"Third way" decision - a disappointment

Dear Editor, The Pre-Budget Report contained the disappointing news that the Government has decided not to encourage the further development of 'hybrid' annuity products by rethinking its tax rules. The Chancellor's justification was that he was unwilling to add complexity to the tax system to "potentially benefit only a small number of consumers with large pension savings". My view is that the wealthy are already well served by the existing income drawdown market. It is those with more modest pension funds who currently have little option other than to buy a lifetime annuity that are i...