HMRC: Drawdown providers must use male rates

clock

HM Revenue and Customs has told providers to use men's drawdown rates for all drawdown users from 21 December 2012.

The move, which was prompted by last year's European Court of Justice gender directive ruling, will allow women to take a higher drawdown pension income than before. Men will see no change to rates. HMRC said: "The ECJ has said that changes implementing the judgement have to be in place by 21 December 2012. However it is not yet certain how annuity providers will actually implement it. "Until it becomes clearer how annuity providers will apply the judgement in practice, the maximum drawdown pension for both men and women aged 23 and over should be calculated using the higher male rate...

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

UK borrowing costs rise as gilt yields surge to near 27-year high

UK borrowing costs rise as gilt yields surge to near 27-year high

30-Year gilt yields rose to highs last seen in 1998 on Monday

Linus Uhlig
clock 19 August 2025 • 2 min read
M&G's opens fixed term annuity to UK retail market after soft launch

M&G's opens fixed term annuity to UK retail market after soft launch

Prudential Guaranteed Income Plan backed by £128bn With-Profits fund

Jenna Brown
clock 22 July 2025 • 1 min read
Targeted support: FCA rules out specific annuity suggestions

Targeted support: FCA rules out specific annuity suggestions

Firms must signpost consumers to MoneyHelper’s annuities comparison tool

Jenna Brown
clock 30 June 2025 • 3 min read