UK and Europe chief executive argues that “annuities aren’t the best option for anyone with a decent pot” post-pension freedoms.
Annuity business fell by 49 per cent to £38m over the first half.
Latest figures from software services supplier show just 17 per cent of annuities were enhanced in June, down from one-in-three in March.
Pension to pension transfers increased 22 per cent compared with 2014.
The scheme has paid out over £1bn to around 87 per cent of eligible policyholders.
Provider also looking to turnaround equity release business by seeking external funding.
Analysis & Opinion
It’s not all been smooth sailing for pension freedoms, with questions now raised over encashment charges.
Freedoms allow scheme members to nominate more beneficiaries, who can also choose how they take pension benefits
Certainty is more important for many than the uncertainty of higher-risk drawdown
Pensions have undergone significant change since the 2014 Budget, leaving plenty of room for improvement in tailored professional advice.
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