'The purchased life annuity market deserves to grow': Should there be more options?

A ‘lack of competition in the market’

Isabel Baxter
clock • 4 min read

There are a host of annuity providers on the market, but only Canada Life and Aviva offer purchased life annuities. Isabel Baxter explores if more choice should be on offer…

All advisers will be very familiar with classic annuities contracts where the client hands a lump sum, usually from a pension, to a life insurance office, who in return pay them a secure income for life or a set period. Meanwhile, purchased life annuities (PLA) are a less well-known option but that could all change as the market grows. PLA contracts differ from standard annuities in that the lump sum does not come from a pension account. Global WealthMap Chartered financial planner Donia Dimov reached out to PA on the topic. She wanted to obtain quotes for a PLA for a client who...

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 Pensions

Pension reform should be part of UK's wider economic strategy - Pensions UK

Pension reform should be part of UK's wider economic strategy - Pensions UK

Organisation urges action to be taken now

Holly Roach
clock 13 October 2026 • 2 min read
Triple lock has lifted state pension 14% above earnings-only level

Triple lock has lifted state pension 14% above earnings-only level

Chancery Lane analysis illustrates so-called ‘ratchet effect’

Isabel Baxter
clock 05 October 2026 • 2 min read
Three former directors sentenced in £70m pension fraud case

Three former directors sentenced in £70m pension fraud case

3,000 people defrauded

Sophia Panayi
clock 04 September 2026 • 2 min read