Ensuring your pension changes with the times
While changes to the pension legislation removed the requirement to purchase an annuity by the age of 75 and introduced two variants of the income drawdown scheme – capped and flexible drawdown – individuals may need to change provider in order to make the most these opportunities.
This is because many providers have been slow in updating their systems following the reforms, according to the IFA.
Individuals whose provider has yet to react to the legislative changes may find themselves forced to buy an annuity unless they switch.
However, having to change could provide investors with hidden benefits, enabling them to take advantage of a cheaper provider and the chance to update their plan to better suit their current circumstances.
