Annuity Base

Open Market Option Comparisons for Pension Income

Share |

The Difference Between The Best And Worst Pension Incomes Can Be Very Surprising

Aegon Annuities Aviva Annuities Axa Annuities Canada Life Annuities Friends Life Annuities Hodge Annuities Just Retirement Annuities Legal and General Annuities LV Annuities
MGM Annuities Novia Annuities Old Mutual Annuities Partnership Annuities Phoenix Annuities Pru Annuities Royal London Annuities Scottish Widows Annuities Zurich Annuities annuities

We value your privacy: The same as almost all sites, we use computer files called cookies that measure how many people use the site. They can't be used to identify you personally. If you continue without changing your settings, we'll assume that you are happy to receive cookies. We don't share your information with 3rd parties.

Looking for an alternative to an annuity? Visit Annuity Answers.

Archived Annuities News / Income Drawdown News

What's happening in the world of pensions

News and articles about annuities, pensions and income drawdown


By following any news links you will be leaving the Annuity Base site and we are not responsible for the accuracy of the information contained in any other site or the regulatory status of any other firm within the linked sites accessible from this site.

Please visit our main annuities news page for more news.

Saga suggest QE has had a negative impact on pension pots

The Bank of England (BoE) recently suggested that £375bn worth of quantitative easing (QE) has helped pensioners, while asserting that the bid to pump money into the economy has also acted to widen deficits on many defined benefit pension schemes.

Dr Ros Altmann, Director-General of Saga, has hit back at the BoE’s claims that retirees have benefitted from QE and argued instead that the Bank has failed to shed light on many of the negative consequences of QE.

Dr Altmann argues that the Bank’s assertion that “QE is estimated to have had a broadly neutral impact on the value of the annuity income that can be purchased from a typical personal pension pot” is, in fact, incorrect and that typical private pension funds have failed to keep pace with plummeting annuity rates.

As an example, while annuity incomes have fallen by nearly 25% since July 2007, the FTSE index has fallen by over 10%, during the same period. In addition, annuity income has fallen by over 14% since July 2011, while the FTSE index has fallen by around 2.5%.

Annuity rates have declined by around 1.3 percentage points since the start of the financial crisis, meaning that a pension pot of £100,000 today would buy an annuity of less than £6,000, compared with more than £7,000 in 2007.

The Bank's analysis of the impact of QE is also said to have overlooked those who have income drawdown policies. The respective incomes of this group are said to have been impacted by QE, as the amount that policy holders are allowed to withdraw from their pensions has decreased.

Please visit our main annuities news page for more news.

Make Contact Now

Take action now and uncover the differences

Receive a FREE Pension Annuities Comparison Quote

Please complete the free no-obligation enquiry form and see the surprising differences between one annuity and another. Remember your enquiry is free.

There is no charge for us investigating your policy and you are under no obligation to follow any recommendations that are made.

Your annuity specialist is registered with the Financial Conduct Authority (FCA).

We will:
1. Search the whole of the market for you so you are more able to make a decision
2. Check if you are eligible for an enhanced annuity that could increase your income
3. Give you access to more flexible options including fixed term annuities and income drawdown, should you wish


Your Age (You must be aged 55 or over)
Do you already have an annuity? (If so, sorry, we cannot help. Annuities cannot be cashed in at this time.)
Preferred contact phone number
2nd number just in case (optional)
Email address (optional)
Annuities PRIVACY PROMISE: We will never share your data or spam you. Data Protection No. Z1760988