Age UK Enterprises has joined forces with Premier Retirement Services to offer an information and guidance service which aims to help customers shop around for an annuity.
The service will provide information through an online comparison site and phone service to help maximise customers’ income in retirement.
Research from Age UK reveals widespread confusion among people approaching retirement, with almost half of the 2,304 respondents to the survey admitting they do not know what an annuity os while 23 per cent of people aged 55-64 say it is an investment fund.
Separate research suggests that exercising the open market option when buying an annuity could increase retirement inc-ome by up to 40 per cent.
Age UK Enterprises managing director Gordon Morris says: “Our research demonstrates that many people aged 55 and over are confused when it comes to making one of their most important decisions.
“Consumers need support in this area and in response to that have developed an annuity comparison service to help people shop around and potentially increase their retirement inc-omes by up to 40 per cent.”