Survey confirms gender gap in annuity awareness

21 October 2025

A new survey among people aged 50+ has confirmed a ‘gender gap’ when it comes to awareness about annuities in the UK. Women continue to be less aware of how annuities work and available options than men.

Timed to coincide with National Annuity Day on 21 October 2025, the key findings from the survey, which was commissioned by Punter Southall and conducted among over 2,058 adults aged 50+ by YouGov Plc UK, are that:

• Many people desire stable, predictable income from their pension savings. However, there is a lack of understanding of how annuities work (an annuity is the only product that turns a pension pot into guaranteed income). 

• Women are generally less familiar with how annuities work and how they can get the best deals.

When looking at specifics of the annuity knowledge gap:

• The majority (60%) of women said they were unsure if annuities offered any protection or adjustments for inflation, compared to just 43% of men. In fact, annuities do typically offer inflation protection by paying income that rises each year at a fixed rate or linked to the Retail Price Index.

• Men were more likely to know that being open about their health could lead to better annuity rates and income from enhanced annuities - 27% of men were aware of this, compared to just 17% of women.

• Women were less likely to know about the right to shop around for the best annuity deal via the open market option - 27% of women said they didn't know this, compared to just 19% of men. Most men (59%) said they can and should shop around for the best deal, compared to just under half (49%) of women.

Commenting on the survey findings, Retirement Line’s Mark Ormston says:

“There has been progress in recent years in terms of the industry’s work to educate people about their options for turning their pension savings into retirement income. However, this survey confirms that there is still much to do.

“I am concerned about the difference in awareness of important annuity matters between men and women. With women’s life expectancy on average longer than men’s, women may especially feel they would benefit from a lifetime annuity, which pays guaranteed income for the rest of the person’s life.  

“Just as importantly, the survey suggests that awareness of medically enhanced annuities is still low across the board. Among our lifetime annuity clients, over 80% of them qualify for a better annuity rate and income due to underwriting of their medical history and lifestyle. 

“It’s important that employers, pension schemes and financial advisers continue to explain how annuities can fit into people’s retirement income planning. Here at Retirement Line, we contribute by offering a personalised whole-of-market annuity service from specialists who explain people’s options and give them the information they need to choose the most suitable annuity.”

About National Annuity Day

National Annuity Day on 21 October 2025 is the cornerstone of a campaign to help people understand how annuities can support a more secure retirement. By raising awareness about annuities and how they work, it is hoped that the campaign will enable more people to make a better-informed choice about the retirement income options. The campaign is sponsored by annuity providers Aviva, L&G and Standard Life, and is led by Pension Potential.