Hargreaves Lansdown has launched an online enhanced annuity search engine designed to help people shop around at retirement.
The search tool, which will be free for consumers to use, sources rates from nine providers covering around 92 per cent of the annuity market.
The five enhanced annuity providers on the panel are Aviva, Just Retirement, LV=, MGM Advantage and Partnership.
Hargreaves will be paid a commission by the providers if a customer chooses to by their annuity.
Hargreaves Lansdown head of pensions research Tom McPhail says: “This search engine will be absolutely free for consumers to access and use. We make no money until a transaction is agreed between the provider and the customer.
“400,000 annuities were purchased last year in the UK. Nearly half our customers already receive an enhanced annuity and with an average increase in annual income of £1,000 a year, over a typical 20 year retirement this is the equivalent of adding over £3.5bn to the pension system every year.”