget, the Chancellor George Osborne, announced that the Bank ...