Govt unlikely to allow annuities 'buy back' under cash-in plans

The risks of allowing ‘buy back' outweigh the benefits, it said, even though it has suggested it could result in lower costs to sellers. Risks include creating solvency issues for providers which may come under "significant public pressure" to purchase its own annuities. The Treasury is asking for stakeholders' views on the subject. Some five million existing annuity holders have learned they will be able to take advantage of the pension ‘freedoms' for the over-55s announced at Budget 2014, and of subsequent suggestions holders could cash in their contracts. As part of changes u...