Risk averse pre-retirees rule out annuities due to 'vague understanding'

Just one in ten UK adults aged over 50 are willing to risk their money

Sahar Nazir
clock • 1 min read

An estimated 19 million UK adults aged 50+ may be overlooking annuities, according to research released today (28 June) by the Financial Services Compensation Scheme.

More than one-third (37%) of respondents are unwilling to take risks with their money saying they are worried about not having enough money to last the duration of their retirement, while more than half (58%) said they have a vague or no understanding of annuities. Just under a third (28%) have an annuity or would consider buying one. One in ten (10%) are willing to take risks with their money. Nearly one-third of people said they are uncertain if annuities are right for them (29%), while 26% said they are fearful of their provider going bust (26%). A quarter of respondents do not und...

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 Your profession

What a classic '80s movie tells us about today's language of financial advice

What a classic '80s movie tells us about today's language of financial advice

'Forty years is a long time in film. Even more so in financial services'

Roger Brosch
clock 27 January 2026 • 4 min read
Deal Dive: Advice firm deals 2025 wrapped

Deal Dive: Advice firm deals 2025 wrapped

Deals announced in Q4 before the year ended

Isabel Baxter
clock 27 January 2026 • 2 min read
Ahmed Bawa: The changes advisers are asking for in 2026

Ahmed Bawa: The changes advisers are asking for in 2026

Functionality, not workarounds

Ahmed Bawa
clock 27 January 2026 • 4 min read