Govt could make advice compulsory on annuity resales

Jenna Towler
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The government is considering making regulated financial advice a requirement for people looking to sell their annuity contracts, Budget documents reveal.

Chancellor George Osborne earlier announced plans to extend pensions freedom to those already retired, potentially allowing five million annuity contract holders to sell their guaranteed income for cash. The document said: "There is a strong case for requiring annuity holders to take financial advice from an independent financial adviser, with a requirement for annuity providers to check this before they enable the annuity to be assigned. "This mirrors the requirements now in place for when people convert from a defined benefit to a defined contribution based pension during their accu...

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