Providers boost annuity rates as gilt yields rise

The index itself has risen for the first time since June 2009, with a £100,000 fund being worth a level annuity of £6,428 for a 65-year-old man compared to £6,291 last month. Hargreaves Lansdown urges people in need of secure incomes to annuitise now before the combined inpact of Solvency II, deflation, more quantitative easing (QE) and the potential for unisex annuities, to be decided by the EU next year, hits UK annuity rates. Those with a little more flexibility should consider buying their incomes in stages using fixed term annuities to cash in on any future rises in annuity rates...