“For many years Saga has called for measures to aide and prompt consumers to shop around for annuities. Indeed the pressing need for reform was one of the reasons we launched an annuity service that offers bespoke rates and also access to advice for all customers wanting it regardless of the size of their pension pot.
“Not shopping around will often be an expensive mistake, and never more so than for those people that could access enhanced rates. On this basis we also pioneered the use of questions that prompted people to declare health and lifestyle issues that unlock much higher payments.
“But more needs to be done and we welcome the FCA review to ensure that people are not just able to make the most of the retirement income that they’ve worked so hard to achieve - but they’re actively encouraged to do so.
“With the average-sized pension pot being under £30,000 more needs to be done to promote competition and innovation, but also to make the costs of IFA advice and commissions are clear and up front.
"Also for those with a small amount of pension savings there should be more options for them to access their money and a simplification of the current rules.
"Trust in the pension system needs to be restored, and consumers need to have confidence that when making such an irrevocable decision, that they’re being given the information they need to make it an informed choice.”