View more on these topics

Campaign wants annuity reform in party policies

Dr Oonagh McDonald is spearheading a campaign to include the annuity reforms proposed in her Choices report in the election manifestoes of the major political parties.

The push by the former regulator and Labour MP is backed by the AITC and Autif. The aim is to lobby the parties to ensure annuity reform is an issue in the widely expected spring general election.

McDonald says the issue is critical to the Government&#39s key objective of privatising pension provision through stakeholder, as Middle England is becoming increasingly concerned about compulsory purchase.

If the campaign succeeds, Labour, the Tories and the LibDems will include proposals in their manifestoes allowing retirees to buy an index-linked minimum retirement income with their pension funds to secure a minimum income level, leaving them free to invest the rest of their funds elsewhere.

The Retirement Income Reform campaign will dovetail with the Private Member&#39s Bill tabled by Conservative MP John Butterfill, which says compulsory purchase puts pensions at a disadvantage with other investments which generate a retirement income.

McDonald says annuity reform will prompt a surge in the need for independent advice.

She says: “Post-retirement advice is not something you can do through a decision tree. Reform will open up a huge market for advisers.”

Annuity Bureau director Ronnie Lymburn says: “Labour might want to start pleasing voters who do not benefit from compulsory purchase. The top-earning 20 or 30 per cent of voters are wealthy, powerful and growing in number.”

Analysis, p14;

Perspective, p28


Lowering the drawbacks on annuities

The troops have stormed the castle, the revolution is approaching its climax and the campaign to abolish the compulsion to buy annuities senses victory. But before we do away with the present system, it would be sensible to have something to replace it. Nobody has yet put forward a credible alternative. There are only two […]

Gartmore goes for growth

Collins says: “There are various marketing opportunities. Clients requiring high income, those paying 40 per cent tax, and those who use zeros for school fees planning using the zeros. It could also be used where high income and capital growth are needed to cater for different classes of beneficiaries.”Identifying the main useful features and strong […]

Big adventure for Credit Suisse

Investors have just over two months to use their individual savings account (Isa) allowance for the 2000/2001 tax year and this has prompted Credit Suisse Asset Management to introduce its trans-adventure Isa. Investments into the Isa are divided equally between two Credit Suisse Asset Management funds – CSAM global post venture capital fund and CSAM […]

Network swoops as Dunbar rebrands

IFA network Positive Solutions is looking to snap up disillusioned Allied Dunbar sales staff following the announcement that Dunbar is to rebrand its franchise network as Zurich Advice Network. The network says it is targeting Dunbar sales staff because it believes they are knowledgeable and have good sales skills. It says it has been in […]

Rise of the machines

Head of Sustainable Investing at Royal London Asset Management, Mike Fox, looks at the case for including artificial intelligence within a sustainable investment strategy. Read the article in full here The value of investments and the income from them is not guaranteed and may go down as well as up and investors may not get […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm