Pending income drawdown rules expensive - A J Bell

The actuary group also believes suggested changes would – if they remain as they currently stand – reduce the income for those in income drawdown by up to 10% per year. Andy Bell, actuary and managing director of A J Bell, says the new rules will prop up costs for pension providers offering income drawdown plans. This is because they will have to calculate the maximum income available from these plans post-implementation of the coming legislation with reference to comparative annuity rate tables published by the FSA, Bell says. He explains: "Whilst the FSA tables are well intention...