Income drawdown vs annuities - where is the income balance?

The issues facing income drawdown have been well publicised. Volatile investment markets, falling gilt yields and the decrease in maximum GAD have conspired to give many retirees a nasty shock when they have an income review with their adviser. The industry has lobbied government to try and ease the situation. In September 2011 AJ Bell's chief executive Andy Bell sent a letter to the Treasury requesting the 120% maximum GAD limit be reinstated as well as a review to establish whether gilt yields are the best way to calculate drawdown income. While the initial letter was swiftly rebuff...