Why have annuities been in the news in 2022?

19 December 2022

It’s clear that 2022 has seen considerable media attention for annuities. This has been fuelled by this year’s increase in annuity rates, with the income you can enjoy from your pension savings growing significantly.

This month for example, the Actuarial Post reported ‘Wow what a year for annuities’. The Daily Express described the improvement in annuity performance as ‘staggering’ and reported that annuities are ’paying out far more than at the start of 2022’. 

The positive coverage started much earlier in the year. In July, The Telegraph ran a piece headed ‘Why everything you thought about pensions is now wrong’, reporting that rising interest rates were good news for anyone considering an annuity. 

In October, The Guardian’s Rupert Jones wrote: “When interest rates rise, so do annuity rates. They have been turbocharged by soaring long-term gilt yields (the interest rate on UK government bonds).” 

The positive effect of annuity rates was also covered by The Times in November, when Lily Russell-Jones wrote: “Now’s the time to grab an annuity.” She followed it up with another Times piece headed ‘Annuity rates still going strong’ in December.

Retirement Line in the press

As the UK’s leading annuity broker*, Retirement Line has been in demand by the financial media for comment this year. This month for example, Mark Ormston was involved in an FT Adviser podcast focusing on the recent increase in annuity rates.

In September, FT Adviser covered a Pensions Policy Institute report on changing retirement income needs. It mentioned that in response to the report, Mark had: “…pointed to Financial Conduct Authority data showing the number of annuities purchased from the age of 75 has doubled in the last five years.”

In November, Mark was also invited to contribute to FT Adviser’s Guide to income in retirement and annuities. Written for financial advisers, this was a four-part educational guide on why annuities have increased in popularity this year, and their role in retirement income planning.

The FT Adviser guide includes a comment about enhanced annuities from Legal & General’s Lorna Shah: "People are still surprised at the payments that can be gained from a wide range of medical conditions, for example diabetes, or just from lifestyle choices like smoking and drinking." 

See how much income you could secure through an annuity

Annuity providers are still offering some of the best annuity rates for years. That means more retirement income for people choosing an annuity.

At Retirement Line, our Annuity Specialists can compare the best annuity rates from the UK’s leading annuity providers. You could also benefit from the preferential annuity rates we secure due to our position as the UK’s number one annuity broker* and our close relationships with the UK’s best annuity providers. 

For a free, no-obligation annuity quote, try our free annuity calculator. If you’d prefer to speak with an Annuity Specialist directly, you can call us on 0800 652 1316, request a call back or email us at info@retirementline.co.uk. 

Click here for your free, no-obligation annuity quote

You can follow Mark Ormston, Retirement Line’s Director of Propositions and Corporate Partnerships, for more news and updates about annuities on LinkedIn and Twitter.