Annuity software specialist The Annuity Exchange has been selected to build and run an online directory of UK retirement income intermediaries.
The directory will aim to make it easier for people who want to shop around for an annuity to contact an adviser or a non-advised annuity broking service.
It will allow users to search based on the size of their fund, whether an adviser is independent or restricted, the amount they will have to pay in charges and location.
Members of the Pension Income Choice Association will pay for the development of the service, which will be free to use.
Hargreaves Lansdown head of pensions research and Pica chairman Tom McPhail says: “In Pica’s manifesto we committed to introduce a new, specialist directory for those people looking to find an intermediary to help them secure a great annuity deal.
“The appointment of The Annuity Exchange follows a comprehensive tender process and now means we are able to move towards launching the directory to investors in the near future.”
The Annuity Exchange chairman Stuart Bayliss says: “The new intermediary directory will provide a powerful service for people who do not have an existing intermediary.
“Choosing an annuity is a once in a lifetime decision and getting it wrong can cost people thousands of pounds over their retirement. The directory unlocks access to professionals that can help to demystify what can for many be a complex area.”
Better Retirement Group director Billy Burrows says: “It is very positive that this is being developed because, as an industry, we need to make sure more people buy appropriate retirement income products.
“It will be important to make sure the public is able to see the difference between a full advice service and a non-advised service.”