The Big Question

clock

Each month we ask leading industry figures to answer one big question: Recent research by Towers Watson showed a 24% increase in sales of enhanced annuities in 2009. What are the key factors contributing to this rise?

Peter Carter is head of product marketing at MetLife UK People want to maximise their retirement income, and enhanced annuities do exactly what the name says. Rates on conventional annuities have dropped by around 28% in the past 10 years due to a combination of increasing longevity and falling gilt yields. Faced with low conventional annuity rates it is not surprising that people are opting for enhanced annuities. Providers are helping by launching products into the growing market while advisers are doing a good job explaining the retirement income options to their clients. The ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Income

Legal & General goes digital for annuity applications

Legal & General goes digital for annuity applications

Applications could take 14 fewer days to process

Jenna Brown
clock 01 April 2025 • 1 min read
M&G launches fixed term annuity as it re-enters market

M&G launches fixed term annuity as it re-enters market

Fixed term of between five and 15 years on £10,000 minimum lump sum

Jenna Brown
clock 12 March 2025 • 2 min read
L&G reports record annuity sales of £2.1bn for 2024

L&G reports record annuity sales of £2.1bn for 2024

New business sales of annuities up 48%

Linus Uhlig & Jenna Brown
clock 12 March 2025 • 3 min read