While the stock market has defied the worst predictions of Brexit, reflecting in part the benefits to exporters of a lower value pound, the reduction in interest rates resulting in the surge in demand for Government bonds has had a severe detrimental effect on annuity rates.

Consequently, commentators are suggesting that this is probably not the best time to buy an annuity, and those approaching retirement should consider delaying or looking for alternative sources of retirement income, such as pension income drawdown.