Secondary annuity market must be delayed - APFA

Due for launch in April 2017

Jenna Towler
clock • 1 min read

The launch of the secondary annuity market should be delayed due to post-Brexit market uncertainty and lack of interest from advisers, according to the Association of Professional Financial Advisers (APFA).

The secondary annuity market, due to launch in April next year, gives retirees who have already bought an income for life the chance to sell it for a cash lump sum. It is an extension of pension freedom which effectively removed the obligation for retirees to buy an annuity with their retirement pot. The Financial Conduct Authority's consultation on the secondary annuity market closed on 21 June. APFA's response urged the watchdog and HM Treasury to push pause on the project. It said post-Brexit market uncertainty and lack of adviser demand were key factors. The government has prev...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Income

What next for the income drawdown 'class of 2015'?

What next for the income drawdown 'class of 2015'?

‘Advisers know that retirement planning does not stop at retirement’

Stephen Lowe
clock 28 March 2024 • 5 min read
Retirement income advice: FCA finds 'mixed picture' among case files

Retirement income advice: FCA finds 'mixed picture' among case files

Regulator published outcome of thematic review into retirement income advice

Jenna Brown
clock 20 March 2024 • 5 min read
FCA tells IFAs to review retirement income advice processes

FCA tells IFAs to review retirement income advice processes

Comes after regulator’s thematic review of retirement income advice

Jenna Brown
clock 20 March 2024 • 2 min read