Top Pru exec slams Govt annuity policy

Pensioners will no longer be compelled to purchase an annuity when they reach age 75, under new rules set out by the coalition Government last week. But O'Dwyer argues the policy ignores the role of annuities in providing "peace of mind" for both retirees and the state, passing the risks associated with longevity to insurance companies. "Annuities ensure people do not outlive their assets, and guarantees taxpayers and the Treasury against a retired population who has spent their savings too quickly and would otherwise fall back onto benefits", he says. As the UK's largest annuity p...