Existing pensioners will be able to from April 2017 sell their pension pots for a lump sum.

According to the Daily Mail the government have announced that over five million people  will be able to turn their pensions pots into a cash lump sum from April 2017.

Instead of receiving their monthly payments from a savings pot they have, existing pensioners will be able to sell their annuity so they are able to get all their money at once.

Ministers said people who had saved for their retirement should be ‘trusted to make the right decision for them’.

The Daily Mail has said that the Chancellor George Osborne has promised to make it easier for people to be able to use their retirement funds how they wish, instead of being forced to buy pension plans.

 

Annuities have been the focus of get growing controversy in recent years amid plunging rates,and fears that many people are unaware that they could possibly get a better deal by shopping around rather than sticking with their existing pension provider.

Removing the restrictions on buying and selling existing annuities will allow pensioners to sell the income they receive from their policy without unwinding the original contract.

Source: http://www.dailymail.co.uk/news/article-3360622/Turn-pension-pot-cash-5million-people-able-sell-annuity-lump-sum-2017.html   16/12/2015