A default annuity option could be added to personal accounts as the government is switching its focus onto the decumulation phase of the retirement income system.
At a meeting held by the Department for Work and Pensions (DWP) on Wednesday, civil servants and industry representatives discussed the best ways for members to deal with the transition of their pension funds into annuities or drawdown. The meeting offered strong support for the open market option (OMO), suggestng almost everyone holding a personal pension account who then reaches retirement should go through some kind of OMO process where they can shop around for the best annuity rates. But individuals attending the meeting acknowledge default members of the schemes - those people who ...
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