Annuity rates up more than 10% since August low

The retirement specialist attributed the rate hike to providers reacting to improving gilt yields and market competition. A £50,000 annuity would now fetch a lifetime income of £2,591 per year compared to August's market low of £2,343 - an improvement of £5,208 of total income over a typical retirement. The difference between the worst standard and the best enhanced annuity is currently 26%. The analysis was based on data supplied by Investment Life and Pensions Moneyfacts and looked at level annuities without a guarantee and a purchase price of £50,000 at 65 years of age. Retirement Ad...